Iran’s labor market cracking under layoffs and inflation

Key Points:

• Inflation and currency devaluation in Iran have severely impacted workers, with the minimum wage falling below $90 and essential goods becoming increasingly unaffordable, as exemplified by the high cost of basic items like sausages.
• Factory closures following the ceasefire, shortages of raw materials, and rising rents have led to widespread unemployment and increased living costs, exacerbating economic hardships for many citizens.
• The home-services platform Achareh has seen a sharp rise in job registrations, particularly for low-barrier work such as cleaning and catering, reflecting growing unemployment and the need for alternative income sources.
• Economic experts warn that Iran’s labor market is in crisis, with new job opportunities dropping dramatically and government loan programs unlikely to prevent layoffs or create sustainable employment.
• Political activists highlight that economic decline, compounded by internet restrictions, is fueling poverty and unemployment, potentially leading to coordinated worker protests and calls for structural change.