Ranking of Flexibility of Labor Regulations in Middle Eastern and North African Countries

Posted on March 4, 2007

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The dimension of worker employment in this World Bank survey measures the flexibility of labor regulations, and is summarized in the fifth column in the table below. It examines the difficulty of hiring a new worker, rigidity of rules on expanding or contracting working hours, the non-salary costs of hiring a worker, and the difficulties and costs involved in dismissing a redundant worker.

Economy Ease of Doing Business Rank Starting a Business Dealing with Licenses Employing Workers Registering Property Getting Credit
Kuwait 3 6 11 1 7 6
Saudi Arabia 2 14 2 2 1 3
Jordan 6 10 3 3 11 6
Lebanon 8 7 7 4 10 2
Oman 4 5 14 5 3 14
Yemen 9 16 1 6 5 9
United Arab Emirates 5 13 4 7 2 9
Israel 1 1 8 8 16 1
Syria 14 11 5 9 9 9
Tunisia 7 3 12 10 8 8
Algeria 11 8 13 11 17 9
West Bank and Gaza 13 17 10 12 12 3
Iraq 15 12 6 13 4 14
Djibouti 16 15 9 14 13 9
Iran 12 4 16 15 15 3
Egypt 17 9 17 16 14 17
Morocco 10 2 15 17 6 14

Source: Doing Business: Economic Rankings, 2007

More information on the following subdimensions of worker employment is available. They include:

  1. Difficulty of hiring a new worker (Difficulty of Hiring Index),
  2. Restrictions on expanding or contracting the number of working hours (Rigidity of Hours Index),
  3. Difficulty and expense of dismissing a redundant worker (Difficulty of Firing),
  4. An average of the three indices (Rigidity of Employment Index), and
  5. Cost of a redundant worker, expressed in weeks of wages (Firing Costs).

Please click here to read more about employment regulations and conditions by region and by country.

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