Social Accounts

1. Outcome

This Circular provides guidance on compiling social accounts for ocean accounting, documenting the human dimensions of ocean-society relationships including wellbeing, equity, vulnerability, and qualitative aspects of coastal and marine-dependent communities. Readers will understand how to systematically record indicators relating to the contributions of ocean resources to human wellbeing, the distribution of benefits and burdens across population groups, the vulnerability and resilience of ocean-dependent communities, and qualitative approaches for capturing dimensions not readily quantified.

Social accounts complement the economic accounts described in TG-3.3 Economic Activity Relevant to the Ocean by extending measurement beyond monetary values to encompass the broader contributions of the ocean to quality of life. They support policy analysis for SDG 1 (No Poverty), SDG 8 (Decent Work and Economic Growth), SDG 10 (Reduced Inequalities), and SDG 14 (Life Below Water), particularly target 14.7 which calls for increasing "the economic benefits to small island developing States and least developed countries from the sustainable use of marine resources"^[1]. The classification of ocean industries that underpins social accounts employment measurement is established in TG-1.1 Ocean Economy Scope and Classifications, which provides standardized industry definitions aligned with ISIC and CPC. This ensures consistency between the social accounts compiled under this Circular and the economic accounts compiled under TG-3.3.

The 2025 System of National Accounts recognizes that national accounts contribute to measuring wellbeing and sustainability beyond GDP, including through thematic and extended accounts for labour, human capital, and household distributional analysis^[2]. This Circular applies that broader perspective to ocean-specific contexts, drawing on frameworks from the Statistical Framework for Measuring the Sustainability of Tourism (SF-MST), SEEA Ecosystem Accounting for cultural services, and the TNFD guidance on engagement with Indigenous Peoples and Local Communities. For the international statistical standards that underpin these frameworks, see TG-0.2 Standards Overview. The governance arrangements that shape access to ocean resources and the distribution of social outcomes are documented in TG-3.7 Governance Accounts, and the condition of the marine ecosystems on which social wellbeing depends is addressed in TG-2.3 Ocean Condition Accounts and TG-2.9 Ecosystem Accounts.

Important Note: Social accounting for ocean contexts is an emerging field. While this Circular provides a conceptual framework and initial methodological guidance, standardized classifications and compilation approaches are still under development. The methods presented here draw on established frameworks for wellbeing and distributional measurement but extend them to ocean-specific contexts where empirical experience remains limited. Practitioners should treat this guidance as provisional and anticipate refinements as experience accumulates. The Emerging badge assigned to this Circular reflects this provisional status; all guidance should be interpreted with appropriate caution and adapted to national circumstances.

2. Requirements

This Circular requires familiarity with:

• TG-0.1 General Introduction to Ocean Accounts -- provides foundational understanding of Ocean Accounts components and the relationship between environmental and economic accounting frameworks.

• TG-0.2 Standards Overview -- for the international statistical standards underpinning ocean accounting, including SNA 2025 and SEEA, which provide the conceptual basis for the wellbeing and sustainability measurement frameworks used in this Circular.

• TG-3.3 Economic Activity Relevant to the Ocean -- for the economic accounting framework including industry classifications, supply and use tables, and employment measurement that social accounts complement with non-monetary wellbeing dimensions.

3. Guidance Material

3.1 Decision Use-Cases for Social Accounts

Social accounts for oceans serve three primary decision contexts that require integrated documentation of human-ocean relationships. Understanding these use-cases helps clarify why social accounts are compiled and what analytical requirements they must satisfy.

3.1.1 Equity and distributional assessments

Ocean resources generate substantial economic value, but benefits and burdens are not evenly distributed across population groups. Social accounts enable systematic assessment of who gains and who bears costs from ocean use patterns, supporting decisions about resource allocation, access rights, and benefit-sharing mechanisms.

Equity assessments inform decisions including:

• Allocation of fishing quotas between industrial and small-scale sectors
• Distribution of marine protected area costs and benefits across coastal communities
• Design of compensation mechanisms for communities displaced by coastal development
• Targeting of ocean-related social protection programs

The distributional data compiled in social accounts relate to the governance rules documented in TG-3.7 Governance Accounts. Governance accounts record the institutional arrangements that determine access to ocean resources; social accounts document the distributional outcomes that result from those governance decisions. Section 3.2.2 of TG-3.7 specifically notes that "the governance rules documented here shape the distributional outcomes recorded in social accounts." Compilers should coordinate social and governance accounting to ensure that institutional rules can be linked to observed distributional patterns.

3.1.2 Community dependency and vulnerability analysis

Coastal and ocean-dependent communities face particular vulnerabilities to environmental change, economic shocks, and governance failures. Social accounts document dependency patterns and adaptive capacity, supporting decisions about resilience-building investments, livelihood diversification programs, and climate adaptation planning.

Dependency analysis informs decisions including:

• Prioritization of coastal communities for climate adaptation finance
• Design of fisheries transition programs for workers displaced by stock collapse
• Siting decisions for marine spatial planning that affect community access
• Targeting of social services and infrastructure investments in coastal areas

These vulnerability assessments draw on ecosystem condition data from TG-2.3 Ocean Condition Accounts and TG-2.9 Ecosystem Accounts, which document the biophysical changes that threaten community wellbeing. The social accounts compiled under this Circular provide the socioeconomic profile data needed to assess which communities are most exposed and least able to cope with environmental degradation documented through condition and ecosystem accounts.

3.1.3 Just transition planning

As economies transition toward sustainable ocean use, workers and communities dependent on unsustainable practices face potential displacement. Social accounts support just transition planning by documenting the characteristics of affected workers, the adequacy of social protection coverage, and the availability of alternative livelihood options.

Just transition planning informs decisions including:

• Design of retraining programs for fishers displaced by quota reductions
• Social protection extensions for informal workers in ocean sectors
• Community development programs for areas affected by marine conservation measures
• Gender-responsive transition policies recognizing differential impacts on women and men

The employment and working conditions data compiled in social accounts (Section 3.1.2 and 3.1.3 below) provide the empirical basis for assessing transition needs. These data connect to the economic structure documented in TG-3.3 Economic Activity, which provides the industry-level context for understanding which sectors are most affected by sustainability transitions and what economic alternatives may be available.

3.2 Wellbeing Indicators

Wellbeing encompasses the multidimensional aspects of human welfare that extend beyond income and consumption to include health, security, social connections, and subjective life satisfaction. The ocean contributes to human wellbeing through multiple pathways, both material and non-material.

The wellbeing framework presented here aligns with the 2025 SNA Chapters 34 (Measuring Well-being) and 35 (Measuring the Sustainability of Well-being), which provide the conceptual foundation for extending national accounts to encompass broader dimensions of human welfare. As methodological guidance in this area continues to develop at the international level, compilers should monitor updates to these chapters and adjust their compilations accordingly.

3.2.1 Framework for ocean-related wellbeing

The 2025 SNA establishes that "a unique feature of the 2025 SNA is the broadening of the national accounts framework to better account for elements affecting wellbeing and sustainability to inform various policy goals"^[3]. Chapter 34 (Measuring Well-being) and Chapter 35 (Measuring the Sustainability of Well-being) provide the conceptual foundation.

For ocean accounting, wellbeing indicators can be organized across several domains:

Material wellbeing: Income, consumption, and wealth derived from ocean resources, including:

• Household income from fishing, aquaculture, and other ocean industries
• Value of subsistence harvests from marine resources
• Household consumption of seafood and marine products
• Wealth held in fishing vessels, aquaculture assets, and coastal property

These material dimensions connect directly to economic accounts. For guidance on measuring economic contributions of ocean industries, see TG-3.3 Economic Activity Relevant to the Ocean.

Employment and livelihoods: Work-related dimensions of wellbeing associated with ocean sectors, including:

• Employment in ocean industries (fishing, aquaculture, tourism, shipping, offshore energy)
• Job quality indicators (wages, working conditions, job security)
• Livelihood diversification and dependence on marine resources
• Skills and training opportunities in ocean sectors

The classification of ocean industries follows the framework established in TG-1.1 Ocean Economy Scope and Classifications, which provides standardized definitions aligned with ISIC and CPC.

Health outcomes: Physical and mental health effects related to ocean environments, including:

• Nutritional contributions from seafood consumption
• Health risks from ocean-related occupations
• Mental health and stress reduction from coastal access
• Water quality impacts on coastal community health

Food security: Access to adequate and nutritious food derived from marine sources, including:

• Household-level fish consumption and dietary diversity
• Contribution of marine protein to national food supply
• Vulnerability of food systems to marine resource depletion
• Access to subsistence fishing and gleaning for food-insecure populations

Food security is closely linked to both material wellbeing and health outcomes, and serves as a key channel through which ocean ecosystem condition affects human welfare. SDG 2 (Zero Hunger) and its targets on food security and nutrition are directly relevant where coastal and island populations depend on marine protein as a primary food source.

Cultural and spiritual wellbeing: Non-material dimensions of human-ocean relationships, including:

• Access to culturally significant marine sites
• Maintenance of traditional practices and knowledge
• Sense of place and identity connected to coastal environments
• Intergenerational transmission of marine-related culture

For guidance on documenting traditional marine knowledge and customary practices, see TG-3.6 Traditional Knowledge Accounts.

Recreation and leisure: Benefits from using ocean environments for non-work activities, including:

• Participation in marine recreation (swimming, diving, fishing)
• Access to coastal amenities
• Tourism experiences in marine environments

The SEEA Ecosystem Accounting framework identifies cultural services as "experiential and intangible services related to the perceived or actual qualities of ecosystems whose existence and functioning contribute to a range of cultural benefits"^[4]. These include recreation-related services, visual amenity services, education and research services, and spiritual, artistic and symbolic services. For ocean accounting, these cultural ecosystem services represent important contributions to wellbeing. See TG-2.4 Ecosystem Goods and Services for guidance on measuring ecosystem services in monetary and physical terms.

Environmental quality: The condition of the local marine and coastal environment as experienced by communities, including:

• Water quality for recreation, fishing, and domestic use
• Air quality in coastal and port areas
• Noise and visual amenity from marine activities
• Exposure to marine pollution and litter

Environmental quality operates as a mediating factor between ecosystem condition (documented in TG-2.1 Biophysical Indicators) and perceived wellbeing, and may be assessed through both objective measurements and resident perception surveys.

3.2.2 Measuring ocean sector employment

Employment in ocean sectors is a primary pathway through which oceans contribute to material wellbeing. The Statistical Framework for Measuring the Sustainability of Tourism (SF-MST) provides relevant measurement approaches that can be adapted for ocean accounting.

The SF-MST defines employment as "all those of working age who, during a short reference period, were engaged in any activity to produce goods or provide services for pay or profit"^[5]. For ocean accounts, employment should be compiled for industries directly dependent on marine resources or operating in marine spaces. To ensure consistency with economic accounts, employment measurement in social accounts should use the same industry classifications as those established in TG-3.3 Economic Activity Relevant to the Ocean, including the ISIC-based ocean economy concordance provided in that Circular.

Key ocean sectors for employment measurement include:

Fisheries and aquaculture: SDG Target 2.3 calls for doubling "the agricultural productivity and incomes of small-scale food producers, in particular women, indigenous peoples, family farmers, pastoralists and fishers"^[6]. Employment accounts should distinguish between:

• Commercial fishing (industrial and semi-industrial)
• Small-scale and artisanal fishing
• Aquaculture (marine and brackish water)
• Fish processing and marketing

The SEEA for Agriculture, Forestry and Fisheries (SEEA AFF) provides an integrated framework for describing how "biophysical and management information relevant to agriculture, forestry and fisheries production can be integrated into the statistical framework"^[7]. For comprehensive guidance on fisheries measurement, see TG-1.5 Fisheries Management.

Marine tourism: SDG Target 8.9 calls for implementing "policies to promote sustainable tourism that creates jobs"^[8]. Employment in marine tourism includes:

• Accommodation services in coastal areas
• Tour operators and guides for marine activities
• Water-based transport for tourism purposes
• Recreational fishing services

Maritime transport and ports: Employment in shipping, port operations, and related logistics

Offshore energy: Employment in oil and gas extraction, offshore wind, and other marine energy

Other ocean industries: Shipbuilding, marine biotechnology, coastal construction

The SF-MST recommends that employment data be compiled with characteristics relevant to social sustainability, including^[9]:

• Sex (male/female)
• Age groups
• Employment status (employee, self-employed, contributing family worker)
• Full-time/part-time status
• Contract type (permanent, temporary, seasonal)
• Formal/informal employment status
• Geographic location

SDG indicator 14.7.1 measures "Sustainable fisheries as a proportion of GDP in small island developing States, least developed countries and all countries"^[10]. Employment accounts provide complementary information on the livelihood dimensions of sustainable fisheries.

3.2.3 Decent work dimensions

The ILO Decent Work Measurement Framework encompasses ten substantive elements: employment opportunities; adequate earnings and productive work; decent working time; combining work, family and personal life; work that should be abolished; stability and security of work; equal opportunity and treatment in employment; safe work environment; social security; and social dialogue^[11].

For ocean sectors, several decent work challenges deserve particular attention:

Occupational safety: Fishing is among the most hazardous occupations globally, with elevated rates of fatal and non-fatal injuries. SDG indicator 8.8.1 measures "Frequency rates of fatal and non-fatal occupational injuries, by sex and migrant status"^[12].

Informal employment: Many ocean-sector workers, particularly in small-scale fisheries, operate in the informal economy. SDG indicator 8.3.1 measures the "Proportion of informal employment in non-agriculture employment"^[13]. Ocean accounts should document the proportion of informal employment in ocean industries. The 2025 SNA Chapter 39 on the informal economy provides updated guidance aligned with recent ICLS resolutions.

Seasonal employment: Tourism and fishing often involve seasonal work patterns that affect income stability. The SF-MST notes that "employment in tourism industries is known for the fact that it often consists of a small core of permanent staff complemented with staff with a temporary contract and on-call workers"^[14].

Migrant workers: Ocean industries, particularly fishing and maritime transport, often rely significantly on migrant labour. SDG Target 8.8 calls for protecting "labour rights and promote safe and secure working environments for all workers, including migrant workers"^[15].

Table 1 summarizes the recommended employment indicators for ocean social accounts, with suggested disaggregations to support distributional analysis.

Table 1: Recommended employment indicators for ocean social accounts

These indicators align with both the ILO Decent Work Measurement Framework and the SF-MST recommendations on employment data characteristics^[16].

3.2.4 Subjective wellbeing measures

Beyond objective indicators, subjective wellbeing measures capture how people evaluate and experience their lives. The OECD Guidelines on Measuring Subjective Well-being provide methodological standards for measuring life satisfaction, affect, and eudaemonic wellbeing^[17].

For ocean accounting, subjective measures can assess:

Life satisfaction: Overall life satisfaction of coastal and ocean-dependent populations compared to national averages

Domain satisfaction: Satisfaction with specific life domains affected by ocean conditions (e.g., work satisfaction among fishers, satisfaction with local environment among coastal residents)

Perceptions of wellbeing impacts: Community perceptions of whether ocean-related activities (tourism, fishing, aquaculture) positively or negatively affect local wellbeing

The SF-MST recommends that measurement of tourism impacts on host communities include "perceptions on the negative and positive contribution of tourism to overall wellbeing"^[18]. Similar approaches apply to other ocean-related activities affecting coastal community wellbeing.

3.3 Equity and Distribution

Equity concerns how the benefits and burdens of ocean use are distributed across population groups. Ocean accounting should document distributional patterns to support policy analysis for SDG 10 (Reduce inequality within and among countries). The governance frameworks that shape access to ocean resources and determine the distribution of benefits are documented in TG-3.7 Governance Accounts; social accounts record the distributional outcomes that result from those governance arrangements. Compilers should ensure that social accounts and governance accounts are compiled in a coordinated manner, so that the institutional rules documented in TG-3.7 can be linked to the distributional patterns recorded here.

3.3.1 Distributional dimensions

The 2025 SNA recommends standard breakdowns for household sector accounts by income decile and wealth quintile, as well as alternative breakdowns by main source of income, household type, housing status, and age of reference person^[19]. Ocean accounts should adopt these breakdowns where relevant data exist, with particular attention to:

Geographic distribution: Benefits and burdens distributed across coastal and inland regions, urban and rural areas, and different coastal zones. Coastal communities may bear disproportionate environmental burdens (pollution, erosion, storm damage) while access to marine resources may benefit geographically concentrated populations.

Income distribution: How ocean-derived income is distributed across income groups. Small-scale fisheries often provide crucial livelihoods for lower-income households, while benefits from tourism and offshore industries may accrue disproportionately to higher-income groups or external investors.

Gender distribution: Women play significant but often under-recognized roles in ocean economies, particularly in fish processing, aquaculture, and gleaning. The UNWTO Global Report on Women in Tourism identifies "an urgent need for regular collection and reporting on employment data disaggregated by sex in tourism, also including formal and informal tourism employment, pay gaps"^[20].

Intergenerational distribution: How current patterns of ocean use affect opportunities for future generations, connecting to sustainability accounting approaches in 2025 SNA Chapter 35 (Measuring the Sustainability of Well-being).

Distribution among Indigenous Peoples and Local Communities: Ocean resources often have particular significance for Indigenous Peoples and coastal communities with traditional marine tenure systems. The TNFD notes that "Indigenous Peoples and Local Communities manage or have tenure over at least 38% of remaining intact forest areas and 36% of areas that are key to biodiversity"^[21], with analogous relationships existing for traditional marine areas. See TG-3.6 Traditional Knowledge Accounts for guidance on documenting these relationships.

Table 2: Ocean social indicator framework

3.3.2 Access to ocean resources

UNCLOS establishes a framework for resource access in which coastal States have sovereign rights over resources in their EEZ while maintaining freedoms of access to the high seas. Within national waters, domestic governance frameworks determine how access rights are allocated. For documentation of these governance frameworks, see TG-3.7 Governance Accounts.

SDG Target 14.b calls for providing "access for small-scale artisanal fishers to marine resources and markets"^[22]. Indicator 14.b.1 measures "Progress by countries in the degree of application of a legal/regulatory/policy/institutional framework which recognizes and protects access rights for small-scale fisheries"^[23].

Access equity concerns include:

• Allocation of fishing quotas and licenses across commercial and small-scale sectors
• Rights of traditional fishers in the context of expanding commercial and tourism uses
• Access to coastal land and beaches for fishing communities
• Distribution of marine protected area benefits and restrictions

Marine spatial planning processes allocate marine space among competing uses, with significant equity implications. See TG-1.2 Marine Spatial Planning for related guidance on how spatial allocation decisions can be documented.

Social accounts should document the types and distribution of access rights using administrative data sources where available. Fishing licence registries, quota allocation records, marine protected area permits, and coastal land tenure records all provide information on who holds access rights and under what conditions. For guidance on accessing and using such administrative data sources, see TG-4.3 Administrative Data. Compilers should record the number of licences or permits by type, the demographic characteristics of holders (where available), and changes in allocation over time.

3.3.3 Benefit sharing

UNCLOS establishes principles of equitable benefit sharing, particularly for resources in the Area (seabed beyond national jurisdiction) and for continental shelf resources beyond 200 nautical miles. Article 140 states that "activities in the Area shall...be carried out for the benefit of mankind as a whole...taking into particular consideration the interests and needs of developing States"^[24]. The Kunming-Montreal Global Biodiversity Framework and the BBNJ Agreement extend benefit sharing provisions to marine genetic resources.

Social accounts should document:

• Distribution of revenues from resource access fees and licenses
• Allocation of conservation finance among stakeholder groups
• Sharing of benefits from marine genetic resources
• Distribution of ecosystem service values across user groups

SDG Target 15.6 (applicable also to marine contexts) calls for promoting "fair and equitable sharing of the benefits arising from the utilization of genetic resources"^[25].

For guidance on documenting financial flows related to ocean conservation and management, see TG-1.7 Multilateral Finance and TG-1.8 Project Finance.

3.4 Vulnerability and Resilience

Coastal and ocean-dependent communities face particular vulnerabilities to environmental change, economic shocks, and governance failures. Social accounts should document vulnerability indicators and adaptive capacity to inform resilience-building policies.

3.4.1 Understanding vulnerability

The IPCC defines vulnerability as "the propensity or predisposition to be adversely affected. Vulnerability encompasses a variety of concepts and elements, including sensitivity or susceptibility to harm and lack of capacity to cope and adapt"^[26].

Ocean-related vulnerabilities include:

Climate vulnerability: Exposure to sea level rise, coastal erosion, ocean warming, acidification, and changing storm patterns. SDG Target 1.5 calls for building "the resilience of the poor and those in vulnerable situations and reduce their exposure and vulnerability to climate-related extreme events"^[27]. SDG Target 14.2 calls for managing marine ecosystems "including by strengthening their resilience"^[28].

For guidance on documenting ecosystem condition changes that affect community vulnerability, see TG-2.1 Biophysical Indicators and TG-2.3 Ocean Condition Accounts.

Economic vulnerability: Dependence on volatile marine commodity markets, seasonal income fluctuations, and exposure to external economic shocks. The SF-MST notes that "the measurement of water use by tourism industries relative to water availability will provide insights into the dependence of tourism activity on a given water supply and the associated potential vulnerability of tourism activity to the effects of drought"^[29]. Similar vulnerability assessments apply to fisheries dependent on stocks affected by environmental variability.

Social vulnerability: Factors that affect capacity to cope with and recover from shocks, including poverty, limited education, social marginalization, and weak social protection coverage.

Ecological vulnerability: Dependence on ecosystem services from marine ecosystems that may be degraded or at risk. The TNFD notes that "the prosperity and resilience of our societies and economies depend on the health and resilience of nature and its biodiversity"^[30]. For guidance on documenting ecosystem condition and degradation, see TG-2.9 Ecosystem Accounts.

Vulnerability assessment for coastal communities remains an active area of methodological development. While composite vulnerability indices have been proposed in the academic literature, no single standardized index has yet achieved international statistical endorsement. Compilers are encouraged to compile the component indicators listed in section 3.4.2 and to document the specific methods and weights used in any composite measures they produce, to support transparency and comparability as international guidance evolves.

3.4.2 Vulnerability indicators

Social accounts should compile indicators across multiple vulnerability dimensions:

Exposure indicators:

• Proportion of population in coastal flood zones
• Share of economic activity dependent on marine resources
• Proportion of households dependent on fish for protein
• Share of employment in climate-sensitive ocean sectors

Sensitivity indicators:

• Poverty rates in coastal communities
• Proportion of informal workers in ocean sectors
• Age structure of fishing workforce
• Nutritional dependence on marine protein

Adaptive capacity indicators:

• Social protection coverage for ocean-sector workers
• Access to financial services and insurance
• Educational attainment in coastal communities
• Livelihood diversification options
• Strength of social networks and community organizations

SDG indicator 1.3.1 measures the "Proportion of population covered by social protection floors/systems"^[31]. For ocean accounts, this indicator should be compiled specifically for coastal and ocean-dependent populations to assess protective capacity against shocks.

3.4.3 Resilience assessment

Resilience refers to "the capacity of social, economic and environmental systems to cope with a hazardous event or trend or disturbance, responding or reorganizing in ways that maintain their essential function, identity and structure while also maintaining the capacity for adaptation, learning and transformation"^[32].

The TNFD recommends that organizations "describe the resilience of the organisation's strategy to nature-related risks and opportunities, taking into consideration different scenarios"^[33]. For community-level resilience in ocean contexts, analogous assessments should consider:

Ecological resilience: The capacity of marine ecosystems to maintain functions and services under changing conditions. This connects to ecosystem condition accounts documented in TG-2.3 Ocean Condition Accounts.

Economic resilience: The capacity of ocean-dependent economies to maintain income and employment under changing conditions, including through diversification and adaptation.

Social resilience: The capacity of communities to maintain social cohesion, cultural practices, and collective action capacity under changing conditions.

Governance resilience: The capacity of institutions to adapt management approaches in response to changing conditions. See TG-3.7 Governance Accounts for documentation of adaptive governance capacity.

3.5 Qualitative Approaches

Many dimensions of ocean-society relationships are not readily captured through quantitative indicators. Qualitative approaches complement statistical measurement by documenting narratives, perceptions, and complex social dynamics.

3.5.1 Value of qualitative data

The SEEA Ecosystem Accounting framework acknowledges that some ecosystem contributions to wellbeing extend beyond what can be captured in supply and use tables. Cultural services in particular involve "experiential and intangible" dimensions^[34] that require interpretive approaches.

Qualitative data provides:

• Context: Understanding the local circumstances that shape quantitative indicators
• Meaning: Interpreting what statistical patterns signify for affected communities
• Voice: Ensuring that community perspectives inform accounting and policy
• Dynamics: Capturing processes of change that snapshot indicators may miss

3.5.2 Participatory approaches

Engagement with Indigenous Peoples, Local Communities, and affected stakeholders is essential for social accounts that accurately represent human-ocean relationships.

The TNFD provides guidance on engagement processes that should^[35]:

• Identify relevant stakeholders including Indigenous Peoples and Local Communities
• Respect the rights of Indigenous Peoples as reflected in the UN Declaration on the Rights of Indigenous Peoples
• Document concerns and priorities expressed through engagement
• Ensure equitable access and benefit sharing, particularly for Indigenous Peoples and Local Communities
• Report on how engagement results are incorporated into decision-making

For ocean accounting, participatory processes can inform:

• Identification of culturally significant marine areas and species
• Assessment of wellbeing impacts from ocean management decisions
• Documentation of traditional knowledge relevant to marine resource management
• Evaluation of equity in resource access and benefit distribution

TG-3.6 Traditional Knowledge Accounts provides detailed guidance on documenting traditional ecological knowledge and customary governance systems through culturally appropriate methods. Compilers preparing social accounts should coordinate closely with the TG-3.6 guidance to ensure that participatory methods are consistent and that qualitative findings from both accounts can be cross-referenced. In particular, the protocols for free, prior and informed consent (FPIC) and community validation described in TG-3.6 apply equally to social accounts that involve engagement with Indigenous Peoples and Local Communities.

3.5.3 Community wellbeing assessment

The SF-MST framework for measuring tourism impacts on host communities provides an adaptable model for assessing ocean-related impacts on community wellbeing. Key elements include^[36]:

Resident perceptions: Surveys and consultations that document how community members perceive the impacts of ocean-related activities (fishing, tourism, aquaculture, offshore development) on their wellbeing, cultural identity, and living environment.

Social context impacts: Assessment of effects on "cultural identity, living environment and wellbeing...including, for example, impacts on the quality of life, employment and income, cultural heritage, prevailing beliefs, and the access to services such as health care, education, transport and infrastructure, and housing"^[37].

Comparison across locations: Analysis comparing conditions in communities with different levels of ocean-related activity to identify attributable impacts.

Time-series monitoring: Repeated assessment to track changes in community wellbeing over time in relation to changing ocean conditions and management approaches.

3.5.4 Narrative accounts

Beyond structured surveys and assessments, social accounts can incorporate narrative documentation:

Case studies: Detailed documentation of specific communities, sectors, or policy interventions that illustrate how ocean-society relationships function in particular contexts

Oral histories: Documentation of how ocean-society relationships have changed over time, particularly valuable for capturing traditional knowledge and intergenerational perspectives

Stakeholder testimonies: First-person accounts from fishers, coastal residents, tourism workers, and others directly affected by ocean conditions and management decisions

These narrative elements provide qualitative richness that complements quantitative indicators and supports communication of accounting results to diverse audiences.

4. Compilation Procedure

4.1 Step-by-step compilation process

Compiling social accounts for ocean contexts follows a structured sequence that ensures consistent coverage and integration with other account components. The procedure below outlines the typical workflow; compilers should adapt it to national circumstances and data availability.

4.1.1 Define accounting boundaries

Step 1.1: Delineate ocean-dependent populations Identify the geographic areas and population groups whose wellbeing is materially affected by ocean conditions or management decisions. This may include:

• Coastal communities within a specified distance from the coast (e.g., 50 km)
• Island populations entirely surrounded by ocean
• Inland populations employed in ocean industries
• Communities dependent on marine protein for food security

The spatial delineation should align with the ecosystem accounting areas defined in TG-2.9 Ecosystem Accounts and the spatial units used in TG-1.2 Marine Spatial Planning to facilitate cross-account linkages.

Step 1.2: Identify ocean industries Adopt the ocean industry classification from TG-3.3 Economic Activity and TG-1.1 Ocean Economy Scope and Classifications to ensure consistency between social and economic accounts. Document the ISIC codes that correspond to each ocean industry category used in the account.

4.1.2 Compile employment accounts

Step 2.1: Extract ocean employment from labour force surveys Use labour force survey microdata to tabulate employment in ocean industries as classified in Step 1.2. Disaggregate by:

• Sex (male/female)
• Age group (15-24, 25-44, 45-64, 65+)
• Employment status (employee, self-employed, contributing family worker)
• Full-time/part-time status
• Formal/informal status (using ICLS definitions)
• Contract type (permanent, temporary, seasonal)
• Geographic location (coastal/inland, urban/rural)

See Section 3.2.2 for detailed indicator definitions.

Step 2.2: Supplement with administrative data Where labour force surveys do not provide adequate coverage of ocean sectors (particularly small-scale fisheries), supplement with administrative data from:

• Fishing licence registries (see TG-4.3 Administrative Data)
• Social security records
• Establishment surveys in ocean industries
• Port authority employment records

Ensure that supplements do not double-count individuals covered by surveys.

Step 2.3: Compile wage and earnings data Extract average wages by ocean industry and worker characteristics from establishment surveys or administrative payroll records. Calculate ratios to national averages to assess relative compensation levels.

4.1.3 Document distributional patterns

Step 3.1: Household survey integration Use household income and expenditure surveys to compile:

• Household income from ocean sources by income decile
• Household consumption of marine products by income group
• Geographic distribution of ocean-derived income (coastal vs inland)

The household survey data should be processed following TG-4.2 Household Surveys to ensure proper weighting and variance estimation for coastal subpopulations.

Step 3.2: Access rights inventory Compile data on the distribution of formal access rights from administrative sources:

• Number and characteristics of fishing licence holders by licence type
• Quota allocation by vessel size class and ownership type
• Marine protected area permits by user category
• Coastal land tenure by community type

This access rights inventory provides the empirical link to the governance arrangements documented in TG-3.7 Governance Accounts, Section 3.2.2.

Step 3.3: Gender-disaggregated indicators Ensure all compiled indicators are disaggregated by sex to support gender equity analysis. Where sample sizes permit, further disaggregate by age group and geographic location to identify intersectional patterns.

4.1.4 Assess vulnerability and resilience

Step 4.1: Compile exposure indicators Using spatial data and census information, calculate:

• Proportion of coastal population in flood zones (link to elevation and sea level rise projections)
• Share of local employment in ocean industries by community
• Proportion of households dependent on fish for protein (from dietary surveys)

Step 4.2: Compile sensitivity indicators From household surveys and census data, tabulate for coastal communities:

• Poverty rates (proportion below national poverty line)
• Informal employment share in ocean sectors
• Educational attainment distribution
• Dependency ratios (population under 15 and over 64 relative to working age)

Step 4.3: Compile adaptive capacity indicators From administrative data and surveys, assess:

• Social protection coverage for ocean-sector workers (from social security registries)
• Access to financial services (bank account ownership, credit access from household surveys)
• Livelihood diversification (proportion of households with multiple income sources)

These vulnerability and resilience indicators connect to the ecosystem condition trends documented in TG-2.3 Ocean Condition Accounts, allowing assessment of which communities are most at risk from environmental degradation.

4.1.5 Integrate qualitative data

Step 5.1: Design participatory assessments Following the protocols described in Section 3.5.2 and consistent with TG-3.6 Traditional Knowledge Accounts, design community engagement processes to:

• Validate quantitative findings
• Identify culturally significant ocean values not captured in surveys
• Document resident perceptions of wellbeing impacts from ocean management
• Record narrative accounts from affected stakeholders

Step 5.2: Conduct community consultations Implement participatory assessments in selected coastal communities, ensuring adequate representation of:

• Indigenous Peoples and traditional marine tenure holders
• Women (often under-represented in formal consultation processes)
• Small-scale fishers and informal sector workers
• Youth and elders (for intergenerational perspectives)

Step 5.3: Synthesize qualitative findings Analyze qualitative data using thematic coding and narrative synthesis methods. Organize findings according to the wellbeing domains in Section 3.2.1 to facilitate integration with quantitative indicators.

4.1.6 Validate and publish accounts

Step 6.1: Cross-validation with other accounts Check consistency of social account indicators with:

• Employment figures from TG-3.3 Economic Activity
• Spatial distributions relative to ecosystem accounting areas in TG-2.9 Ecosystem Accounts
• Access rights data with governance frameworks in TG-3.7 Governance Accounts

Step 6.2: Document data sources and methods Prepare technical documentation describing:

• Data sources used and their coverage
• Estimation methods for filling data gaps
• Quality assessment following TG-0.7 Quality Assurance
• Known limitations and areas requiring methodological development

Step 6.3: Disseminate accounts Publish social accounts with supporting narrative that:

• Explains key findings for each wellbeing domain
• Highlights distributional patterns relevant to equity analysis
• Identifies vulnerable populations requiring policy attention
• Links findings to relevant SDG targets and indicators

4.2 Data sources

Social accounts draw on diverse data sources including:

Household surveys: Labour force surveys, living standards surveys, and specialized coastal community surveys provide individual and household-level data on income, employment, consumption, and subjective wellbeing. See TG-4.2 Household Surveys for guidance on ocean-specific survey modules and weighting procedures for coastal populations.

Administrative records: Social protection records, fishing licenses, maritime worker registrations, and educational records provide population-level administrative data. See TG-4.3 Administrative Data for guidance on accessing and using administrative data.

Community consultations: Participatory assessments and stakeholder engagement processes generate qualitative data and validate quantitative findings.

Census data: Population and housing censuses provide baseline demographic data for coastal communities.

Enterprise surveys: Establishment surveys in ocean sectors provide employment and working condition data from the employer perspective.

Data quality considerations are particularly important for social accounts, given the diversity of sources and the frequent reliance on survey data that may have limited sample sizes in coastal communities. Compilers should assess the following quality dimensions for each data source: coverage (whether the source adequately represents ocean-dependent populations), timeliness (whether the data reflect current conditions), coherence (whether data from different sources can be reconciled), and accuracy (whether measurements are subject to known biases, such as under-reporting of informal employment or subsistence activities). The quality assurance procedures described in TG-0.7 Quality Assurance apply to social accounts and should be adapted to address these source-specific considerations.

4.3 Integration with other accounts

Social accounts connect to multiple other components of ocean accounting:

• Economic accounts (TG-3.3 Economic Activity): Employment and income indicators in social accounts complement value-added and output measures in economic accounts. Compilers should ensure consistent use of industry classifications across both account types.
• Ecosystem services accounts (TG-2.4 Ecosystem Goods and Services): Cultural services documented in ecosystem accounts relate to non-material wellbeing in social accounts
• Governance accounts (TG-3.7 Governance Accounts): Governance frameworks shape access, equity, and adaptive capacity documented in social accounts. Governance accounts document the rules; social accounts document the outcomes.
• Traditional knowledge accounts (TG-3.6 Traditional Knowledge Accounts): Qualitative approaches in social accounts connect to documentation of traditional knowledge systems
• Condition accounts (TG-2.1 Biophysical Indicators, TG-2.3 Ocean Condition Accounts): Ecosystem condition affects both vulnerability and the capacity of ecosystems to support wellbeing
• Ecosystem accounts (TG-2.9 Ecosystem Accounts): Ecosystem degradation patterns relate to social vulnerability

4.4 Challenges and limitations

Social accounting for ocean contexts faces several methodological challenges:

Attribution: Isolating the specific contribution of ocean factors to wellbeing outcomes that are influenced by many determinants

Data availability: Limited availability of ocean-specific social data, particularly for small-scale sectors and informal activities

Spatial matching: Aligning social data (often collected for administrative units) with marine spatial units used in environmental accounts

Comparability: Ensuring comparability across contexts when social conditions vary substantially between countries and communities

Subjectivity: Incorporating qualitative and subjective dimensions while maintaining analytical rigour

Compilers should document data sources, methods, and limitations transparently to support appropriate interpretation and use of social account information.

4.5 Worked Example: Community Dependency and Distributional Analysis

This section extends the employment account from v3 (Section 4.4) with a distributional analysis for a hypothetical coastal community, demonstrating how social accounts support the decision use-cases outlined in Section 3.1. All figures are illustrative and designed to demonstrate the analytical structure; actual compilations would draw on household surveys, administrative records, and participatory assessments as described in Section 4.1 and 4.2.

4.5.1 Scenario: Coastal fishing community distributional profile

Setting: A hypothetical coastal community of 25,000 persons (6,250 households) in a Pacific Island State. The community is classified as "high ocean dependency" based on the dependency assessment described below.

4.5.2 Dependency assessment

The first analytical step assesses the community's dependence on ocean resources across multiple dimensions:

Table 4.1: Ocean dependency indicators for hypothetical coastal community

The community shows substantially higher ocean dependency than the national average across all four dimensions. This multi-dimensional dependency profile indicates elevated vulnerability to ocean environmental and governance changes. Employment dependency of 38% places this community in the upper decile nationally, suggesting that shocks to ocean industries would have severe local economic impacts.

4.5.3 Income distribution by ocean dependency

The second analytical step disaggregates household income by ocean dependency status and income quintile, revealing distributional patterns:

Table 4.2: Household income by ocean dependency and income quintile (local currency units)

Ocean-dependent households (defined as those deriving >50% of income from ocean industries or subsistence fishing) have lower incomes than non-ocean households across all quintiles. The gap is most pronounced for the lowest quintile (ocean-dependent households earn only 71% of non-ocean household income), indicating that ocean dependence is associated with poverty risk.

Table 4.3: Poverty rates by ocean dependency status

The poverty rate among ocean-dependent households (27.9%) is nearly double that of non-ocean households (15.0%). This distributional pattern has direct implications for just transition planning (Section 3.1.3): policies that reduce access to ocean resources without providing alternative livelihoods will disproportionately harm already-poor households.

4.5.4 Employment characteristics by gender and formality

The third analytical step examines employment characteristics in the community's main ocean sector (small-scale fishing):

Table 4.4: Small-scale fishing employment characteristics

The employment profile reveals three distributional concerns:

1. High informality: 82% of fishing employment is informal, meaning workers lack social protection, occupational safety coverage, and income stability. This is substantially higher than the national informal employment rate of 40%.
2. Gender gaps: Women constitute only 20% of fishing employment but 90% of female fishing workers are informal, compared to 80% of male workers. Women's earnings in both formal and informal fishing are 21-33% lower than men's.
3. Low social protection: Only 19% of fishing workers have social protection coverage, compared to 64% nationally. This leaves the community highly vulnerable to income shocks.

4.5.5 Food security and nutrition

The fourth analytical step assesses the community's dependence on marine protein for food security:

Table 4.5: Dietary composition and food security indicators

The community derives 72% of protein from fish, more than double the national average and indicative of high nutritional dependence on marine resources. However, dietary diversity is lower than the national average (4.8 vs 5.9), and 32% of households experience seasonal food shortages (compared to 18% nationally). This pattern suggests that while fish provides critical protein, the community is vulnerable to disruptions in fisheries access or marine resource availability.

Disaggregating by income quintile reveals that food insecurity is concentrated among lower-income ocean-dependent households:

Table 4.6: Food security by income quintile and ocean dependency

More than half (58%) of ocean-dependent households in the lowest income quintile experience food insecurity, compared to 42% of non-ocean households in the same quintile. This indicates that ocean dependence compounds poverty-related food insecurity, likely because fishing income is volatile and subsistence catches are subject to seasonal and environmental variability.

4.5.6 Access rights distribution

The fifth analytical step documents how formal fishing access rights are distributed:

Table 4.7: Distribution of fishing access rights

Access rights are highly stratified: commercial offshore licences (which provide access to higher-value fish stocks) are held almost exclusively by men (96%) and disproportionately by non-Indigenous community members (82%), while subsistence licences (which provide access only to low-value nearshore areas) are held predominantly by Indigenous community members (88%) and have much higher women's representation (40%).

This distributional pattern reflects the governance arrangements documented in TG-3.7 Governance Accounts Section 3.2.2. The social account documents the outcome -- that commercial fishing opportunities are concentrated among a small, predominantly male, non-Indigenous group -- while the governance account would document the licensing rules and allocation criteria that produce this outcome.

4.5.7 Analytical synthesis for decision support

The distributional profile compiled above supports the three decision use-cases identified in Section 3.1:

Equity assessment (Section 3.1.1):

• Current fishing licence allocation concentrates commercial access among non-Indigenous men, while Indigenous community members and women are relegated to lower-value subsistence fishing
• Reform options: Introduce preferential licensing for Indigenous fishers, gender quotas for commercial licences, or community-based allocation that reserves commercial access for local residents

Vulnerability analysis (Section 3.1.2):

• High ocean dependency (38% employment, 42% income) combined with high informality (82%), low social protection (19%), and nutritional dependence on fish (72% of protein) indicates extreme vulnerability to marine resource decline or governance changes
• Priority interventions: Extend social protection to informal fishing workers, establish emergency food reserves, invest in livelihood diversification programs

Just transition planning (Section 3.1.3):

• If fisheries management requires catch reductions (e.g., due to stock decline), impacts will fall heavily on already-poor ocean-dependent households (27.9% poverty rate)
• Transition support should include: income support during adjustment period, retraining for alternative livelihoods, preferential access to emerging ocean sectors (e.g., marine tourism, aquaculture), and strengthened food assistance for households losing subsistence fishing access

This worked example demonstrates how social accounts compiled following the procedures in Section 4.1 can generate the integrated wellbeing, equity, and vulnerability data needed to inform ocean management decisions.

5. Acknowledgements

This Circular has been approved for public circulation and comment by the GOAP Technical Experts Group in accordance with the Circular Publication Procedure.

Authors: Social Accounts Working Group, Kirsten Oleson, Rebecca Shellock

Reviewers: Laura Friedrich

6. References and Further Reading

• System of National Accounts 2025, Chapters 2, 34, and 35 (Wellbeing and Sustainability)
• SEEA Ecosystem Accounting, Chapter 6 (Ecosystem Services)
• SEEA for Agriculture, Forestry and Fisheries (SEEA AFF)
• Statistical Framework for Measuring the Sustainability of Tourism (SF-MST), Chapter 5 (Social Dimension)
• OECD Guidelines on Measuring Subjective Well-being
• ILO Decent Work Measurement Framework
• TNFD Recommendations, Guidance on Engagement with Indigenous Peoples, Local Communities and Affected Stakeholders
• UN Sustainable Development Goals Framework
• UNCLOS Articles on Benefit Sharing and Resource Access