Investigating the Employment Structure in the Informal Sector (Case Study: Kohgiluyeh and Boyer-Ahmad Province)

During the last decade, expanding the informal sector is the main characteristic of the labor market in Iran and many other developing countries. This feature has been more considerable in the areas with special labor demand conditions and labor force structure. The main indices of labor market in Kohgiluyeh and Boyer-Ahmad Province (in Iran) show that the conditions which inspire the informal sector to grow are highly available in the area. Hence, this study tries to analyze the structure of employment in the informal sector of the province. The results show the high capacity of the informal sectors in creating jobs, about one third of employed people are working in the formal sector so far. Therefore one of the most effective ways to reduce unemployment in this area passes through recognition and consideration of the informal sector and easing the legal procedures to improve this type of activities toward formalization.