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A bill to increase the unemployment rate in Iran?

Phone apps

On Wednesday, July 28, 2021, a Protection Bill, which is known as Tarh-e Sianat, was introduced in the Islamic Consultative Assembly of Iran. According to some members of parliament, the bill is to organize businesses and prevent fraudsters from abusing users on the internet. If this bill is implemented, it may lead to heavy fines and even imprisonment.

After the news broke, thousands of people opposed it on social media because they saw it not as a way to support themselves but instead as more restrictions.

Will using Google be illegal?

After the implementation of this bill, companies such as Google, Instagram, Skype, WhatsApp, and so on, must send representatives and obtain licenses and permits to operate in Iran. Even if these permits are issued, the commission of parliament can reduce the amount of foreign traffic at its discretion. In this case, if you want to search a topic on Google, your access speed may be too slow or just impossible.

The commission can also ban unlicensed websites and apps. This ban could have a devastating reach. For example, the use of YouTube is currently banned in Iran and users log in to it using VPNs. After the bill is implemented, if you build a channel for your business or brand on YouTube, you must be held accountable and they can revoke your work license and fine you.

If these international companies do not get licenses to operate in Iran, it would be illegal to mention them anywhere, even in movies and TV shows. Plus, offices and organizations would have no right to use their services, such as Gmail.

On the other hand, the Islamic Republic of Iran is under US sanctions. Therefore, no companies can do business with Iran, so closing or restricting them will negatively affect people’s businesses and, as a result, the lives of millions.

What are the negative effects of the Protection Bill?

With this bill, the Islamic Republic forces people to use only Iranian online platforms and, therefore, its own ideological content. Years ago, after filtering YouTube, Aparat was created with government support, which is a terrible copy of YouTube.

They repeated this process with other websites and apps but, despite the millions of dollars spent from the country’s budget, none of them succeeded. Iranian users still prefer higher-quality foreign platforms.

The important thing is that after all these steps, the use of foreign apps will affect the price of devices such as cell phones, tablets, or laptops. If someone has their own devices and just wants to install these applications, they will have to pay a lot of money, which will be difficult or impossible for most Iranian families in the current situation due to low incomes.

However, this bill will especially affect small businesses. There are currently at least 500,000 active small businesses on Instagram. If this bill is implemented, all these businesses will have to be registered and it will be illegal to operate outside the rules. Small businesses could be unable pay taxes due to high inflation and low income, and many will prefer not to continue working because it will not be financially viable for them.

In fact, this bill does not support users at all; on the contrary, it is to their detriment, because these new laws are not used to prevent abuse or delinquency, and any action that is against the ruling ideology will be practically suppressed. Imagine you want to build a startup and make an app and, after a lot of effort you find an investor. The commission may not license you if they are against your activity, or they may block your activity after you get your license and have been profitable for some time. Obviously this would waste your money, energy, and time.

Rising unemployment rate

According to the latest statistics released in the spring of 2021, the unemployment rate in Iran is 8.8%. The basic salary of an employee is about $200 this year. With these salaries, many young people are unable to pay for the basic necessities of life. So they have to rely on their families or have a second or even a third job to handle expenses.

This problem is more prevalent in small cities and towns because organizations and departments rarely employ anyone. Many have turned to online businesses to make more money. By banning or reducing access to apps like Instagram, their incomes will be cut and the unemployment rate will increase.

Consequently, many people who specialize in handicrafts have already decided to emigrate because if they are hired, the salary is not enough, and working online will be nearly impossible.

Is it possible to pass this bill?

Yes. Although the bill has not got enough votes, according to the laws of the Islamic Republic, the parliament can delegate it to its internal commissions if it is necessary. The parliament may execute this bill or other ones experimentally without the need for public approval.

Deputies who voted in favor of the Protection Bill believe the bill is to prevent fraud. It is clear that the number of criminals is far less than the number of people trying to make money the correct way, and this bill affects the lives of all.

Image credit: Brett Jordan