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SIGN POST The UNDP on employment in Egypt The latest report on Egypt by the United Nations Development Program (UNDP), released on April 7, examines the varying rates of employment throughout the country’s many governorates. The report – a nationwide review of demographic, social and economic trends – states that the national labor force has reached 28.7 percent of the total population, while unemployment stands at 9 percent. The highest category of unemployment is among secondary school graduates, who account for 22.4 percent of the total work force. On the national level, the service sector employs 46 percent of the population, followed by the agriculture sector at 30.6 percent and the industrial sector at 23.4 percent, although the UNDP reported that these percentages vary considerably between rural and urban governorates. In the urban governorates, service sectors like tourism dominate the economy, followed by industrial activity and agriculture. The urban governorates also have a higher percentage of people employed in the government and public sectors. This is attributed to the concentration of government jobs in city centers. According to UNDP data, the relatively low percentage of employed professionals and technicians – about 21.2 percent of the total labor force – is of particular concern because this category of workers is considered vital to Egypt’s development. Demographically, the highest levels of unemployment are in the governorates of Aswan (14.9 percent), Gharbiya (12.9 percent), Kafr Al Sheikh (12.7 percent) and Luxor (11.7 percent). The report also showed a gender gap vis-à-vis unemployment rates: women with full-time jobs represent a mere 15.4 percent of the total employment figure, while women constitute 19.8 percent of total unemployment. “This rate has increased among females and youths (15-29 years old), with rates ranging between 19.8 percent and 22.4 percent respectively,” the report stated. In the governorate of Sohag, the percentage of women engaged in the labor force is extremely low, not exceeding 1.8 percent in the cities of Dar Al Salam and Girga. The low figures, the report stated, are because of cultural factors that curb female participation in the labor market. “This is due to the low female educational level in these governorates in addition to customs and traditions that hinder girls’ education and participation in the labor market,” the report argued. “In turn, this encourages those seeking work to join the informal sector under unsuitable conditions and wages.” While general income growth has improved, poverty is still a serious problem, according to the UNDP. For example, average per capita income across Egypt increased to £E 5,538 per year in 2001, from £E 4,822 in 1998. Yet, 20.1 percent of all households hover at or below the poverty line, with an annual income of £E 4,438 in urban areas and £E 3,963 in rural areas. The Assiut governorate – with limited arable land and marginal industrial activity – has the lowest average income, at £E 3,008. Poverty is markedly higher in Upper Egypt, where those below the poverty line represent 35.2 percent of the total population. Assiut, for example, has 58.1 percent of its residents at or below the poverty line. In Lower Egypt, only 13.1 percent of the population is at the poverty line, while the figure is 9 percent in the urban governorates. Port Said has the least number of citizens living below the poverty line, at 2.6 percent. Port Said also had the highest individual average share of gross
domestic product in 2001, at £E 12,098, followed by Cairo
at £E 10,167. “The high income status of Port Said may
be attributed to its small population and to the predominant commercial
activity as a free zone in the past years, which is characterized
by quick capital circulation,” the report stated. Glen C. Carey |
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