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Briefing

MENA: Labor Market

Critical Issues

Background:

Across the middle east and north Africa, the large (and young) populations have been growing faster than jobs can be created. Many countries have a significant share of the population unemployed or underemployed. Although the recent boom helped alleviate some of these pressures, decreasing unemployment rates to about 10.5% in 2005 from about 14.3% in 2000, there still tends to be an oversupply and a mismatch between the labor skills demanded by employers and trained by the regions universities. These trends have been accentuated by the financial crisis. Labor force participation rates are generally higher in resource-rich than in resource-poor countries, though public sector employment dominates private sector.

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Associated Readings

Research Journal of Third World Studies Mehmet Bilgin and Ismihan Kilicarslan Fall 2008 An Analysis of the Unemployment in Selected MENA Countries and Turkey Analysis The World Bank 2007 MENA Economic Developments and Prospects: Job Creation in an Era of High Growth Analysis Daily Star Osama Habib Dec 02, 2008 Axing of jobs in the Gulf adds to fears about recession hitting Lebanon News WSJ Stefania Bianchi and Mirna Sleiman Nov 30, 2008 Analysis Economist Mar 31, 2008 Labour pains in the Middle East: Inflation and skills shortages threaten the Gulf News Financial Times Simeon Kerr Dec 01, 2008 Job losses add to deepening Dubai gloom Analysis World Bank Tarik Yousef Oct 27, 2004 Unlocking the Employment Potential in the Middle East and North Africa: Toward A New Social Contract