Calculating and Analyzing the Informal Employment in Economic Sectors and Estimating the Lost Social Security Resources

Document Type : Original Article

Authors

1 Associate Professor in Economics, Faculty of Economics and Administration Sciences, University of Mazandaran, (Corresponding Author) sh.zaroki@umz.ac.ir

2 Master of Science in Economics Science, University of Mazandaran

Abstract

Definition: Most social security resources in Iran are based on receiving insurance
premiums while employment in the informal sector reduces the number of
insurers. Thus, informal employment causes the loss of income sources of the 
Social Security Organization
Purpose: Due to the importance of the issue of lost financial resources for the 
Social Security Organization, in the present study, by calculating the amount of
informal employment in economic sectors between 1392 and 1398, we try to
estimate and analyze the lost financial resources due to informal employment.
Method: For this purpose, using the expenditure and income data of households 
in the mentioned period and using the indicators of social insurance and the 
minimum legal wage, the amount of informal employment was measured in
terms of regions and economic sectors, and the structure was analyzed. Then,
using a descriptive method and applying the concept of expandable informal
employment, the number of resources lost in the major economic sectors and
related sectors was calculated provincially and nationally.
Result: The results indicate that first, in the studied years, the share of informal
employment in total employment has increased. Also, among the four major
economic sectors, the agricultural sector has the highest number of informal
employees. Second, the financial resources lost due to informal employment have
decreased during this period. In addition, among the four major economic sectors,
the industries and mines sector has got the most lost social security resources.

Keywords