Jobs for Shared Prosperity

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JOBS FOR SHARED PROSPERITY

TABLE 1.3 Employment transition matrix in Jordan, 1999 and 2010 Formal wage Inactive, Unemployed, Public, earner, 2010 (%) 2010 (%) 2010 (%) 2010 (%)

All workers, 1999

Informal wage Selfearner, Employer, employed, Unpaid, 2010 (%) 2010 (%) 2010 (%) 2010 (%)

Total, 2010 (%)

N

Workers with tertiary education Public wage earner Formal wage earner Informal wage earner Employer Self-employed

15 13 16 15

4 7 3 6

68 14 18 0

5 57 14 0

3 4 33 0

1 5 7 73

4 0 9 7

0 1 0 0

100 100 100 100

262 117 110 40

8

3

14

4

5

27

40

0

100

35

0 0 0 0 0

100 100 100 100 100

977 380 888 185 292

Workers with at most secondary education Public wage earner Formal wage earner Informal wage earner Employer Self-employed

24 22 12 10 15

4 4 5 6 8

55 7 7 3 5

5 54 11 0 4

4 6 44 3 9

2 4 9 64 6

6 2 11 13 52

Source: Based on Jordan’s LMPS 2010, with retrospective data. Note: The shaded text measures the share of workers whose employment status did not change between 1999 and 2010; that is, 68 percent of workers with tertiary education who were public employees in 1999 were still public employees in 2010. N = number. The sample consists of individuals between 33 and 64 years of age.

TABLE 1.4 Monthly employment transitions of the working-age population in Lebanon, 2010 percent Current month → next month Self-employed Formal employees Informal employees Employee—unknown Unemployed Inactive Total

Self-employed

Formal employees

Informal employees

Employee unknown

Unemployed

Inactive

Total

99.96 3.13 3.02 0.17 6.19 4.50 83.70

0.00 94.06 0.19 0.00 0.26 0.35 1.74

0.00 0.32 93.69 0.06 2.01 1.04 4.97

0.03 1.94 1.89 99.72 0.00 0.25 3.72

0.01 0.43 0.91 0.06 91.54 0.69 2.15

0.00 0.11 0.30 0.00 0.00 93.18 3.72

100 100 100 100 100 100 100

Source: World Bank 2013, using Lebanon’s Employer-Employee Survey 2011. See the appendix for more information on this survey. Note: This table should be read as follows: for example, 99.96 percent of respondents who were self-employed during one month were self-employed the following month.

self-employment. The quality of these jobs is very heterogeneous, and the high persistence of self-employment could be a combination of preference and lack of better alternatives (as discussed in chapter 2). Geographical disparities Another symptom of inefficient allocation of resources in labor markets is the marked geographical variation in labor market outcomes that persists over time. In mobile markets, workers tend to migrate to regions where employment opportunities are better. Yet important factors such as the cost of housing, poorly developed rental

markets, skill mismatches, and limited mobility of women may prevent individuals from migrating from one region to another to obtain a better job (see Grunwald et al. 2009). Data for Tunisia indicate that some of the regions with the highest unemployment rates in 2005 (such as Gafsa and Tataouine) also experienced the highest increase in unemployment rates between 2005 and 2011. This suggests that mobility constraints prevent workers from taking advantage of employment opportunities in other regions (figure 1.17). Labor force data for Tunisia show that among the lower-skilled and


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