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World Bank Document

Dysfunctions of the Labor Market 05 The labor code paradoxically contributes to exploitation of workers and job insecurity170134567892074I05I9ntIrod0uIc ouit9 IThe Tunisian labor market is characterized by deep dysfunctions, which have contributed to keep the economy in low productive activities and generate mainly low-quality, insecure jobs. Tunisia s economy needs to create more jobs in particular there is a need for skilled jobs to employ the growing number of university graduates. The growing graduate unemployment over the past decade reflects the structural mismatch between the increasingly skilled labor force and an economy that has remained stuck in low productive activities (as discussed in Chapter One). Available jobs have been of low quality, both in terms of value added (and therefore pay) and also in terms of low job security.

134567897923405I4ntr619t7 171 5.1 / A labor market Characterized by low-quality and Insecure Jobs The Tunisian labor market is characterized by a significant amount of mismatch, notably a surplus of skilled labor and a shortage of unskilled and semi-skilled ones. To quantify skills mismatches

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