Post 2015: Global Action for an Inclusive and Sustainable Future

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CHApTER nInE An important question is the degree to which international labour migration and remittances are inclusive. 176 at the household level, depending on the migrant’s previous contribution, there may be a need to replace forgone production in order to maintain the same standard of living – the so-called ‘lost labour effect’ (oEcD, 2011:89). this may be especially pertinent where livelihoods depend on agricultural labour. but, as argued earlier, lost-labour effects are generally more than offset by remittance income (oEcD, 2011: 92) as migrant workers in richer countries tend to earn far more than their ‘identical’ counterparts in poorer countries (ruhs, 2013). Second, remittance income can act as a disincentive for members of recipient households to participate in the labour market (ratha et al., 2011b), although there may be more demand for labour when remittances are used for productive purposes (combes et al., 2011: 6; lucas, 2008: 8). labour migration can thus increase the opportunities and demand for non-migrant workers. a povertyreducing effect on non-migrant low-income workers has been observed by combes et al. (2011), who show that international labour migration and remittances seem to have substantially reduced the share of workers living on less than $2 a day. this of course mainly depends on the characteristics of the domestic labour market (lucas, 2008; oEcD, 2011; World bank, 2006). Inequality issues an important question is the degree to which international labour migration and remittances are inclusive. research shows significant variation in the impact of remittances on income inequality in migrant-sending countries (black et al., 2006). In some cases, such as Ghana and nicaragua, international migration seems to have exacerbated income inequality (adams et al., 2008; Hobbs and Jameson, 2012). In general, the poorest do not migrate because they seldom ‘have the resources to bear the costs and risks of international migration’ (un, 2006:13). this means that remittances EuropEan rEport on DEvElopmEnt 2013 do not flow to poorest households or to the poorest countries (unDp, 2009:72) and are often concentrated in specific regions within countries. In nepal, however, international labour migration has equally become a livelihood strategy for poorer families (pandey et al., 2012:106). the fact that poorer workers tend to migrate within the region contributes to the fact that international as opposed to cross-border or regional migration may have different effects on income inequality in the sending country. In burkina Faso, for instance, international migration tended to increase household income inequality whereas regional migration seemed to have had the opposite effect (Wouterse, 2008). the effect on income inequality in sending countries could change over time and become more inclusive as a result of network effects (mcKenzie and rapoport, 2007). low-skilled migration is more likely to reduce the severity of poverty and inequality in the sending countries than is migration of the higher skilled (Iom, 2008; Ebeke and le Goff, 2009). the increased possibility of labour migration for poorer households, access to labour markets as well as a reduction in the costs of mobility would help to ensure greater equity in any potential benefits for labour migrants as well as the sending countries. the effects of labour migration on income inequality in sending countries are by no means the only aspect of inequality. the impact of labour migration plays out at different levels and can have profound implications for households and ruling elites and also between countries. remittances from diaspora organisations, for example, can support local elites and reinforce established power structures as has been observed with some londonbased nigerian diaspora. 132 Such contributions may entrench ‘traditional authority’, power imbalances and socioeconomic inequalities in the country of origin (lampert, 2012). 132 Diaspora organisations are often made up of higher-skilled migrants, and the nigerian diaspora organisations based in london are maledominated (lampert, 2012).
Social impact and psychological wellbeing relatively few studies examine the psychological and social implications of labour migration for ‘transnational’ families. In nepal, the predominance of male labour migration is associated with an increase in cases of divorce and elopement (pandey et al., 2012). concerns have especially focused on the psychological welfare of the children of migrants and on the social consequences for families and youth. In the philippines, where international labour migration is a long-established phenomenon, there seems to be no major difference in the psychological wellbeing of the children of migrant or non-migrant parents. In other asian countries, such as Indonesia or vietnam, negative effects have been observed. this is not to argue that non-migrant families represent an ideal, but that parental migration may have long-term implications that social policies may need to take into account. cultural and social norms and how labour migration is perceived, as well as whether there are adequate support structures for those left behind, are factors that influence the effect of parental migration (Graham and Jordan, 2011). In sum, while the findings depend on the socioeconomic circumstances in the sending country, the costs of migration and the question of who can migrate, and although the costs and risks should not be downplayed, overall the impact of labour migration seems generally positive for the migrants and their families. In particular, the negative economic impacts for migrants and sending countries tend to be small and are often outweighed by the positives of higher income and remittances. thus, creating more opportunities for low-skilled workers to migrate, facilitating their access to labour markets and reducing the associated costs, could provide immense gains for the labour migrants and their families as well as through wider macroeconomic effects. these measures would also make the gains from labour migration more inclusive, although policies to govern labour migration should seek to avert the potential negative social implications. 9.2.2 The impact of labour mobility on receiving countries political debates in migrant-receiving countries often focus on the perceived economic burden of immigration, characterised by a loss of jobs, lowering of wages, strains on public services, social tensions and increased criminality (unDp, 2009). this is particularly true at times of economic downturns. Yet empirical findings show a more nuanced picture of the impact of labour migration on host economies and societies, and strong contextual variations. although there are some negative aspects, many of the concerns and fears are based on misconceptions. at the same time it is important to acknowledge that while there can be economic gains for receiving countries, these are not equally distributed and that the immigration of low-skilled workers may benefit some people but disadvantage others. First, the effects of labour migration on the labour market, especially on wages, depend on the skill structures of migrant and local workers (Dustman et al., 2008) and on whether there are policies to regulate migrants’ working conditions. the ‘inflow of low or semi-skilled workers to a developed country might reduce the real wages of its own lowskilled workers, [yet] their presence might at the same time be to the advantage of highly skilled workers and the economy more generally, as both stand to benefit from lower prices for goods and services provided by the migrant workers’ (Iom, 2008:43). In economies with relatively flexible wage structures, such as the uSa, there is some evidence that the additional labour supply depresses the wages of workers with the same broad level of education (borjas, 2003). this can also be the case when migrants do not complement the existing workforce (muenz et al., 2006). Where wages are less flexible, as in much of Europe, the impact of migrant labour tends to translate into higher unemployment (muenz et al., 2006). these negative impacts often most affect existing migrant workers (brueckner, 2012), particularly youth. the exact impact on real wages is strongly disputed, poSt-2015: Global actIon For an IncluSIvE anD SuStaInablE FuturE Political debates in migrantreceiving countries often focus on the perceived economic burden of immigration. Yet empirical findings show a more nuanced picture of the impact of labour migration on host economies and societies, and strong contextual variations. 177
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EUROPEAN REPORT ON DEVELOPMENT 2013
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MOBILISING EUROPEAN RESEARCH FOR DE
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FOREWORD The development road we ha
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ACknOWlEDgEmEnT The European report
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TAblE OF COnTEnTS ACKNOWLEDGEMENT V
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CHAPTER 9. PEOPLE: LABOUR MIGRATION
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Figure 5.2 Evolution of depth of po
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EITI Extractive Industries transpar
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PSG peace-building and state-buildi
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mainly countries in Europe, north a
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ExEcutivE Summary poSt-2015: Global
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ExECuTIvE SummARy poSt-2015: Global
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poSt-2015: Global actIon For an Inc
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THE DEPLOYMENT OF A BROAD RANGE OF
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introduction poSt-2015: Global actI
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2. The case for global collective a
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upon in order to promote a developm
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to achieve inclusive and sustainabl
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contribute to a global framework fo
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Part i. KEEPing thE PromiSE of thE
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mortality, and clean water and sani
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Table 1.2 Non-income MDGs, 1990-201
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Several regions significantly reduc
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Figure 1.1 Sectoral allocation of b
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of tailored objectives that are ins
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policy discourse. In particular, th
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processes and implementation arrang
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NEPAL RWANDA COTE D’IVOIRE PERU E
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• Nepal after over 200 years as a
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Box 2.3 Côte d’Ivoire’s MDG ac
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Declaration and the mDGs, and were
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drive or obstruct poverty-reduction
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Driven by political survival and co
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oader political processes in which
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incentive structures within which e
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partners: their capacities as donor
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Box 2.9 Fragility - Country case ex
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towards the achievement of the mDGs
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3.2 The EU’s role in advancing th
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at the 2010 mDG Summit, un member s
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adopted by individual governments,
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discussions on pcD are not based on
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Part ii. thE changing contExt for a
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Figure 4.1 Changing global power 20
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crops (ErD, 2012). at the same time
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egimes, and donor-driven aid condit
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for an Eu position to be agreed ahe
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of people living in extreme income
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the mDGs needs to concentrate on th
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deprivation, whether directly or th
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has been declining since the early
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vulnerability (ErD 2012). this repo
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a set of global development goals i
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need to focus on eradicating existi
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27.5 25 22.5 20 17.5 15 12.5 10 7.5
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105 100 90 80 70 60 50 40 30 20 10
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due to the so-called arab Spring in
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moreover, migration policy can shap
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the Eu and 9% for the uSa. these sh
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accumulation patterns (from 35% of
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Table 6.1 Poverty projections expec
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6.3.1 Atmosphere and global warming
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supports ecosystem services that pr
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about 70% (mainly led by china, Ind
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scarcity leads to high and volatile
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ECONOMY DEMOGRAPHY ENVIRONMENT NEUT
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Part iii. drivErS of thE global Par
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Current USD Billions Current USD Bi
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global financial crisis has reduced
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lmIcs and lIcs (oEcD, 2011b). Figur
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Box 7.1 Efforts to increase tax rev
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While SSc is not new, it has receiv
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India (de Jesus, 2012). there has b
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levels of formal education. third,
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While the mobilisation of funds fro
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Box 7.4 EU blending facilities Sinc
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Page 165 and 166: Figure 7.8 Net capital flows to dev
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Page 171 and 172: Box 7.8 Implications for post-2015
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Page 175 and 176: PREDICTABILITY ALLOCATIVE EFFICIENC
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Page 181 and 182: Box 8.1 Joining the flying geese Ka
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Page 187 and 188: 1.4 1.2 1.0 0.8 0.6 0.4 0.2 0.0 Sou
Page 189 and 190: Figure 8.2 Share of primary commodi
Page 191 and 192: Box 8.2 Political economy of commod
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Page 201 and 202: impede exports to Eu, which are inc
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Page 213: Macro-economic impact International
Page 217 and 218: labour during that period. this pro
Page 219 and 220: Millions 10.4 4 N 3 2 1 0 Mexico-US
Page 221 and 222: migration programmes (tmps) are usu
Page 223 and 224: date, four mobility partnerships ha
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Page 229 and 230: 9.5.2 Mode IV in the WTO the Wto’
Page 231 and 232: 9.6.2 What a post-2015 framework sh
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Page 235 and 236: ‘how’). this chapter also consi
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Page 241 and 242: 10.3.1 Poverty eradication as part
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Page 247 and 248: International development partners
Page 249 and 250: at the multilateral level, the link
Page 251 and 252: • South-South Cooperation resourc
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Page 255 and 256: for consultative processes to take
Page 257 and 258: e added later. Equally it would be
Page 259 and 260: - such as their size and geographic
Page 261 and 262: (com, 2011). the aid-effectiveness
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there will need to be a continuing
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unrISD (2010) Combating Poverty and
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moore, m. (2011) ‘The Governance
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Chapter 4 birdsall, n. (2012) ‘Th
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Kharas, H. and rogerson, a. (2012)
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Kharas, H. and rogerson, a. (2012)
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cobham, a. (2012) ‘tax Havens and
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lall, r. (2011) ‘reforming Global
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unDp (2012) ‘What Is South-South
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Fine, b. (2009) ‘neoliberalism in
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Sindzingre, a. (2009) ‘The impact
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chanda, r. (2004) Movement and Pres
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Kouadio, E.K., ouattara, Y. and Sou
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un-InStraW and SaIIa (2007) Gender,
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Winters, a. and martins, p. (2004)
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Goals and Targets (from the Millenn
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Goals and Targets (from the Millenn
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conflict assessment, which also del
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the case study report suggests that
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in rwanda compared to an average of
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large educated class. Immigration w
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administration, with greater autono
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example, in low increases in tax ef
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AnnEx 3 - CORE pRInCIplES FOR InvES
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MOBILISING EUROPEAN RESEARCH FOR DE
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