On the other hand, economic policies, population size, family ties, educational deficiencies, dilapidated infrastructures, lack of social amenities, social strife, political crises, poverty and war have equally been attributed as push factors from these sending countries.
The study of labour migration across international borders especially between developing and the developed countries as well as the increasing growth in the last twenty years has become an important issue in contemporary economic analysis and a potential source of great worry particular for decision makers aside from economist. Inferences have constantly been drawn from various statistical data on its numerous effects (both positive and negative) with particular reference to economic growth, increasing fiscal costs, balance of payment imbalances, welfare and cultural shocks, and the resultant social imbalances of 'brain drain' and 'brain gain'.
The above has equally generated a widespread debate often leading to a high level criticism on the need to stop the high prevalence because of the perceived negative impact on both the receiving and sending countries. Some have argued that the constant influx of workers into the receiving countries if not stopped, will lead to depressed wages of domestic workers, extreme pressure on the available scarce resources and unprecedented rise in unemployment. In the same vein, others have argued about the skill shortages and the resultant increased poverty of particularly the developing countries as a result of 'brain drain' they experience.
Counter arguments with empirical evidences have also suggested that 'brain drain' should be reconsidered as 'brain gain' as the developing countries economic growth indexes, technology as well as improved balance of payments through remittances was largely derivable from human capital exportation. (It was estimated that yearly remittances from migrants worldwide grossed over $400 billion).
This study will be attempting to analyse critically: what is labour migration all about & the reasons behind labour migration. Its recent increasing growth in labour and subsequently proceed to consider empirically the effects of migration on the sending countries.
It is important to make a clear distinction of the following terms to allow for full understanding of the subject matter:
Immigration
Emigration
Migration
Sending countries
Receiving countries
'Push' factors
'Pull' factors
Developed country
Developing country
Immigration simply means to relocate into a new environment, or a country, in order to settle down there;
Emigration simply refers to relocating out of one's own country to another;
Migration on the other hand refers to moving from one place to another for the purposes of performing specific task;
Sending countries refers migrants' native countries;
Receiving countries refers to countries where the migrants relocate to reside;
Push factors can be described as factors responsible for the migrant's decision to relocate abroad;
Pull factors can be described as receiving countries features that potentially could be to a migrants' attraction.
Developed country is "one that allows all its citizens to enjoy a free and healthy life in a safe environment." (Kofi Annan, 2000)
Developing country is generally used to describe a nation with a low level of material well-being
WHO IS A MIGRANT & WHAT IS LABOUR MIGRATION ALL ABOUT?
The International Labour Organisation describes a 'migrant worker' as a "person who migrates from one country to another with a view to being employed otherwise than on his own account" (ILO, 1949 Article 11, Paragraph 1)
The United Nations General Assembly in resolution of December 1990 describes a 'migrant worker' as "a person who is to be engaged or has been engaged in a remunerated activity in a state of which he or she is not a national", (UN 1990).
According to the International Labour Organisation (ILO), the global population stands at 6.05 billion (see table 1 and figures 1-4 for growth trend), 85% of this world population size reside in the 164 countries termed as 'developing countries' of the world. The world active labour force as at 2009 is estimated to be 4.9 billion (Men- 3.2B; Women- 1.7B) (see table 2) with majority falling between the ages of 15 & 44 (see figure 5) of which 294 million (representing 6%) exist as migrants and 90% of these figures residing in developing countries. 60% of those residing in developing countries have also been estimated to have relocated or in the process of relocating to developed countries of Europe (Europe hosting about 70.6 million in 2005), some parts of Asia, United States, Canada and Australia. (See figure 6). 72% of these relocated labour forces are employed in the service industries, with industries, agricultural sectors having 25% and 3% respectively.
The identified top ranked sending countries include Mexico, Poland, Bangladesh, Vietnam, Colombia, Kazakhstan, South Africa, Sri Lanka and Philippines whilst the top ranked receiving countries are Germany, France, Italy, Russia, United Kingdom, Spain, United States of America, Canada and Australia
The mass exodus of these productive force have been largely predicted to subsist due to the persistent problems of poor living conditions, poverty as well as insecurity which remain the hydra-headed difficulties the developing countries don't seem have solutions to.
Intellectuals have strongly argued extensively that the evil of labour migration to the sending countries by all standards far outstrips all perceived or anticipated benefits.
Barro & Martin (1995) supports this view and likewise predicted that the migration of skilled labour will continue to negate economic growth aspirations of sending countries. This is because, the receiving countries establishes the employment conditions and places best premium for its money.
Straubhaar & Wolburg (1998), corroborated this statement by a study of Eastern Europe economic growth for the 1990s wherein, the major retardant of the economic growth drive was largely attributed to the exodus of its productive work force.
Krugman & Obstfeld (2003) supported the statement of income inequality consequences of labour migration, however noted that it will lead to an increase in world's output.
Olimovo & Bosc (2003) disagreed with the above statements. A study of Tajikistan conducted reveals how labour migration assisted in easing 'social discontent' from mass unemployment that resulted when the economy fell apart. Migrant workers from Tajikistan became a vital component in the machinery for economic growth.
Khadria's (2002) study of India reveals that remittances from the migrants constituted a major part of the country's financial inflow. Indian migrants further extended support to their home country through foreign direct investment and technology transfer when they convinced Hewlett Packard (HP) to have an operation hub in India.
Passey (2004) reveals that Mexico's returning migrants have been contributors to developing local communities and assisted in reducing the rural-urban migration drift through the provision of resources and improving social infrastructures.
For a robust analytical review and better insight into appreciating why labour migration does occur with links to its high incidences, it becomes essential also to view the several reasons along the following perspectives: Are these labour migrants moving for economic reasons or non-economic reasons? Are they forced or voluntarily migrating from conducive or non-conducive internal structures at home? What will be the consequences, if any, on their sending countries?
The major reasons for labour migration could be summarized as follows:
WAGE DIFFERENTIALS:
In most developing countries, there exists a high significant wage differential arising from urbanization and resultant 'economic inequalities'. An intended migrant worker will juxtapose the expected earnings abroad vis-à-vis the associated relocation cost. Where the former is higher, the rationale to relocate becomes highly justified.
UNEMPLOYMENT:
Unemployment and displacement arising from rapid technological changes through globalization could cause rise to a massive concentration of displaced workers who in turn search for better opportunities where the system is more dynamic.
PURCHASING POWER PARITY:
A migrant's quest for an enhanced personal economies of scale through a stimulated analysis in the workings of the 'purchasing power parity' and anticipated higher standard of living will always make relocation become apparent and the motives highly visible for such worker.
WELFARE PACKAGES:
Welfare packages which are linked to the direct relationship between income and post tax adjustment system have been a motivating factor behind massive pull into the developed countries. Basic mortgage facilities aside from other ancillary benefits are made derivable from basic employment.
LACK OF SOCIAL AMENITIES & INFRASTRUCTURES:
The non-availability of basic social infrastructures amenities in the developing countries and non attention to these provisions as a priority makes it rather disheartening. Whilst the cost of migration at times may create a challenge for the migrant in terms of migration expenses, culturally realignment, learning a new language and adjusting to new weather conditions, the incentives derivable from an expected improved life condition, such as acquisition of better skills through education, exposure, training as well as better living standard may become dominating in migration decision making.
POOR PLANNING POLICIES
Poor demographic policies and non-compliance with policy issues on planning, often leads to an exerted pressure on scarce resources and thus causes great distortion in its efficient allocation. Mostly at times, the resultant effects leads to social strife, war and eventually poverty which forces both the skilled and unskilled work force out of such countries in search of a secure haven.
PROXIMITY:
Geographical distance as well as significantly lower transportation cost between countries often plays a great factor in labour migration especially where the developed country shares a border line with the developing countries. Typical examples are Mexico and the United States as well as Poland and Germany.
NATURAL DISASTER:
Natural disaster such as drought and famine could be responsible for labour migration. Dearth of scientific research causes inadequate preparation in terms of preventing or limiting the effects of future natural disasters and the aftermath effects leaves the country with food shortages, hunger and the population impoverished thereby 'pushing out' its citizenry for quest of survival.
FAMILY TIES
Reunion of family members or partners through transnational marriage often leads to work skills being transferred to the receiving countries.
The effects of labour migration could be examined from both the negative and positive perspectives.
The negative being:
Brain drain and loss of expertise
Skill shortages
Loss of public investment
Forced slavery overseas
Family disintegration
High mortality rate
The positives being:
Brain gain
Remittances
Tourism
Foreign direct investments
Foreign aid support
Technology transfers
Promotion of trade links
Education, Skill acquisition and knowledge transfers
SUMMARY AND CONCLUSION
The debate of labour migration and its effects on the sending countries continuously open for future research and this essay will not attempt to draw a conclusion on it.
The obvious reason is that, despite significant development in the sending countries, there is a high penchant for migration especially in this era of trade and technology linkages through globalization.
Labour migration can never be stopped even when there is development internally within a country because 'development does not reduce the impetus for migration, it increases it' Massey (1988)
For example,
30% of Mexico's scientific and engineering educated population with PhD reside in USA
India ranks amongst the ten largest economies in the world and yet remains an important player in the global supply of professionals and students with over 18000 of its medical doctors living in the UK.
China GDP ranking second in the world after the United States yet emigration from China remains the main desire of its skilled labour.
30% of Ghanaians most educated population reside abroad
Despite Bulgaria's recent inclusion in the Shengen states agreement, many Bulgarians are still eager to emigrate.
Sri Lanka has a member of every family household working abroad.
South African has over 8000 nurses and midwives working in the UK
50% of foreign students with PhD still reside in the USA after 5 years of qualification.
Rationally, so long as opportunity does exist, migrants will be attracted to such opportunities. However, labour migration should not be seen as a problem which developing countries should analyze solutions for rather they are advised of a more coherent policy for migration and development.
In addition, 'Developing countries in particular may have a lot to gain in terms of growth, investment, human capital accumulation and poverty reduction if they manage to restructure effectively their economies following emigration and diffuse these benefits throughout the economy', Katseli et al (2006).
Notably, Philippines recent growth through trade, tourism and investment promotion is derivable directly from its human capital exportation.
Africans' labour migrants have be credited for assisting in boosting their home countries terms of trade. The strong ties for African food has greatly encouraged farmers in sending countries to set up foreign African shops thereby boosting export earnings for sending countries.
Foreign jobs taken by Tajikistan citizens in Russia and other Commonwealth of Independent States (CIS) reduced substantially the unemployment rate and boosted internal consumer demand at home.
India is a major force today on Information and Communication Technology (ICT) issues in view of benefits of technology transfer from human capital exportation.
Finally, developing countries should view labour migration as a process of reformation and presumed opportunity than a challenge. The obvious challenge here remains that, decision makers in these countries should seek out preventive measures or alternatively limit inherent political, cultural and social effects of labour migration whilst benefitting immensely from the economic