Females’ Off-the-Job Search Methods in Egypt: Formal versus Informal Search Methods

Abstract

This study aims to evaluate females’ off-the-job search strategies in the Egyptian labor market. The study analyzes differences between males’ and females’ search strategies and examines determinants of unemployed females’ choice of search methods. The study responds to the gap in the empirical literature with respect to the in-depth study of job search methods in Egypt. Females were hit more than males when the public employment guarantee came to an end as they were dependent for decades on this policy. This resulted in an increase in female unemployment and decline in female labor force participation which negatively affects females’ economic participation and opportunity. The study uses data from the Egypt Labor Market Survey of 2006. A comparative descriptive approach is used to analyze differences between males’ and females’ search methods. Determinants of females’ search strategies are examined with logistic regression analysis. It is found that informal search methods are the most important methods for both males and females. The second most important method is registering at a public employment office, which is more important for females than for males. Formal search methods other than registering at public employment offices depend on contacting employers directly. Nongovernmental labor market intermediaries still play a limited role. Transforming to a market-oriented economy has not been accompanied with the necessary transformation in labor market institutions. Females’ search strategies are less diversified than males’ strategies, especially when registering at public employment offices are excluded from search methods. Around one-tenth of unemployed females depend only on public employment offices. There is a need to strengthen the role of private formal labor market intermediaries. Examining determinants of job search strategies shows that personal characteristics, household characteristics, and labor market conditions have significant effects on females’ search strategies. Job search strategies of more educated females and females living in regions where unemployment is high, are more diversified. There is no significant effect of wealth on using informal methods for all groups—whether poor or rich have their own social networks.