In economic analyses, the unemployment rate is a major variable in evaluating and determining policies of the labor market. But because this rate is not a true reflection of the labor market, the International Labor Organization (ILO) has proposed the concept of decent work.Decent work involves having an occupation, but also benefiting from the principles such as rights of work, social security and social dialogue. In other words simply having a job is not enough. There are numerous other factors which need to exist in order to have decency of work. These factors include having the right to establish civic societies in regards to work, prohibiting discrimination in employment, respecting the minimum age for work, prohibiting child labor, receiving the required minimum wage for subsistence living, benefiting from social security, having unemployment insurance, empowering the disabled as well as women through their access to suitable job opportunities and the existence of social dialogue among workers, employers and the government. This paper explains not only the major components of decent work, but also looksat Iran’s labor market, to see which of the required elements are missing. It also tries to compare the two based on those indicators which can be calculated through the available information. In conclusion, the paper finds that there is a big difference between Iran’s labor market and what has been defined as decent work. It also suggests providing a national comprehensive plan for decent work in the country.