Labor law, as one of the important branches of social law, has been formed with the aim of regulating relations between workers and employers and protecting the workforce against structural inequality. Despite Iran and Iraq’s membership in the International Labor Organization (ILO) and the adoption of labor laws in both countries (Iranian Labor Law, 1369 and Iraqi Labor Law, No. 37, 2015), national and international reports indicate a deep gap between codified laws and the implemented reality in the labor markets of these two countries. This study, using a descriptive-analytical method and a comparative approach, examines the most important structural, legal, and institutional obstacles to the effective implementation of ILO core standards in Iran and Iraq. The findings show that both countries have paid considerable attention to protective principles at the legislative level and are largely in line with international standards on issues such as the prohibition of forced labor and the determination of the minimum age for employment. However, they face serious challenges at the implementation level. In Iraq, the expansion of the informal economy (66.6 percent of total employment), the very low rate of women’s economic participation (only 7 percent), the youth unemployment rate (35.8 percent), and the chronic political instability since 2003 are considered the most important implementation obstacles. In Iran, despite a relatively robust social security structure, there is a deep gap between the minimum wage and the real cost of living (about 56 percent) and limitations on the independence of trade unions.