Economy of Iraq - Labor Force

Labor Force

In 2002 Iraq’s labor force was estimated at 6.8 million people.

In 1996 some 66.4 percent of the labor force worked in services, 17.5 percent in industry, and 16.1 percent in agriculture. 2004 estimates of Iraq’s unemployment ranged from 30 percent to 60 percent.

The CPA has referred to a 25% unemployment rate, the Iraqi Ministry of Planning mentioned a 30% unemployment rate, whereas the Iraqi Ministry of Social Affairs claims it to be 48%. Other sources are claiming a 20% unemployment rate and a probably 60% under-employment rate. The actual figure is problematic because of high participation in black-market activities and poor security conditions in many populous areas. In central Iraq, security concerns discouraged the hiring of new workers and the resumption of regular work schedules. At the same time, the return of Iraqis from other countries increased the number of job seekers. In late 2004, most legitimate jobs were in the government, the army, the oil industry, and security-related enterprises. Under Saddam Hussein Hussein, many of the highest-paid workers were employed by the greatly overstaffed government, whose overthrow disrupted the input of these people to the economy. In 2004 the U.S. Agency for International Development committed US$1 billion for a worker-training program. In early 2004, the minimum wage was US$72 per month.

Mean wages were $2.10 per man-hour in 2009.