Findings from a report published last week by the Boston Consulting Group and The Network are quite interesting. Today, less people are looking to move abroad for work compared to 2014. Still, there is hope.
A labour market weakened by the pandemic
The COVID-19 pandemic has affected the economies of most countries around the world, perhaps more than the 2008 financial crisis. Indeed, unemployment is on the rise almost everywhere, with some countries being more severely affected than others. Job insecurity has become a concern for all governments faced with the social crisis. The United States and the United Kingdom, for example, are no longer what they used to be in the eyes of workers who used to dream of a career abroad.
The 'Decoding Global Talent, Onsite and Virtual' report reflects the opinions of 209,000 people living in 190 countries around the globe. Interestingly, in 2020, only half of those polled still wanted to work abroad, compared to 63.8% in 2014 and 57.1% in 2018. Even though there has been a downward trend for the past four years, the global health crisis starting in 2020 made international mobility less attractive.
Popular destinations are losing their appeal
Some 30 years ago, when people were asked where they would like to live and work, the UK and the US were the first countries that came to their minds. But things have changed since. Canada, for example, has become the new promised land for foreign professionals with all kinds of skills. In fact, Canada has a skills shortage list that can give you an idea of which provinces are looking for what skills. This is why Canada kept its borders open and kept on hiring recruiting foreign professionals and their families during the crisis.
The United States is no longer attractive, even more since Donald Trump replaced former President Barack Obama at the White House. Donald Trump brought a series of restrictions on work and immigrant visas, limiting the entry of professionals from different backgrounds. Thousands of foreign employees and students were even compelled to return to their countries in the past few years, faced with all kinds of pressure.
Germany, France, Spain and Italy have also lost their appeal in the eyes of foreign professionals over the past year are also. The pandemic's impact on their labour market has been disastrous, not to mention border and travel restrictions. Who wants to be quarantined for 14 days at their own expense, undergo PCR tests, or get vaccinated while the existing vaccines' efficiency is still being disputed?
Middle East countries have also been facing an expat exodus since early last year. In an effort to preserve the jobs of locals, austerity measures have been taken, and this is a major drawback for foreign professionals who were contemplating a move there. Hence, there has been a sharp decline in the number of expats in Saudi Arabia, Qatar, Kuwait, etc.
Which countries still look attractive?
Some countries, like Canada and Australia, showed better resistance against the pandemic. For example, Australia kept on processing new visa applications, taking into account its skills shortage list, although it kept its border closed for a longer period. Still, Australia and Canada are perceived by people around the world as being more open, culturally rich and having better social systems. New Zealand has adopted a similar policy to that of Australia. The country is famous not only for its social and political stability but also for high wages, its excellent education system. Its health system, which meets international standards, has enabled better management of the pandemic at the national level.
Asia-Pacific countries such as Japan, South Korea and Singapore are also keeping their attractiveness, according to respondents, despite the health, economic and social crises. Besides, these countries have made massive investments in their health services to limit damages caused by COVID-19. But that's not all. In reality, career opportunities are scarce or practically non existent in many countries, so this drives their populations to countries offering better quality of life and a higher standard of living.
London remains an attractive city for people considering a career abroad despite the impact of the health crisis and new immigration rules following the Brexit. Other European cities like Berlin and Amsterdam also look appealing thanks to their flourishing start-up ecosystems. So those who can still start their own business after a job loss or loss of income can still try their luck.
Moving abroad without looking for work
With the global health crisis, remote work is on the rise around the world. While some have been seizing the opportunity to work for foreign companies without having to move, others have gone a step further. Today, many countries are trying to boost their economies by offering remote work visas. What does this mean? Instead of reopening their labour markets to foreign talent while the unemployment rate keeps on rising, they have adopted a different approach. Dubai, the Caribbean Islands, Georgia, etc., have thus chosen to only open their borders to foreign remote workers by offering a set of advantages.
The remote work visa allows one to stay in the country and work remotely for a company based abroad. In short, remote workers don't have to leave their job before moving. But this also means that they cannot integrate the country's labour market. Still, one of the perks of the remote visa is that applicants can take their family members with them to enjoy a more relaxed lifestyle in the chosen country and, at the same time, escape the pandemic.
With new Covid-19 surges around the world, the global labour market seems to have come to a standstill. Even though some countries are defining new measures to attract expats, the future of international mobility looks uncertain. However, countries' efforts to revive their labour markets and preserve the quality of life and good living standards will play a crucial role.
