As the challenges surrounding the Jordanian labor market continue to grow, the urgent demand for a comprehensive national labor market data system has emerged. This system aims to consolidate all quantitative and qualitative indicators into a unified database. However, this initiative faces significant hurdles due to "institutional closure," as many official institutions maintain their data independently and refuse to share it, citing privacy concerns, according to experts.
Experts have emphasized that this system is viewed as a fundamental tool for enhancing the efficiency of economic and social policies, particularly in the areas of employment, labor market regulation, and vocational education and training planning. They stress that effective decisions and policies cannot be built on inaccurate estimates or scattered data, which is a current issue, especially regarding non-Jordanian labor, where data varies from one institution to another, reflecting a state of chaos that undermines effective planning.
Despite discussions about this system not being new, having been raised over the years, it has yet to come to fruition, raising questions about the reasons for the delay.
In this context, the spokesperson for the Ministry of Labor, Muhammad Al-Zayoud, confirmed that "work is still ongoing to prepare a labor market data system that includes all labor market indicators within a unified database, with the aim of studying and analyzing them. Based on this, all decisions and procedures related to the labor market will be made." Al-Zayoud added that "this system also aims to ensure that all decisions and procedures concerning labor market regulation are based on scientific and clear foundations."
He explained that "among the indicators that this system will include are: the size of the workforce, unemployment, non-Jordanian labor, higher education indicators, and more."
Furthermore, Ahmad Awad, Director of the Phenix Center for Economic and Informatics Studies, asserted that "developing a comprehensive and diverse labor market data system is a basic and essential step to improve the management of this vital market and increase the effectiveness and efficiency of related policies and programs." Awad noted that "this initiative represents a strategic direction that should be supported by all possible means, with a focus on ensuring its sustainability and continuous updating, as data is inherently variable and requires ongoing monitoring to ensure its accuracy and validity for decision-making."
He emphasized that "the existence of a comprehensive information system for the labor market will lead to a qualitative leap in the way public policies related to employment, education, and vocational training are formulated," explaining that "developing policies based on reliable data falls under what is known as 'evidence-based policy,' which we currently lack in Jordan."
Awad further stated that "to maximize the benefits of establishing this system, it is essential to work on multiple fronts simultaneously," indicating that "the first of these fronts involves regularly updating quantitative data related to the labor market at the sectoral level, as national-level aggregate data alone is insufficient for making precise decisions."
He added, "For instance, it is important to know the number of workers in various sectors and economic activities, track changes in these numbers, and identify future labor and skill needs in each sector."
In addition to data collection, Awad stressed the need for in-depth analysis to explore trends, challenges, and opportunities within the labor market. This requires building specialized capacities within the Ministry of Labor and relevant official institutions, not only in data management but also in using it to improve policy quality and direct programs toward priority groups, regions, and sectors.
He concluded by saying that "building this system represents an important opportunity to enhance labor market governance, strengthen the link between education and training outputs and market needs, and reduce supply-demand gaps, which will help lower unemployment rates, a significant portion of which is structural, and improve the efficient distribution of human resources across different economic sectors."
On a related note, Hamada Abu Najma, head of the Labor Home, pointed out that "the discussion about creating a comprehensive labor market data system is not new, as it has been repeated by many ministers and officials over the years without seeing this system come to light."
Abu Najma stated that "the existence of a comprehensive national system for labor market data is an utmost necessity for developing economic and social policies, as no entity can formulate effective employment policies or plan for vocational education and training or regulate the use of foreign labor without relying on an accurate, unified, and comprehensive database."
He noted that "the absence of this system has led to chaos in data regarding foreign labor, with conflicting figures between institutions and significant discrepancies in official estimates and statements. This situation cannot continue, as its outcomes directly affect the effectiveness of public policies and job opportunities for citizens."
He affirmed that "from a technical standpoint, building a labor market data system is not complex, and other countries have succeeded in doing so with fewer resources and expertise. The costs can be secured regardless of their magnitude due to the significant impact it would have on planning and governance."
Abu Najma explained that "the real challenge lies in the lack of institutional cooperation, as most official institutions keep their data separately and refuse to share it, citing privacy concerns. This has thwarted numerous previous attempts to unify data due to this closure."
He emphasized that "what is needed today is for official institutions to rise to the level of responsibility and prioritize the interests of the nation and its citizens above narrow considerations by committing to feed a unified national system with accurate and updated data, making this system an effective tool for planning and developing the labor market."
