Barriers and Opportunities: Disability and Labor Market Inclusion in Palestine

Abstract This paper examines the barriers and opportunities facing persons with disabilities in the Palestinian labor market. Using data from the Palestinian Labor Force Survey, we estimate the effects of disability on wages, labor force participation, and employment. Results show that individuals with vision, hearing, and especially mobility impairments face significant wage penalties, lower labor force participation, and reduced employment rates. Women with disabilities are particularly disadvantaged especially when it comes to employment opportunities. The COVID-19 pandemic further widened these disparities for people with disabilities. Additionally, we find that conflict intensity is positively associated with higher disability rates. Further, we also found that disability limits access to education and completion of high schools and tertiary education. These findings point to the need for inclusive education, stronger enforcement of labor protections, and employment support for persons with disabilities, and more robust social protection systems to ensure equitable labor market inclusion in Palestine.