The Structure and Evolution of Employment in Egypt: 1998-2012

ERF Working Paper No. 805

Abstract: This paper conducts a detailed analysis of the evolution of the employment situation in Egypt over the period from 1998 to 2012, paying special attention to the impact of the economic crisis accompanying the January 25th 2011 revolution. Data from the Egypt Labor Market Panel Survey of 2012 is used and compared to the 1998 and 2006 survey rounds. Trends in job creation, employment status, sector, industry, and occupation are examined. This paper also investigates job mobility between statuses from 2006 to 2012 and compares this to patterns of mobility from 1998 to 2006. Additionally, we examine changes in the conditions of work, including characteristics such as stability, formality, hours, benefits, and firm size. Employment in the private sector continues to be dominated by small firms and informal work. Irregular wage work—the type of employment that is most closely associated with vulnerability and poverty—has risen substantially as of 2012. Overall, there appears to have been a substantial deterioration in employment conditions in the private sector, but stability, if not improvement, in conditions for those employed in the public sector.