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EU - USA: Migration, Integration, Trade

Mariana Andrei - Communication Coordinator

31 October 2014

The article summarizes the main European evolutions over the last year in the field of migration and asylum, as well as the labour market trends compared with the case of the US for the same reference areas.

Europe holds 1/3 of the total number of migrants, as compared to 1/10 of the world's population. Switzerland is the preferred destination, with a percentage of immigrants reaching about 30% of the country population. In these circumstances European governments apply selective entry policies, being concerned to attract more qualified immigrants, to integrate poorly qualified immigrants and their descendants who are already settled on the country territory and to prevent the entry of unwanted migrants.

At the end of 2013, the EU 28 population counted 507 million inhabitants, of which 653,000 represented net migration. Denmark and Germany had the highest immigration rates, while Cyprus, Greece and Ireland were the main European emigration countries. The number of mobile European citizens is relatively low (12 million), 1/3 of them being Romanian and Polish. Third country nationals come from Turkey (40%), Africa (25%) and Asia (20%). Some of these are temporary workers who arrived in Europe through the recruitment programmes of Western countries between 1960 – 1970 and their descendants. The migration of temporary workers was not supposed to be permanent. However the demand for labour force continued after the end of the recruitment programme by European governments following the oil crisis in 1973, and migrant workers not only stayed but also brought their families.

The governments of developed European countries make efforts now to integrate poorly qualified immigrants. The unemployment rate of Turks and Moroccans in Germany and the Netherlands is almost twice as high as for natives. In Europe immigrants who have stable jobs generally obtain revenues and benefits which place them above the poverty threshold. In this context, the main concern of European countries is immigrant employment.

In the US, as opposed to the EU, poorly qualified immigrants, although employed, obtain very low revenues and do not benefit from health or social insurance. The wages they get are not a guarantee for a decent living. Things are different however when it comes to attracting highly qualified immigrants, talents. The US had a successful policy in this line, offering facilities to foreign professionals. Similarly, the European Blue Card is the result of an attempt of member states to make Europe attractive for highly qualified immigrants. The programme allows employers to conclude contracts with university graduates, for wages at least 1.5 times higher than the gross average salary in the destination country. After 2-3 years Blue Card holders may apply for a right to stay or may move to another EU country. Actually many European countries allow foreign graduates of national universities to work and settle on their territory.

In 2013 more than 400,000 asylum applications were recorded in member states, mostly in Germany (110,000), France (60,000) and Sweden (54,000). The main countries of origin were Serbia, Kosovo, Russia and Syria. In the same period the US received about 90,000 asylum applications.

Whereas South-East European country governments request support from the other member states to reduce the pressure of the high number of asylum applications upon national authorities, North European states have already faced asylum seekers who left Greece, Italy and Spain to apply again on their territory. Following the Lampedusa tragedy, where more than 350 migrants died, Italy launched in 2014 the extremely costly Mare Nostrum programme (11 mil. USD/month), within which they have already reported the rescue of 90,000 migrants trying to cross the sea from Libya to Italy in insecure boats. The critics of Mare Nostrum say that this programme actually encourages migrants to embark in risky conditions, hoping they would be rescued by the authorities.

The unemployment rate remained high in Euro zone countries (11.5% in August 2014) ranging from about 5% in Germany and Austria to about 24% in Greece and Spain.

The trade exchanges of goods and services between the US and EU-28 totalled 700 billion USD in 2013, which stands for about 1/2 of the gross global product. The Transatlantic Trade and Investment Partnership (TTIP) aims to reduce barriers to European markets and rapid solutions in the case of commercial disputes. The most difficult to overcome are considered the barriers related to food safety, drug safety and dispute resolution.
TTIP faces however a real opposition both in the US, where democrats and trade unions fear loss of jobs, and in Europe, which is against the introduction of genetically modified organisms. It is still to be seen how negotiations will evolve and whether it will be possible to adopt common standards in sensitive areas.

Source: https://migration.ucdavis.edu/mn/more.php?id=3934_0_4_0