Press Release on Labour Force Survey Results
(July – September, 2002) Round
370,000 Unemployed persons during the 3^rd quarter 2002

This report is based on the Labour Force quarterly Survey. Data was collected for the 26^th round from 05/07/2002 to 04/10/2002, representing the third quarter of 2002.

The survey sample of this round is based on the 1997 census, 7,559 households were selected to represent the Palestinian society of which 5,761 households were completed because of Israeli closure and incursion of the Palestinian Territory[1].

Economically Active:

According to the ILO standards, the number of participants in labour force increased by 23 thousand persons between the 2^nd quarter 2002 and the 3^rd quarter 2002, where it increased from 680 thousand to 703 thousand. In other hand, the number decreased by 32 thousand persons between the 3^rd quarter 2000 and the 3^rd quarter 2002.
Number of persons who do not work and do not seek job for being discouraged decreased by 15.0% between the 2^nd and the 3^rd quarter 2002; (18 thousand persons). They were 93 thousand in the 3^rd quarter 2000, increased to 137 thousand in the 2^nd quarter 2002, to reach 119 thousand in the 3^rd quarter 2002.

Unemployed Persons:

Number of persons who don't work nevertheless seeking or not seeking job, increased from 170 thousand in the 3^rd quarter 2000 to 366 thousand in the 2^nd quarter 2002, to reach 370 thousand in the 3^rd quarter 2002. This represents 45.0% of the total labour force, according to the relaxed definition of unemployment.
While those who don't work, but seeking job, increased from 77 thousand in the 3^rd quarter 2000 to reached 251 thousand in the 3^rd quarter 2002 which represent 35.6% of the total labour force according to the ILO standards, compared with 33.6% in the 2^nd quarter 2002 and 10.0% in the 3^rd quarter 2000 (before the beginning of Al-Aqsa Intifada).

Employed Persons:

There is an increase of those working in services and other branches (37.5% in the 3^rd quarter 2002 compared with 28.6% in the 3^rd quarter 2000, while it reached 37.9% in the 2^nd quarter 2002). The results showed a sharp increase in the percentage of those working in services and other branches[2] in Gaza Strip, (38.0% in the 3^rd quarter 2000 to 53.9% in the 3^rd quarter 2002), also it increased in the West Bank from 24.6% in the 3^rd quarter 2000 to 32.0% in the 3^rd quarter 2002.
Employment in construction[3] dropped sharply in Gaza Strip from 15.9% in the 3^rd quarter 2000 to 3.4% in the 2^nd quarter 2002, to reach 5.2% in the 3^rd quarter 2002. Whereas it increased in the West Bank from 10.7% in the 2^nd quarter 2002 to 12.9% in the 3^rd quarter 2002, compared with 24.2% in the 3^rd quarter 2000.
The results showed an increase in the percentage of wage employees in the West Bank (56.4% in the 2^nd quarter 2002 to 60.1% in the 3^rd quarter 2002 compared with 66.2% in the 3^rd quarter 2000). Also, in Gaza Strip, it decreased from 71.0% in the 3^rd quarter 2000 to 61.8% in 2^ndquarter 2002, and return back to increase to reach 67.4% in the 3^rd quarter 2002.

Working Hours:

Before the beginning of Alaqsa intifada and during the school time working hours for all employed persons was 9.1 million working hours per month (2^nd quarter 2000), working hours increased in the Summer holiday (3^rd quarter 2000) to reach 9.3 million. While it decreased to 6.2 million in the 4^th quarter 2000 (1^st quarter of Al-Aqsa intifada), then increased slightly in the 1^st quarter 2002 to reached 6.6 million per month, then decreased to 5.1 million working hours in the 3^rd quarter 2002; where it decreased by 45.2% compared with 3^rd quarter 2000.

Wages:

The average value of the nominal daily net wage of the employees in Gaza Strip increased from 54.9 NIS in the 2^nd quarter 2002 to 57.8 NIS in the 3^rd quarter 2002, compared with 50.4 NIS in the 3^rd quarter 2000. The Average daily net wage for those working in Israel and settlements increased from 110.8 NIS in the 3^rd quarter 2000 to 112.8 NIS in the 2^nd quarter 2002 to 120.0 NIS in the 3^rd quarter 2002.

Dependency Ratio and Poverty:

The economic dependency ratio[4] increased in the Palestinian Territory from 4.8 in the 3^rd quarter 2000 to 7.7 in the 3^rd quarter 2002 (the change rate is 60.4%). Whereas, it increased in the West Bank from 4.3 to 6.5 (the change rate is 51.2%) and in Gaza Strip increased from 6.0 to 11.2 (the change rate is 86.7%). The ratio in the West Bank reached 6.9 compared with 9.4 in Gaza Strip in the 2^nd quarter 2002.

The percentage of employees whose monthly wages below poverty line equivalent for the year 2001 (1642 NIS, for household composed of two adults and 4 children) increased from 43.5% in the 3^rd quarter 2000 to 45.2% in the 3^rd quarter 2002 (the change rate is 3.9%).

[1] PCBS would like to indicate to users that due to Israeli incursion in April 2002 the response rate in the 2^nd quarter 2002 for the Palestinian Territory was less than 60.0% for that PCBS warns against making comparison with the 3^rd quarter 2000 .

[2] Workers in Israel and Settlements are not included.

[3] Workers in Israel and Settlements are excluded.

[4] The economic dependency ratio: Number of population divided by Number of employed persons.

Revised Version نسخة منقحة

Revised Main Findings
According to the Relaxed Definition of Unemployment
(July - September, 2002) Round

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The Distribution of Persons Aged 15 Years and Over in the Palestinian Territory by Labour Force Components and Region (Relaxed Definition-Revised Table) is as follows:

Region	Labour Force		Outside Labour Force		Total
Region	Number	Percent	Number	Percent	Number	Percent
West Bank	566,000	46.1	662,000	53.9	1,228,000	100
Gaza Strip	256,000	39.9	385,000	60.1	641,000	100
Palestinian Territory	822,000	44.0	1,047,000	56.0	1,869,000	100

The Distribution of Labour Force Participants Aged 15 Years and Over in the Palestinian Territory by Labour Force Components and Region (Relaxed Definition-Revised Table) is as follows:

Region	Employment		Unemployment		Total
Region	Number	(%)	Number	(%)	Number	(%)
West Bank	339,000	59.9	227,000	40.1	566,000	100
Gaza Strip	113,000	44.1	143,000	55.9	256,000	100
Palestinian Territory	452,000	55.0	370,000	45.0	822,000	100

Revised Main Findings: According to the ILO Standards

(July - September, 2002) Round

3-1 Population aged 15 years and over

The percentage of the population aged 15 years and over is 53.6% at the 3^rd Quarter of 2002.

The Distribution of Persons Aged 15 Years and Over in the Palestinian Territory by Labour Force Components and Region (ILO Standards -Revised Table) is as follows:

Region	Labour Force		Outside Labour Force		Total
Region	Number	Percent	Number	Percent	Number	Percent
West Bank	492,000	40.1	736,000	59.9	1,228,000	100
Gaza Strip	211,000	32.9	430,000	67.1	641,000	100
Palestinian Territory	703,000	37.6	1,166,000	62.4	1,869,000	100

3-2 Labour Force (According to the ILO Standards):

The labour force participation rate reached 37.6% in the Palestinian Territory, 40.1% in the West Bank and 32.9% 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 -Revised Table) is as follows (%):

Region	Employment	Unemployment	Total
West Bank	69.0	31.0	100
Gaza Strip	53.5	46.5	100
Palestinian Territory	64.4	35.6	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 -Revised Table) as follows (%):

Employment Status	West Bank	Gaza Strip	Palestinian Territory
Employer	4.6	3.2	4.2
Self Employed	25.6	23.5	25.0
Wage Employee	60.1	67.4	61.9
Unpaid Family Member	9.7	5.9	8.9
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 -Revised Table) as Follows (%):

Economic Activity

West Bank

Gaza Strip

Israel and Settlements

Total

Agriculture, fishing and forestry

12.9

9.7

5.8
11.3

Mining, quarrying and manufacturing

12.5

9.5

20.2
12.6

Construction

9.2

4.6

34.1
11.0

Commerce, restaurants and hotels

23.1

16.9

25.8
21.9

Transportation, storage and communication

6.5

4.5

4.1
5.7

Services and other branches

35.8

54.8

10.0
37.5

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 -Revised Table) as follows (%):

Place of Work

West Bank

Gaza Strip

Total

Number

(1000)

(%)

Number

(1000)

(%)

Number

(1000)

(%)

Palestinian Territory

288

85.0

111

97.9

399

88.2

Israel and Settlements (Persons who have Palestinian Identity)

15

4.5

2

2.1

17

3.9

Israel and Settlements (Persons who have Israeli Identity or foreign passport)

36

10.5

-

-

36

7.9

Total

339

100

113

100

452

100

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

Work days, hours and wages: (ILO Standards -Revised Table)

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

39.5

42.3

45.6

Average monthly work days*

22.2

24.8

22.6

Median daily net wage in NIS

67.3

53.8

115.4

Average daily net wage in NIS

76.5

57.8

120.0

*: Including paid days that have been not worked

Unemployment (According to the ILO Standards):
Unemployment rate for persons aged 15 years and over in the Palestinian Territory reached 35.6%; 31.0% in the West Bank and 46.5% in Gaza Strip.
Unemployment Rate for Persons Aged 15 Years and Over in the Palestinian Territory by Age and Sex (ILO Standards -Revised Table) (%):

Age

Males

Females

Total

15-19

49.6

52.1

49.8

20-24

48.1

50.9

48.5

25-29

39.8

25.3

37.6

30-34

35.1

22.4

33.4

35-39

37.6

18.7

35.2

40-44

29.0

11.3

26.8

45-49

31.3

10.7

29.0

50+

24.4

6.2

22.1

Overall Average

37.2

25.2

35.6

Unemployment Rate for Persons Aged 15 Years and Over in the Palestinian Territory by Age and Region (ILO Standards -Revised Table) (%):

Age

West Bank

Gaza Strip

Total

15-19

48.6

54.1

49.8

20-24

44.6

58.6

48.5

25-29

33.1

48.0

37.6

30-34

28.2

45.3

33.4

35-39

30.4

45.3

35.2

40-44

19.5

43.3

26.8

45-49

24.3

38.8

29.0

50+

15.7

36.8

22.1

Overall Average

31.0

46.5

35.6

Unemployment Rate for Persons Aged 15 Years and Over in the Palestinian Territory by Years of Schooling and Sex (ILO Standards -Revised Table) (%):

Years of Schooling

Males

Females

Total

0

40.9

3.5

27.2

1-6

47.7

18.7

45.2

7-9

42.8

31.8

42.1

10-12

39.2

35.3

38.9

13+

18.2

24.0

19.8

Overall Average

37.2

25.2

35.6

Unemployment Rate for Persons Aged 15 Years and Over in the Palestinian Territory by Years of Schooling and Region (ILO Standards -Revised Table) (%):

Years of schooling

West Bank

Gaza Strip

Total

0

15.3

51.9

27.2

1-6

36.2

63.2

45.2

7-9

37.8

54.0

42.1

10-12

35.2

47.5

38.9

13+

16.2

27.4

19.8

Overall Average

31.0

46.5

35.6

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 62.4%; 59.5% in the West Bank and 67.1% 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 -Revised Table) as follows (%):

Reason

West Bank

Gaza Strip

Palestinian Territory

Old/illness

10.0

6.6

8.7

Housekeeping

52.0

51.1

51.6

Studying or training

28.0

31.9

29.4

Others

10.0

10.4

10.3

Total

100

100

100

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

Persons aged (15 years and over) are distributed according to ILO standards of labour force by sex, region and labour force status as follows:

Region and Sex
Employed

(%)
Unemployed

(%)
Total

(%)
Labour Force

(%)

Outside Labour Force

(%)

West Bank

Males

67.6

32.4

100

67.1

32.9

Females

76.7

23.3

100

12.6

87.4

Total

69.0

31.0

100

40.1

59.9

Gaza Strip

Males

52.6

47.4

100

60.8

39.2

Females

65.0

35.0

100

4.6

95.4

Total

53.5

46.5

100

32.9

67.1

3-7 Children 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 -Revised Table) is as follows (%):

Region

Labour Force
Outside

Labour Force

Total

Number

Percent

Number

Percent

Number

Percent

West Bank

2,833

1.0

273,469

99.0

276,302

100

Gaza Strip

408

0.2

174,847

99.8

175,255

100

Palestinian Territory

3,241

0.7

448,316

99.3

451,557

100

Population 15 Years and Over by Region and Labor Force Status

July- September, 2002 (ILO Standards -Revised Table):

Labour Force Status
West Bank

(%)
Gaza Strip

(%)
Palestinian Territory

(%)

Both Sexes

Population aged 15 years and over ( Man Power)

55.4

50.4

53.6

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

25.0

17.6

22.5

Working less than usual (Lack of employment)

1.2

-

0.8

Working poor conditions or for insufficient income

1.4

-

0.9

Did not work and seeking job

12.4

15.3

13.4

Did not work and did not seek job due to discouragement

6.0

7.0

6.4

Did not work – Old or illness

0.6

4.4

5.4

Did not work – Home duties

31.2

34.3

32.2

Did not work – Students

16.8

21.4

18.4

Population less than 15 years

44.6

49.6

46.4

Total Population

100

100

100

Males

Population aged 15 years and over ( Man Power)

55.1

50.1

53.3

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

40.3

32.1

37.5

Working less than usual (Lack of employment)

2.4

-

1.6

Working poor conditions or insufficient income

2.6

-

1.7

Did not work and seeking job

21.8

28.8

24.2

Did not work and did not seek job due to discouragement

9.9

12.3

10.7

Did not work – Old or illness

6.5

4.0

5.7

Did not work – Home duties

0.8

0.6

0.7

Did not work – Students

15.7

22.2

17.9

Population less than 15 years

44.9

44.9

46.7

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

July- September, 2002 (ILO Standards -Revised Table):

Labour Force Status
West Bank

#
Gaza Strip

#
Palestinian Territory

#

Both Sexes

Population aged 15 years and over ( Man Power)

1,228,000

641,000

1,869,000

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

307,000

113,000

420,000

Working less than usual (Lack of employment)

15,000

-

15,000

Working poor conditions or for insufficient income

17,000

-

17,000

Did not work and seeking job

153,000

98,000

251,000

Did not work and did not seek job due to discouragement

74,000

45,000

119,000

Did not work – Old or illness

73,000

28,000

101,000

Did not work – Home duties

383,000

220,000

603,000

Did not work – Students

206,000

137,000

343,000

Population less than 15 years

987,000

629,000

1,616,000

Total Population

2,215,000

1,270,000

3,485,000

Males

Population aged 15 years and over ( Man Power)

618,000

322,000

940,000

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

249,000

103,000

352,000

Working less than usual (Lack of employment)

15,000

-

15,000

Working poor conditions or for insufficient income

16,000

-

16,000

Did not work and seeking job

135,000

93,000

228,000

Did not work and did not seek job due to discouragement

61,000

40,000

101,000

Did not work – Old or illness

40,000

13,000

53,000

Did not work – Home duties

5,000

2,000

7,000

Did not work – Students

97,000

71,000

168,000

Population less than 15 years

503,000

319,000

822,000

Total Population

1,121,000

641,000

1,762,000

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