Galt Global Review

QFS 360

April 4, 2007
a choice of where to call home for skilled Workers
by adrian brijbassi


Leaving home is a part of life. Relocating to a far-flung destination, though, is largely a result of politics and economics. Previous generations of immigrants left their home countries knowing it was likely that they would not return except maybe for momentous family occasions. That’s changing rapidly and leaders of the Western world are concerned.

In January 2006, Peter Sutherland was appointed to examine the impact of migration trends on global economies by the UN Secretary-General, Kofi Annan. Sutherland was formerly head of the World Trade Organization, among other notable titles, and says that how nations deal with immigrants now will play a key role in defining the future economic landscape.

“I think migration is one of the great issues of this century … and at both the national and international level, there hasn’t been the degree of coherence in policymaking that one would have wished,” Sutherland told Newsweek last year following his appointment.

Sutherland and many business leaders are concerned about the number of immigrants returning to their home countries. Nations such as India and China are now booming with economic activity and are becoming increasingly attractive to their citizens living abroad.

In the United States, many skilled workers are becoming disillusioned with the time it takes to obtain work visas and legal residency. Immigration Voice, an advocacy group that monitors government policy, said last year that more than half a million applications were tied up in the bureaucratic cycle.

A growing number of applicants are now taking up opportunities in their home countries rather than sitting on the sidelines in the U.S. “Before, people were willing to wait it out. Now they can do just as well by going back home, and they do,” Murali Bashyam, an immigration lawyer, told the Raleigh News & Observer.

The global fight for talent in the workplace is becoming increasingly competitive and while western countries grapple with migration policy, nations in the Far East are aggressive in their bids to court skilled labour.

China, India and Vietnam are just three countries that offer cash incentives as part of their recruitment efforts and many skilled workers are returning home as a result. In India, for example, the government says there are 25 million “non-resident Indians” living in 125 nations and more than 50,000 a year return to settle back in their homeland.

What worries observers in America is the quality of the foreign-born people leaving. According to a recent article in Forbes, information technology researchers have estimated that in 2005, U.S. companies started by immigrants during the past ten years employed more than 450,000 people and brought in combined revenue of over $52 billion. Harvard business professor William Kerr says talent such as the men and women behind those successes is the kind North American can’t afford to lose.

In an interview with the Harvard Business School Weekly, Kerr said “It is interesting to note that while immigrants account for about 15 percent of the U.S. working population, they account for almost half of our Ph.D.-level scientists and engineers. Even within the Ph.D. ranks, foreign-born individuals have a disproportionate number of Nobel Prizes, elections to the National Academy of Sciences, patent citations, and so forth. They are very strong contributors to U.S. technology development, so it is in the best interests of the United States to attract and retain this highly skilled group”.

This trend is known as “brain re-gain” and is a positive step forward for developing nations who have been losing vast numbers of skilled workers to the developed world for the past decade. Lured by lucrative opportunities, these workers have left behind serious gaps in the labour markets of their home countries. This “brain drain” on their home economies has been beneficial to nations, such as the U.S, Canada, Australia and the United Kingdom, as it has allowed them to meet their workforce needs.

But as the tide turns, it is likely that the developed world will see a 22 per cent decline in its labour force over the next four decades, according to United Nations population projections. It is essential that policy solutions are developed to stem the impact of changing migration trends on Western economies while at the same time ensuring that developing countries are not disadvantaged.

That’s where Peter Sutherland comes in. His work with the UN will help develop recommendations for how to manage the traffic between borders. And to answer more profound questions, like “Would immigrants leave if they didn’t have to? Would they always want to go back home?” His office produced a report last year that put the number of migrants in 2005 at 191 million globally. With that many people moving around the planet, it is important to make a coordinated effort on a global scale to maximize opportunities for great achievement while minimizing potential risks.

“Migration is the mother of progress and invention,” Sutherland wrote in an editorial published in the International Herald Tribune last year. “The will and courage it requires to leave behind family and country are the same traits that have driven entrepreneurs and innovators throughout history. Our world today is shaped by the industry of immigrants.”

 

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