An Economic Expert: The Real Number of Unemployed in the Country is '22 Million' and the Unemployment Rate is '45 Percent'

An economic expert has rejected the 7.5 percent unemployment rate reported by the 'Statistical Center of Iran', stating that the actual number of unemployed exceeds 22 million and the unemployment rate has risen to 45 percent. According to the website Khabaronline, Mohammad Taghi Fayyazi, a macroeconomic expert, said that the claim of a 7.5 percent unemployment rate is only acceptable when it reflects reality. He added that considering the economic participation rate is only 41.7 percent, this means that more than half of the country's population is excluded from official unemployment statistics, with only about 40 percent of people counted in the government’s calculations. The report states that since around 2021, the figures announced by the 'Statistical Center' have faced criticism and skepticism. Especially with the easing of COVID-19 restrictions, this institution presented a picture showing that jobs were being created rapidly and job seekers were quickly finding work. However, some experts described this image as unrealistic and 'misleading'. Fayyazi stated that the main problem with official unemployment statistics in Iran relates to the way the Statistical Center defines employed individuals in the labor market. He explained that currently, we are facing a market with a large informal sector, which contributes to the despair of youth and job seekers in finding job opportunities. This economic expert pointed to the situation in Turkey, saying, 'The economic participation rate in our neighboring country is about 70 percent, and it seems that in the southern Gulf countries like Saudi Arabia, the UAE, and Qatar, the participation rate is around the same level. However, in Iran, the Statistical Center considers only 41.7 percent of the population as employed or seeking work.' The Statistical Center of Iran has reported that the population aged 15 and over is about 65 million, of which 27 million are active and more than 38 million are inactive. According to Fayyazi, in this calculation, 30 percent of the inactive population, equivalent to 20 million people, is excluded from employment statistics. He added, 'If these individuals are added to the unemployment figures, the number of unemployed will exceed 22 million and the unemployment rate will rise to 45 percent.' Fayyazi also pointed to the expansion of informal and low-quality jobs, stating that 'many individuals, due to a lack of hope for improving the economic situation and creating stable jobs, have turned to unstable jobs that offer no insurance and are not covered by protective laws.' This economic critic criticized the official employment statistics provided by the Islamic Republic's statistical centers, deeming them 'misleading' and 'manipulated numbers', contributing to increased distrust in society. He referred to the livelihood problems faced by many workers, stating, 'Despite having jobs, many people are still unable to meet their basic needs,' and added that 'with wages that are below the cost of living, half of the wage earners in the country are below the poverty line.'