Through an analysis of the development and current complexion of social security system in Hebei Province, especially the issues concerning the reform of state-own enterprises, the endowment insurance and unemployment benefit that have a direct bearing on the social stability, the research group has made a preliminary exploration on how to make institutional innovation, how to improve endowment insurance at the provincial level, how to vaise and use the money for social security, and how to combine the system of subsidy for living expenses of lay-offs and the system of unemployment benefit, which is of theoretical and practical significance. At present, there exist the following problems: 1. There is a short of fund for the endowment insurance and unemployment benefit. 2. The personal account is operated with insufficient funds. 3. T he social service is far from adequate. 4. The managerial system for endowment insurance is inperfect. 5. The legal system is incomplete.