| |
The following sections provide information about human resources in Palestine, including its level of quality, availability, cost, and legal issues.
Labor Law
The PA recently passed a draft to harmonize the separate laws between the West Bank and Gaza. Under approval at the time of writing, the following table outlines the new amalgamated labor practices and policies.
Labor Policies in Palestine |
Issue |
Policy |
Work Day / Week |
Maximum 45 hrs/week; no daily limit |
Weekly Holiday |
One day per-week, any day |
Overtime Pay |
150% of salary for overtime |
Annual Leave |
Minimum of 14 days for the first 5 years of employment; minimum of 21 days thereafter. ** |
Severance Pay |
1 month of salary (excluding overtime hours) accrued per year, with no accumulation limit. |
Worker's Accident Insurance |
All employers are required to carry insurance for employees. |
Sick Leave |
Days 1-14=100% of salary; Days 15 – 28=50% of salary. |
Minimum Wage |
None specified. |
Transportation Reimbursement |
None required. |
Maternity Leave |
100% of pay for a total leave period of 10 weeks, providing that 6 weeks are taken after the delivery day. |
Social Security and Medical Insurance |
None |
|
Source: Labor Law No. 4, 2000 |
It is allowable to reduce the working hours for an hour per day in professions that entail danger to health.The Ministry of Labor has not yet specified these professions. Also both parties to the labor contract shall have the right to agree on overtime hours not exceeding 12 hours per week.
The annual leave for professions dangerous to health is 21 days per year. The Ministry of Labor has not yet specified these professions.
Top
Labor Quality and Availability
One of Palestine's key advantages is its superior, low-cost labor force. There is a number of highly qualified and internationally trained men and women that are suitable for employment in the services sectors, including: information technology, business administration, project financing, and any other function calling for skilled human resources.
Labor Costs
The table below outlines the various average costs and characteristics of the labor force in Palestine . Depending on the location of the project, different rates may apply for the cost of labor.
Labor Force Characteristics in Palestine
Subject |
West Bank |
Gaza |
Size of Labor Pool |
449,056 |
212,224 |
Labor Force by Gender |
Male |
Female |
391,333 |
67,723 |
|
Male |
Female |
183,533 |
28,691 |
|
Professional Staff:
Operations Manager
Shift Manager
Accountant
Administrative Assistant |
Per Month (USD):
$1,400 +
$850 – 1,000
$500 – 750
$350 - 600 |
Per Month (USD):
$600 – 900 +
$500 – 850
$400 – 550
$250 – 400 |
Minimum Wage |
None Established |
None Established |
Maximum hours per work week |
48 hours/week |
48 hours/week |
Unemployment rate ▲ |
22.2% |
35.4% |
|
Sources: Palestinian Central Bureau of Statistics 2000.
▲ Source: PCBS, 2002. |
Subject |
West Bank |
Gaza |
Cost of Labor: |
Per Month |
Per Day |
Per Month |
Per Day |
Skilled |
$750 - 1,200 |
$31 – 50 |
$600 – 750 |
$25 – 31 |
Semi-skilled |
$400 – 700 |
$16 – 29 |
$350 – 600 |
$14 – 25 |
Unskilled |
$300 – 450 |
$19 – 21 |
$250 – 400 |
$11 – 20 |
|
Gross wages and salaries are cited in the table above. Taxes and insurance are deducted from these figures for salaried employees to arrive at the net wages and salaries.
It is the responsibility of the employer to deduct taxes and insurance benefits from employee salaries prior to disbursement of monthly remuneration. Ranges provided in the table above refer to averages. Depending on the nature and size of the enterprise, wages and salaries can vary considerably to these averages.
Top |
