Mar 26, 2014

Iran is facing a socioeconomic issue in women’s unemployment. According to an article published in the March 2014 issue of Iran Economics, only 13% of the workforce consists of women and the latest official statistics for women's unemployment stands at 15.6%, though unofficial unemployment figures for this group is 38.3%. Furthermore, only 9.2% of the entrepreneurs in Iran are women.

It is true that these figures are somewhat distorted, as many women in Iran decide not to enter the official workforce due to social limitations and prefer to work from home. Based on many studies, a sizable segment of Iran’s unofficial economy consists of women’s occupations that are carried out in their homes (from tailors to hairdressers to caterers). However, when one looks at younger women who are looking for employment, the country is facing an unemployment rate of 42.7% in the age group between 18 and 24. According to Mohsen Ranani, professor at the University of Esfahan, some 75% of female university graduates remain without an appropriate job, and that is a heavy price for a country that is aiming to grow its economy.

Traditionally, Iranian women have had an important role in the rural household economies, not just by contributing to the family business — whether weaving carpets or working on the farm — but also by producing the main food items for the family. Interestingly, some 90% of Iranian women in rural communities are still engaged in some sort of revenue-generating activity within the household or in the family business. The problem starts when one looks at Iran’s growing urban population. In fact, fast-pace urbanization and industrialization has changed the role of women and once accompanied with the social limitations of post-revolutionary Iran, the role of women in economic activities has been reduced to a minimum.

Notwithstanding, in the past few years, one of the positive indicators in Iran’s socioeconomic developments has been the growing presence of female students in higher education. In fact, over the past five years, an average of 60% of university students were women. However, success in attracting women to higher education has not translated into a growing role of women in entrepreneurship and economic activity. In other words, the government has been successful in removing the educational obstacles to women’s participation in the workforce, but has failed in removing all other barriers.

According to Iran Economics magazine, the obstacles to a larger role of women in the Iranian economy include: