Equality and Human Rights Commission (EHRC) - Migration and the national labour force

Live Date: 15/04/2009

Equality and Human Rights Commission (EHRC) - Migration and the national labour force

In a study commissioned by the EHRC from the Washington DC-based Migration Policy Institute, authors Will Somerville and Madeleine Sumption review what is currently known about the position of migrant workers in national labour forces. They state that the consensus amongst economists is that the impact of migration on average wage levels is small -neither depressing nor enhancing the remuneration of native workers to any significant extent. But beyond figures for average wage levels, migration is likely to have more serious impacts on specific groups of workers. Where the entry point into the labour market is low-paid, unskilled employment sectors, migrants are more likely to be in competition with previous immigrants, who had arrived in earlier years but who had not been able to move upwards into better-paid, more secure jobs. Native workers with poor 'soft skills' will also experience greater competition from newly-arriving migrants.

In the longer term, migration appears to encourage native workers to specialise in different types of jobs than those sought by the bulk of migrants. They are more likely to be in sectors with better career prospects and security. For this group the effect of migration is positive and can be measured, amongst other things, in terms of higher wage levels.

The study suggests that policies aimed at addressing tensions in the labour market need to be targeted at the lowest skilled workers, and deal with issues, like educational levels and poor communication abilities, which exist independently of any effects from migration. With regard to the position of firms and communities affected by migration, better data forecasting would assist them in making the necessary adjustments to deal with new migration. The emphasis here needs to be placed on regional and local contexts, as differences from one area to the next have implications for the way migration is managed.

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