Ma`rifat Hoghoughi

Labor law, in its reality, is founded upon a dual foundation in which the social goals of protecting workers intersect with the economic requirements of productivity and production sustainability. This research, by examining the sociological and economic foundations of labor law, demonstrates that the conflict between these two dimensions is not merely a result of differences in theoretical perspectives but is deeply rooted in unequal power structures and production mechanisms in modern societies. From the perspective of the sociology of law, the labor relationship does not reach equilibrium without government intervention, and the structural inequality between worker and employer justifies the necessity of protective government intervention. In contrast, labor economics analysis indicates that any protective rule without consideration of economic costs can lead to reduced employment, weakened enterprises, and the expansion of informal employment. An examination of labor law regulations shows that in some cases, protective rules without foresight of complementary economic mechanisms have produced opposite results and have themselves become a factor in excluding vulnerable groups from the labor market. Consequently, resolving this situation requires rethinking the role of government, strengthening intermediary institutions, precisely distinguishing mandatory rules from supplementary ones, and establishing mechanisms for worker participation in workplace decision-making.