BH 30703 International Human Resource Economics

Group 16: Migration of worker in Spain

NAMES MATRIC NUMBER

NOR FATIHAH BT YAHYA BB11110389

ROS AMIRA BT MOHD SUDIN BB11110503

SUZANA GUPOH BB11110585

SITI NORHIDAYAH BT ABDUL WAHAB BB11110556

• CHAPTER 1: INTRODUCTION

SPAIN

Flag

Map

Spain profile

Capital Madrid

Area 504,750 square KM

Language Castalian Spanish, Catalan

Region Europe

Population 2012 48,126,561 million

Currency Euro

GDP per capita 2012 US$ 30,625

Background

Ethnic groupsComposite of Mediterranean and

Nordic types

Religions Roman Catholic 94%, other 6%

Languages

Castilian Spanish (official) 74%,

Catalan 17%, Galician 7%, and

Basque 2%

Birth and Death Rate

  Average population (x

1000)

Live births Deaths Natural change

Crude birth rate

(per 1000)

Crude death

rate (per 1000)

Natural change

(per 1000)

2000 40 264 397 632 360 391 37 241 9.9 9.0 0.92001 40 476 406 380 360 131 46 249 10.0 8.8 1.12002 41 035 418 846 368 618 50 228 10.1 8.9 1.22003 41 827 441 881 384 828 57 053 10.5 9.2 1.42004 42 547 454 591 371 934 82 657 10.6 8.7 1.92005 43 296 466 371 387 355 79 016 10.7 8.9 1.82006 44 009 482 957 371 478 111 479 10.9 8.4 2.52007 44 784 492 527 385 361 107 166 10.9 8.5 2.42008 45 668 518 503 384 198 134 305 11.4 8.4 3.02009 46 239 493 717 383 209 110 508 10.7 8.2 2.52010 46 486 485 252 380 234 105 218 10.5 8.2 2.32011 46 667 470 553 386 017 84 536 10.2 8.37 1.82012 46 818 452 273 403 785 48 488 9.7 8.5 1.2

Data Of Population, Employment, Unemployment And Net Migration Rate

Year Population

(million)

Employment (%) Unemployment (%) Net migration rate

(migrant(s)/1000

population)

2000 39,996,670 86 14 0.88

2001 40,038,000 86 14 0.87

2002 40,077,100 88.7 11.3 0.87

2003 40,217,410 88.7 11.3 0.99

2004 40,280,780 89.6 10.4 0.99

2005 40,280,780 90.8 9.2 0.99

2006 40,397,840 91.9 8.1 0.99

2007 40,448,190 91.7 8.3 0.99

2008 40,491,050 86.1 13.9 0.99

2009 40,525,000 81.9 18.1 0.99

2010 46,505,960 80 20 2.73

2011 46,754,780 78.3 21.7 3.89

2012 47,042,980 78.3 21.7 5.02

Inflow and outflow of migration in SpainYear Inflow of foreign population Outflow of foreign population

2000 330.881 -

2001 394.048 -

2002 443.085 6.931

2003 429.524 9.969

2004 645.844 41.936

2005 682.711 48.721

2006 802.971 120.254

2007 920.534 198.974

2008 692.228 232.007

2009 469.342 288.269

2010 431.334 336.676

2011 416.282 317.699

Foreign population in SpainYear Population % total1981 198,042 0.52%1986 241,971 0.63%1991 360,655 0.91%1996 542,314 1.37%1998 637,085 1.60%2000 923,879 2.28%2001 1,370,657 3.33%2002 1,977,946 4.73%2003 2,664,168 6.24%2004 3,034,326 7.02%2005 3,730,610 8.46%2006 4,144,166 9.27%2007 4,519,554 10.0%2008 5,220,600 11.3%2009 5,598,691 12.0%2010 5,708,940 12.2%2011 5,730,667 12.2%

Origin of Immigrants

Origin Percentage of total

immigrants (%)

Latin America 34.28

European Community 23.58

Africa 19.09

Moroccan 13.77 (535,009p)

Ecuatorian 10.29 (399,585p)

Rumanian 9.83

British 7.05

Colombian 6.14

Foreign Residents in Spain in 2010

 Country  

Romanian 800,000

Moroccan 710,000

Ecuadorian 410,000

British 370,000

Colombian 290,000

Bolivian 4.1 %

Italian 3.4%

Bulgarian 2.9%

Chinese 2.6%

Argentine 2.5%

Employed Population according to nationality by sectors and sexTable Layout

 Unit: People (thousands)

Agriculture Industry Construction Services

Male Female TOTAL Male Female TOTAL Male Female TOTAL Male Female TOTAL

TOTAL 731.2 269.5 1,000.7 2,467.0 813,0 3,279.9 2,230.1 127.1 2,357.2 5,960.5 6,374.812,335.3

SPANISH POPULATION

614.0 237.3 851.2 2,267.4 755.8 3,023.2 1,799.2 118.3 1,917.6 5,520.7 5,591.41,1112.1

Spanish Double Nationality

612.9 1.1

236.8 0.5

849.6 1.6

2,257.9 9.5

752.1 3.7

3.010.0 13.2

1,785.5 13.7

117.5 0.8

1,903.1 14.5

5,484.4 36.3

5,539.1 52.3

11,023.5 88.6

FOREIGN POPULATION

117.2 32.3 149.5 199.6 57.1 256.7 430.8 8.9 439.7 439.8 783.4 1,223.2

European Union Rest of Europe Latin America Rest of the World

4.5 34.4 32.4 45.9

2.5 16.210.9 2.7

7.0 50.6 43.2 48.6

27.0 40.7 70.5 61.3

11.3 10.4 26.8 8.7

38.3 51.1 97.3 70.0

34.1 101.0 203.9 91.9

2.6 0.9 4.0 1.4

36.7 101.9 207.9 93.3

87.7 58.1 199.4 94.7

103.0 149.0 466.2 653.0

190.7 207.0 665.5 160.0

CHAPTER 2: LITERATURE REVIEW

• Samuel Bentolila, Juan J. Dolado and Juan F. Jimeno (2008) stated

that there were large waves of immigration, especially since 2000, coming

mainly from Latin America, North Africa and Eastern Europe.

• According to Giovanni Peri (2012) start from 1999 to 2009, the share of

foreign-born in the population in Spain rose from to 3 to 13.5 percent.

• Fernandez and Ortega (2008) report that immigrants have slightly less

schooling than natives.

o Based on study by Raquel Carrasco and J. Ignacio Garcia Perez (2012) Spain faces the highest unemployment rates compared to other E.U in 1996.

o Besides that, immigrants are more sensitive to changes in economic conditions, both in terms of unemployment and employment hazards.

o Unemployed workers in Spain are covered by two successive benefits:

1. A contributory insurance benefit and an assistance benefit. Unemployment Insurance can be paid to a registered unemployed person aged 16-64, who is actively seeking work, and who did not leave previous job voluntarily.

2. Unemployment assistance grants income to those 16 to 64 year old workers with

dependent and income below a certain threshold, who have exhausted their

entitlement to contributory benefits and to those with no entitlement to contributory

benefits, but who paid contributions for at least 3 months.

• In the research of Giovanni Peri (2012) he stated that in Spain the Socialist government has promoted during the last two years a “pay to go” initiative offering cash-payments for immigrants to leave the country.

• Pritchett (2006) in the research also stated that the gains from increasing international mobility, even by a little, are much larger than those that can be obtained by fully liberalizing international trade, estimated in2005 to be $104 billion.

• The foreign population in Spain is mostly from other EU countries, Latin America, and North Africa.

• Clemens, Montenegro and Pritchett (2009) stated that by allowing people to move to countries where they can produce four to five times more value per hour of work on average than in their country of origin, migrations allow the deployment of world human resources in a massively more efficient way.

• According to Docquier, Ozden, and Peri (2010) workers with higher education and in particular a college education, have emigration rates 4 to 5 times larger than workers with no college education. For poor countries the probability of emigrating increases up to 10 to 12 times with a college degree.

• Second, several studies show that migrants are young. The cohort with the highest migration probability is the one between 20 and 30 years of age, while after 45 years of age few people migrate.

• Grogger and Hanson (2011) argue that young and highly educated workers with high migration are attracted to countries that pay a high wage premium for college education and where English is the predominant language.

• Movement were motivated by

i) The pass of free movement laws in both Spain and destination countries at the second half of the XIX century,

ii) An increasing population, due to decrease in mortality at the end of the XIX century that was followed by a later decrease in fertility and

iii) Economic stagnation and a weakened political situation after the loss after the loss of the America colonies.

CHAPTER 3: ISSUE AND DISCUSSION

Issue/Problem

1. Concept of national identity

• Concerns about national identity is conditional on the prominence of the

different groups

• Three important factors: perceptual distinctiveness, salience and entativity

• First, immigrants may stand out because many of them have a different

skin color, dress differently and lack fluency in Spanish.

• Regarding salience, immigrant cultural distinctiveness has been gaining

media coverage since the mid-nineties.

• Regarding entativity, immigrants tend to be concentrated in certain areas of Spain,

and in some cases, have strong family and group loyalties, common beliefs and

distinctive cultural practices.

• The natives believe that immigrants’ culture threatens the idiosyncrasy or its way of

life of their country.

2. The Muslim Issue

existence and distribution of a specific group of immigrants affects general

perception about immigration.

For Spanish case, the specific group is Muslim.

The immigration of mainly non-white and Muslim populations poses a threat to the

identity op people

Muslim immigrants have been the main non-European immigrant group in

Spain. (4.111 billion immigrants, 563 012 or 13.59% were Moroccans).

Former president of the Catalan Autonomous Government, Jordi Pujol said

that in Catalonia, as in any European country, it is easy to integrate the Polish,

Italians or Germans, but it is difficult to achieve that with Arab Muslims, even

with those who are not fundamentalists.

Problems have not limited to word, but, in Terassa, Catalonia where 20.64% of

Moroccans and El Ejido in Almeria, where 30% of immigrants are

Moroccans ,Muslim immigrants have been ‘hunted down’ and lynched by

organized groups of local.

3. Immigrant Population booms

o In years 1991, only 1.2% of the Spanish adult population (about 300 000 individuals)

was foreign-born. By 2008, it had reached roughly 13% (5.2 billion individuals).

o Immigrant shock may significantly impact the size of the native employment

response.

o Late 1980s and 1990s Mediterranean countries such as Spain, Portugal and Italy

became immigrant receiving nations for variety factors.

o First: geographical proximity to immigrant-sending regions,

o Second: immigrant receiving nations during the 1950s,1960s, and 1970s, as was the

case in Germany, Switzerland, and France.

o Third: improved economies of Spain (pull factor).

o Causes unemployment among natives because have to compete with

immigrants.

o Immigrants are concentrated in particular occupations: sales and services,

elementary operations, laborers, personal and protective service workers.

o 50% of the immigrants employed in those occupations.

o Because language barriers and less education.

4. Job tenures of native women

As a result of the massive recent entry of many women into the labor market

during the 1980s-1990s.

Women’s shorter tenures translated into a reduced accumulation of job

specific human capital that necessarily lower the cost of relocating to

another job when confronted with increased competition from foreign-born

workers.

Employed native women are, in average, more educated than employed

native men.

Higher the educational level of women, it may increase their job mobility

because they have more skills than the immigrants.

Thus, immigrants are stuck on lower wages jobs.

5. Social implications

Immigrants entails social inequalities in Spain, since foreigners usually accept

bad remunerated jobs.

Affect their salary level

Incomes are not being equally distributes

The most usual sectors for foreigners (apart from what has been written in third

issue) are:

1. HORECA and personal service, 65.0%

2.Manufacturing, 17.3%

3.Construction, 12.4%

4.Agriculture, 5.3%

Immigrants have longer working days but low salaries.

Foreign workers working hours: 41 hours in a week, 41.6%

Native: 32.5%

Foreign workers also work more often overtime, at night and during week-ends.

Survey done by the Ministry of Labor and Social Affairs shows that greater

proportion of non nationals are willing to work more hours in order to earn money.

Consequences: immigrants tend to be less satisfied in term of their job, salary,

physical environment of workplace, health and safety conditions or work

organization.

THANK YOU!!!!

ANY QUESTION???