Policy Briefs
Reversing the Trend: Policy Levers for Jordan’s Labor Market Recovery
No.
PB 158
Publisher
ERF
Date
April, 2026
Topic
J1. Demographic Economics
In a nutshell:
- Labor force participation and employment rates in Jordan, already among the lowest in the world, are continuing to decline, but the pace of decline is slowing.
- Unemployment rates in Jordan, also among the highest in the world, continue to increase, but here again the pace of increase is slowing, especially among women.
- Young people are particularly struggling with high unemployment rates.
- Supporting labor demand, whether through migration, facilitating remote work for global employers, or promoting a competitive private sector, is critical to improving labor market outcomes.
- Policies that allow jobseekers to signal more information about themselves and their skills can help improve matching in the labor market.
- Programs and policies that allow youth to participate in on-the-job training opportunities, such as internships and apprenticeships, can also improve labor market outcomes.
Research Fellows
Ragui Assaad
Professor and Freeman Chair for International Economic...
Authors
Caroline Krafft
Associate Professor, Humphrey School of Public Affairs,...
Authors
Nouf Abushehab
PhD Student at the Department of Economics,...