Press Report on Labour Force Survey Results
(January– March, 2001) Round
297,000 Unemployed persons during the 1st quarter 2001

This report is based on the Labour Force quarterly Survey. Data was collected for the 20th round from 13/1/2001 to 12/4/2001, representing the first quarter of 2001.

The survey sample of this round is based on the 1997 census, 7,559 households were selected to represent the Palestinian society of which 7,495 households completed the interview.

Economically Active:

  • According to the ILO standards, the number of participants in labour force decreased by 13.0%; (100,000 persons) between the 3rd quarter 2000 and 1st quarter 2001. Where it decreased from 734,990 in the 3rd quarter to 668,000 in the 4th qurter 2000, to reach 670,000 in the 1st quarter 2001.
  • Number of persons who don't work and don't seek job due to discouragement increased by 25.8%; (24,000 persons). They were 93,000 in the 3rd quarter 2000, while it reached 117,000 in the 1st quarter 2001.

Unemployed Persons:

  • Number of persons who don't work nevertheless seeking or not seeking job, increased from 170,000 in the 3rd quarter 2000 to 297,000 in the 1st quarter 2001. This increase represents 37.7% of the total labour force, according to the relaxed definition of unemployment.
  • While those who don't work, but seeking job, were in the 1st quarter 117,000 which represent 26.9% of the total labour force according to the ILO standards.

Employed Persons:

  • There is a decrease in the percentage of those working in agriculture (12.1% in the 1st quarter 2001, compared with 12.7% in the 3rd quarter and 16.9% in the 4th quarter of 2000). However it increased in the West Bank from 11.3% in the 3rd quarter 2000 to 17.1% in the 4th quarter of the same year and reached 11.7% in the 1st quarter of 2001. On the other hand there was an increase of those working in services and other branches (37.2% in the 1st quarter 2001, compared with 28.6% in the 3rd quarter 2000 and 35.0% in the 4th quarter the same year). The results show an increase in the percentage of those working in services and other branches in Gaza Strip, (38.0% in the 3rd quarter 2000 to 53.7% in the 4th quarter 2000 to reach 54.8% in the 1st quarter 2001), also it increased in the West Bank from 24.6% in the 3rd quarter 2000 to 29.0% in the 4th quarter 2000, to reached 28.0% in the 1st quarter 2001
  • Employment in construction decreased in Gaza Strip from 15.9% in the 3rd quarter 2000 to 3.5% in the 4th quarter of the same year to reached 2.4% in the 1st quarter 2001. Whereas it decreased in the West Bank from 24.2% to 13.3% in the 4th quarter 2000, then increased to 17.5% in the 1st quarter 2001.
  • The results show a decrease in the percentage of wage employees in the West Bank (66.2% in the 3rd quarter 2000 to 57.0% in the 4th quarter of the same year to 62.6% in the 1st quarter 2001), while in Gaza Strip it decreased from 71.0% to 65.9% to 68.3% in the same period respectively.

Wages:

  • The average value of the nominal daily net wage of the employees in Gaza Strip increased from 50.4 NIS in the 3rd quarter of 2000 to 54.6 NIS in the 1st quarter 2001. The Average daily net wage for those working in Israel and settlements decreased form 110.8 NIS in the 3rd quarter 2000 to 104.9 NIS in the 1st quarter 2001.

Dependency Ratio and Poverty:

  • The economic dependency ratio increased in the Palestinian Territory from 4.8 to 6.6 (the change rate is 37.5%). Whereas, it increased in the West Bank from 4.3 to 5.7 (the change rate is 32.6%) and in Gaza Strip increased from 5.9 to 9.1 (the change rate is 54.2%).
  • The percentage of employees whom monthly wages below poverty line equivalent to the year 2000 (1622 NIS, for household composed of two parents and 4 members) increased from 43.5% in the 3rd quarter 2000 to 51.1% in the 1st quarter 2001 (the change rate is 17.5%).

Main Findings

According to the Relaxed Definition of Unemployment

(January- March, 2001) Round

The distribution of persons aged 15 years and over in the Palestinian Territory by labour force components and region (Relaxed Definition) is as follows:

Region

Labour Force

Outside Labour Force

Total

Number

Percent

Number

Percent

Number

Percent

West Bank

535,000

47.0

604,000

53.0

1,139,000

100

Gaza Strip

252,000

43.0

334,000

57.0

586,000

100

Palestinian Territory

787,000

45.6

938,000

54.4

1,725,000

100


The distribution of labour force participants aged 15 years and over in the Palestinian Territory by labour force components and region (Relaxed Definition) is as follows:

Region

Full Employment

Underemployment

Unemployment

Total

Number

(%)

Number

(%)

Number

(%)

Number

(%)

North West Bank

111,000

52.4

20,000

9.4

81,000

38.2

212,000

100

Center West Bank

129,000

72.1

-

-

50,000

27.9

179,000

100

South West Bank

100,000

69.4

1,000

0.7

43,000

29.9

144,000

100

West Bank

340,000

63.6

21,000

3.9

174,000

32.5

535,000

100

Gaza Strip

124,000

49.2

5,000

2.0

123,000

48.8

252,000

100

Palestinian Territory

464,000

59.0

26,000

3.3

297,000

37.7

787,000

100


Note: (-) means there are no enough observations on this section.

Main Findings: According to the ILO Standards

(January- March, 2001) Round

3-1 Population aged 15 years and above

  • The percentage of the population aged 15 years and over is 53.2% at the 1th Quarter of 2001.

The distribution of persons aged 15 years and over in the Palestinian Territory by labour force components and region (ILO Standards) is as follows:

Region

Labour Force

Outside Labour Force

Total

Number

Percent

Number

Percent

Number

Percent

West Bank

474,000

41.6

665,000

58.4

1,139,000

100

Gaza Strip

196,000

33.4

390,000

66.6

586,000

100

Palestinian Territory

670,000

38.8

1,055,000

61.2

1,725,000

100


3.2 Labour Force (According to the ILO Standards):

  • The labour force participation rate reached 38.8% in the Palestinian Territory, 41.6% in the West Bank and 33.4% in Gaza Strip.

The distribution of labour force participants aged 15 years and over in the Palestinian Territory by labour force components and region (ILO Standards) is as follows (%):

Region

Full Employment

Underemployment

Unemployment

Total

West Bank

71.6

4.5

23.9

100

Gaza Strip

63.4

2.5

34.1

100

Palestinian Territory

69.2

3.9

26.9

100


3-3 Employment (According to the ILO Standards):

Employed persons aged 15 years and over in the Palestinian Territory are distributed by employment status (ILO Standards) as follows (%):

Employment Status

West Bank

Gaza Strip

Palestinian Territory

Employer

5.2

3.7

4.8

Self Employed

22.9

17.7

21.6

Wage Employee

62.6

68.3

64.1

Unpaid Family Member

9.3

10.3

9.5

Total

100

100

100


Employed Persons aged 15 years and over in the Palestinian Territory are Distributed by Economic Activity and Place of work (ILO Standards) as Follows (%):

Economic Activity

West Bank

Gaza Strip

Israel and Settlements

Total

Agriculture, fishing and forestry

12.7

13.5

7.1

12.1

Mining, quarrying and manufacturing

16.5

9.1

18.3

14.9

Construction

10.5

2.1

46.1

13.6

Commerce, restaurants and hotels

21.0

15.4

19.2

19.3

Transportation, storage and communication

5.6

5.2

2.1

5.0

Services and other branches

33.7

54.7

7.2

35.1

Total

100

100

100

100


Employed Persons aged 15 years and over in the Palestinian Territory are Distributed by Place of work and Region (ILO Standards) as Follows (%):

Place of Work

West Bank

Gaza Strip

Total

(%)

Number
(1000)

(%)

Number
(1000)

(%)

Number
(1000)

Palestinian Territory

292.0

80.9

126.0

98.0

418.0

85.4

Israel and Settlements (Person who have Palestinian Id entity)

36.0

10.0

3.0

2.0

39.0

7.9

Israel and Settlements (Person who have Israel Id\ foreign)

33.0

9.1

-

-

33.0

6.7

Total

361.0

100

129.0

100

490.0

100


Note: (-) means there are no enough observations on this section.

Work days, hours and wages

The average weekly work hours, average monthly work days and average daily wage per employee aged 15 years and over according to Place of Work are as follows:

Indicator

West Bank

Gaza Strip

Israel and Settlements

Average weekly work hours

41.6

39.6

42.6

Average monthly work days

23.1

24.5

18.9

Median daily net wage inNIS

60.0

50.0

100.0

Average daily net wage in NIS

70.5

54.6

104.9


  1. Unemployment (According to the ILO Standards):
The unemployment rate for people aged 15 years and over in the Palestinian Territory reached 26.9% on average specifically 23.9% in the West Bank and 34.1% in Gaza Strip.

Unemployment Rate for Persons aged 15 years and over in the Palestinian Territory by Age and Sex (ILO Standards) (%):

Age

Males

Females

Total

15-19

41.4

13.7

40.5

20-24

36.6

29.5

35.6

25-29

28.1

17.2

26.6

30-34

26.1

10.5

23.9

35-39

27.7

10.1

25.3

40-44

26.3

6.3

23.5

45-49

24.5

5.7

21.8

50+

17.1

3.7

15.2

Overall Average

28.8

13.7

26.9


Unemployment Rate for Persons aged 15 years and over in the Palestinian Territory by Age and Region (ILO Standards) (%):

Age

West Bank

Gaza Strip

Total

15-19

37.8

47.0

40.5

20-24

32.5

43.4

35.6

25-29

24.0

33.3

26.6

30-34

20.3

32.3

23.9

35-39

21.4

34.2

25.3

40-44

19.2

33.4

23.5

45-49

21.6

22.2

21.8

50+

13.2

21.0

15.2

Overall Average

23.9

34.1

26.9


Unemployment Rate for Persons aged 15 years and over in the Palestinian Territory by Years of Schooling and Sex (ILO Standards) (%):

Years of Schooling

Males

Females

Total

0

19.0

1.6

11.2

1-6

35.3

4.7

32.5

7-9

31.6

9.4

30.4

10-12

31.6

7.1

29.7

13+

15.8

21.3

17.3

Overall Average

28.8

13.7

26.9


Unemployment Rate for Persons aged 15 years and over in the Palestinian Territory by Years of Schooling and Region (ILO Standards) (%):

Years of schooling

West Bank

Gaza Strip

Total

0

10.2

13.8

11.2

1-6

26.8

45.2

32.5

7-9

28.1

38.7

30.4

10-12

26.7

36.7

29.7

13+

14.5

22.7

17.3

Overall Average

23.9

34.1

26.9


3-5 Persons outside the labour force (ILO Standards):

The percentage of persons aged 15 years and over outside the labour force in the Palestinian Territory reached 61.2%, 58.4% in the West Bank and 66.0% in Gaza Strip.

Persons aged 15 years and over outside the labour force in the Palestinian Territory are distributed by reason and region (ILO Standards) as follows (%):

Reason

West Bank

Gaza Strip

Palestinian Territory

Old/illness

8.4

8.6

8.5

Housewife

56.9

48.0

53.6

Studying or training

25.6

29.0

26.8

Others

9.1

14.4

11.1

Total

100

100

100


3-6 Labour Force Status: Further details (ILO Standards):

Population in the working age (15 years and over) are distributed according to the ILO standard classification of labour force framework by sex, region and labour force status as follows:

Region and Sex

Employed
  (%)

Under-employed
  (%)

Unemployed
  (%)

Total
  (%)

Labour Force
  (%)

Outside Labour Force  
(%)

West Bank

Males

69.2

5.0

25.8

100

71.7

28.3

Females

87.6

1.3

11.1

100

11.1

88.9

Total

71.6

4.5

23.9

100

41.6

58.4

Gaza Strip

Males

61.5

2.4

36.1

100

58.3

41.7

Females

76.8

3.1

20.1

100

8.4

91.6

Total

63.4

2.5

34.1

100

33.4

66.6


The circumstances of the Palestinian labour market assume taking into account the detailed information concerning the activity status of population in the working age. The following table presents the relative distribution of population in the working age by activity status.

3-7 Child 10-14 years (According to the ILO Standards):

The distribution of Children 10-14 Years in the Palestinian Territory by labour force components and region (ILO Standards) is as follows (%):

Region

Labour Force

Outside Labour Force

Total

West Bank

0.5

99.5

100

Gaza Strip

0.6

99.4

100

Palestinian Territory

0.5

99.5

100


The distribution of Children in the labour force aged 10-14 years in the Palestinian Territory by labour force components and region (ILO Standards) is as follows (%):

Region

Full Employment

Underemployment

Unemployment

Total

West Bank

84.9

-

15.1

100

Gaza Strip

55.4

10.1

34.5

100

Palestinian Territory

72.3

4.3

23.4

100


Note: (-) means there are no enough observations on this section.

Population 15 Years and Over by region and Labor Force Status

(January-March, 2001): (%)

Labour Force Status

West Bank

Gaza Strip

Palestinian Territory

Both Sexes

Population aged 15 years and over ( Man Power)

55.2

50.0

53.3

Full employment (working full time: 35 hours and above)

29.8

21.2

26.9

Working less than usual (lack of employment)

0.5

0.4

0.5

Working in poor conditions or for insufficient income

1.3

0.5

1.0

Did not work and seeking job

9.9

11.4

10.4

Did not work and did not seek job due to discouragement

5.3

9.6

6.8

Did not work – old or illness

4.9

5.7

5.2

Did not work – Home duties

33.2

32.0

32.8

Did not work – Students

15.1

19.2

16.4

Population less than 15 years

44.8

50.0

46.7

Total Population

100

100

100

Males

Population aged 15 years and over ( Man Power)

54.8

49.6

53.0

Full employment (working full time: 35 hours and above)

49.7

35.8

45.0

Working less than usual (lack of employment)

1.1

0.5

0.9

Working in poor conditions or for insufficient income

2.5

0.9

2.0

Did not work and seeking job

18.5

21.1

19.4

Did not work and did not seek job due to discouragement

8.7

17.8

11.8

Did not work – old or illness

5.4

5.6

5.5

Did not work – Home duties

0.4

0.2

0.3

Did not work – Students

13.7

18.1

15.1

Population less than 15 years

45.2

50.4

47.0

Total Population

100

100

100


The following table presents the estimated absolute number of population in the working age by activity status.

Population 15 Years and Over by region and Labour Force Status

(January-March, 2001): Absolute Numbers

Labour Force Status

West Bank

Gaza Strip

Palestinian Territory

Both Sexes

Population aged 15 years and over ( Man Power)

1,139,000

586,000

1,725,000

Full employment (working full time: 35 hours and above)

340,000

124,000

464,000

Working less than usual (lack of employment)

6,000

2,000

8,000

Working in poor conditions or for insufficient income

15,000

3,000

18,000

Did not work and seeking job

113,000

67,000

180,000

Did not work and did not seek job due to discouragement

61,000

56,000

117,000

Did not work – old or illness

56,000

33,000

89,000

Did not work – Home duties

378,000

188,000

566,000

Did not work – Students

170,000

113,000

283,000

Population less than 15 years

926,000

586,000

1,512,000

Total Population

2,065,000

1,172,000

3,237,000

Males

Population aged 15 years and over ( Man Power)

573,000

293,000

866,000

Full employment (working full time: 35 hours and above)

285,000

105,000

390,000

Working less than usual (lack of employment)

6,000

1,000

7,000

Working in poor conditions or for insufficient income

14,000

3,000

17,000

Did not work and seeking job

106,000

62,000

168,000

Did not work and did not seek job due to discouragement

50,000

52,000

102,000

Did not work – old or illness

31,000

16,000

47,000

Did not work – Home duties

2,000

1,000

3,000

Did not work – Students

79,000

53,000

132,000

Population less than 15 years

471,000

298,000

769,000

Total Population

1,044,000

591,000

1,635,000