Written by Steven Blaakman.
Migrants contribute about 10 % to the world’s gross domestic product and are likely to gain in importance due to skills shortages and an ageing population in host countries. Labour migration also has a significant impact on the countries of origin, both positive and negative. The overall impact of migrant workers on their countries of origin varies depending on the circumstances. In 2022, there were 167.7 million migrant workers globally, 93 % of whom were employed. Some 90 % of migrants move voluntarily, mostly for economic reasons.
Remittances sent by migrants have become an important source of income for their countries of origin, reaching about US$656 billion in 2023. Additionally, diasporas can serve as a means for countries of origin to exercise more influence beyond their borders. These countries can also reap the benefits of the skills and knowledge acquired by returning migrants. Some countries, such as India and the Philippines, have policies in place to maximise the possible benefits.
On the other hand, the exodus of migrant workers can exacerbate skills shortages in their home countries, particularly in smaller ones. In addition, migrant workers may encounter substandard working conditions and lower wages compared to local workers.
Read the complete briefing on ‘How labour migration affects countries of origin‘ in the Think Tank pages of the European Parliament.
Comments are closed for this post.