Migrants and Economic Performance in the EU15:

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Wiener Institut für Internationale Wirtschaftsvergl eiche The Vienna Institute for International Economic Studies www.wiiw.ac.at Migrants and Economic Performance in the EU15: 1. their allocations across countries, industries and job types 2. their (productivity) growth “impacts” at the sectoral and regional levels FIW Study by M. Landesmann, R. Stehrer and M. Liebensteiner

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Migrants and Economic Performance in the EU15: 1. their allocations across countries, industries and job types 2. their (productivity) growth “impacts” at the sectoral and regional levels FIW Study by M. Landesmann, R. Stehrer and M. Liebensteiner. Migrants and Economic Performance in the EU15:. - PowerPoint PPT Presentation

Transcript of Migrants and Economic Performance in the EU15:

Page 1: Migrants and Economic Performance in the EU15:

Wiener Institut für Internationale Wirtschaftsvergleiche

The Vienna Institute for International Economic Studies

www.wiiw.ac.at

Migrants and Economic Performance in the EU15:

1. their allocations across countries, industries and job types

2. their (productivity) growth “impacts” at the sectoral and regional

levels

FIW Study by M. Landesmann, R. Stehrer and M. Liebensteiner

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Migrants and Economic Performance in the EU15:

wiiw participated in 3 studies recently:

Alvarez-Plata/Bruecker et al (2008): The impact of East-West migration after EU Enlargement

Migration, Skills and Productivity (2009): Background study for EU (DG Enterprise) Competitiveness Report 2009

Landesmann, Stehrer, Liebensteiner (2010): FIW Study

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Content of the study:

Part I: Descriptive Analysis using LFS data

Migrant workers in the EU15; their places of origin, their ‘skills’ (educational attainment levels); their allocations across industries and ‘job types’; skills-jobs mismatches; comparisons with ‘domestic’ employees.

Part 2: Econometric analysis: Migrants and productivity and output growth

LFS data supplemented with industry level (EU-KLEMS) data and regional statisticsMigrants’ presence at industry and regional levels and productivity and output growth; the impact of skill structure of migrants; impact of integration policy indicators.Main challenge: causality and endogeneity issues. Unresolved

Policy Brief: Focus on Austria relative to EU15: skill composition of migrants; skills-jobs mismatches

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Migrants (‚Foreign Born‘) in Total Workforce (%)

0

2

4

6

8

10

12

14

16

18

AT ES SE IE NL UK FR BE IT GR PT DK FI

Period 2000-02 Period 2005-07

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Migrants in total workforces by origin (%)

Migrants in Total Workforce by Origin (%)

0

2

4

6

8

10

12

14

16

00-02AT

00-02BE

00-02DK

00-02ES

00-02FI

00-02FR

00-02GR

00-02IE

00-02IT

00-02NL

00-02PT

00-02SE

00-02UK

Western Europe EU12 Europe Rest Rest of World Rich Rest of World Medium + Poor

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Migrants skill groups in the workforces (%)High skilled

0

2

4

6

8

10

IE SE UK BE ES NL AT FR DK PT GR IT FI

per 00-02 per 05-07

Medium skilled

0

2

4

6

8

10

AT SE UK NL IE ES IT BE FR GR DK PT FI

per 00-02 per 05-07

Low skilled

0

2

4

6

8

10

ES AT FR GR PT IT BE NL SE IE UK DK FI

per 00-02 per 05-07

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Skill Composition of Migrants and of Domestic

Workers by Country (%), 2005-07

0%10%20%30%40%50%60%70%80%90%

100%

D M D M D M D M D M D M D M D M D M D M

AT BE DK FI FR IE NL SE UK EU15

Low Skilled Medium Skilled High Skilled

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Employment shares in high skill industries (%)

Migrants and domestics

0

10

20

30

40

50

60

AT BE DK ES FI FR GR IE IT LU NL PT SE UK

Dom Mig

High skilled migrants and high skilled domestics

0

5

10

15

20

25

30

AT BE DK ES FI FR GR IE IT LU NL PT SE UK

Dom Mig

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Skills mismatches of high-skilled workers - Over qualification (Over-/underrepresentation of migrants

relatively to domestic workers, averages 2005-07)

-1

-0.8

-0.6

-0.4

-0.2

0

0.2

0.4

0.6

0.8

1

AT BE DK ES FI FR GR IE IT NL PT SE UK

Sh1occ3 Sh1occ2

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Relative over-qualification and correct-qualification of

migrants vs. domestic workers, 2005-07

Over qualification

-1

-0.5

0

0.5

1

AT BE DK ES FI FR GR IE IT NL PT SE UK

Sh1occ3 Sh1occ2

Correct qualification

-1.5

-1

-0.5

0

0.5

1

1.5

2

2.5

AT BE DK ES FI FR GR IE IT NL PT SE UK

Sh1occ1 Sh2occ2 Sh3occ3

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Job matching in low skill jobs:domestic workers and migrants, 2005-2007

0

0.1

0.2

0.3

0.4

0.5

0.6

0.7

0.8

0.9

AT BE DK FI FR IE NL SE UK

skill1occ1D skill1occ1M

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Job matching in medium skill jobs:domestic workers and migrants, 2005-2007

0

0.1

0.2

0.3

0.4

0.5

0.6

0.7

0.8

AT BE DK ES FI FR GR IE NL PT SE UK

skill2occ2D skill2occ2M

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Job matching in high skill jobs:domestic workers and migrants, 2005-2007

0

0.1

0.2

0.3

0.4

0.5

0.6

0.7

0.8

AT BE DK ES FI FR GR IE NL PT SE UK

skill3occ3D skill3occ3M

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Austria and its Migrant Labour Force:

Comparison with EU15 peers

Main policy results from Huber et al (2009) and Landesmann et al (2010):

Austria has (comparatively) an unfavourable skill composition of migrants; especially in the context of various skill-biased developments

Evidence of under-utilisation of migrants’ skills (‘brain waste’)

Austria has a comparatively very low indicator on anti-discrimination policy setting

Insufficient use of high-skilled migrants in high-skilled industries and in ‘skill-intensive jobs’ - compared to ‘peer countries’