Review of the Changes in active Iran Labor Force Until 2016 and Its Prediction up to the Horizon of 1420
Changing in the size and age structure of the population is the main determinant of the supply of labor force in a community. Any increase or decrease in the size of the workforce can significantly affect the country's economic growth. Reaching baby boom cohort to working age, make an ideal opportunity for economic growth and development, providing that by proper planning and policy making, we can benefit the demographic window. In the present report, the results of the workforce survey, from 2006 to 2016, also the census data on population and housing in 2016 have been used to analyze the status of activity in the population of Iran. Then, through different scenarios, population, participation rates and employment rates projection are estimated, and thus supply of active labor in the future is estimated. The overall trend of participation rate for the country during the period from 2006 to 2011 was decreasing and after 2011, it is gradually increasing. In 2016, the participation rate for the whole country was 39%. With the arrival of the graduates of the 60th baby boom, as well as the likelihood of an increase in women's participation rate, it is likely that the participation rate will increase in future. In this situation, the only way forward improving the country's economy is raising the employment rate. If the government fails to reduce unemployment in policy-making, assuming a stable unemployment rate, the number of unemployment in the future will increase to 5 million people. Of courses, this assumption will be achieved with an annual employment of about 500 to 600 thousand people.
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