Immigration, Emigration and the Labor Market in Jordan

This paper uses a new and original dataset, the Jordan Labor Market Panel Survey of 2010 (JLMPS 2010), to study migration and the labor market in Jordan. The paper documents the characteristics of outward migration and describes both current Jordanian emigrants and return migrants. It then compares immigrant workers to natives. Although The JLMPS 2010 underestimates both the number of emigrants and immigrants, it is still very useful in describing the main patterns of Jordanian migration. The findings suggest that Jordan is exporting high skilled workers but importing low skilled labor. There is evidence that immigrant workers undercut Jordanian wages. However, immigrant workers are employed in low skilled jobs in the informal sector with very little benefits or security. On the other hand, Jordanian emigrants are able to earn at least four times the Jordanian wage and remit substantial amounts thereby increasing the domestic reservation wages, which might have given rise to the “Rentier State” phenomena.  

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