Exclusive | Palestine Economy Portal

In its latest report on the “Situation of Workers of the Occupied Arab Territories,” the International Labor Organization (ILO), states that the number of Palestinians working in the Israeli economy has continued to increase, and now exceeds 110,000. On average, each Palestinian with income in Israel supports six to seven others in the West Bank.

Moreover, close to 30,000 Palestinians work in the settlements in the West Bank, and the numbers are increasing with the expansion of settlements.

The report details the exploitation of Palestinians working in settlements. The ILO mission conducting the report was told that in some cases, a contractor delivering a worker to a settlement may charge 40 new Israeli shekels (NIS) per day while a receiving contractor takes 50, meaning that for a daily wage of NIS150, only NIS60 are left for the worker.

It also mentions that a recent agreement in the construction industry will benefit Palestinian workers who carry work permits. Under that agreement, a grievance committee has been established, in which not only the Israeli trade union federation Histadrut but also the Palestine General Federation of Trade Unions (PGFTU) participate. The mandate of the grievance committee is to deal with all cases with a view to finding a rapid solution which would avoid lengthy court proceedings.

Additionally, the report reveals the suffering of Palestinian workers in travelling to and reaching their places of work in Israel, as only 16,000 Palestinian workers have overnight permits.

The report mentions that unemployment in Gaza is staggeringly high, standing at over 40 per cent, reaching 60 per cent for women and 75 per cent for new graduates. Investing in education, especially for women, in Gaza is frustrating, as the higher an individual’s education level is, the more unlikely it is that he or she will find a suitable job.

It states that the constraints Israel imposes on the import of cement into Gaza have delayed the reconstruction process.

Also, the cost of business is driven up due to the fact that generally three-fifths of a working day is lost to electricity cuts.

Work permits for Israel are not yet issued in Gaza, although apparently a number of workers can make use of permits for business purposes. However, business permits may also be revoked at the crossings. For the employers’ representatives of Gaza, the greatest brake on business and economic development remains the inability to move across the border and to bring in and export more goods and materials.

Regarding its future outlook, the report mentions that the building of Palestinian institutions continues to be severely constrained by political instability, the stalled peace process, heightened tensions in the West Bank and the persistent blockade of Gaza. State-building is also hampered by the deep-rooted political and institutional divide between the West Bank and Gaza; a looming financial crisis due to fiscal volatility and fiscal leakages; insecure prospects for jobs and income for Palestinian youth; and a general lack of perspectives for a better future.

To read the full report, please click here.