Although France is trying hard to boost economic immigration, its main driver of growth, it has been facing a brain drain for many years. So how does France keep on attracting international talent while the local talent is looking for greener pastures?
France remains a top destination for foreign professionals
France is looking to catch up with countries like Canada, Switzerland and the United States, which look highly attractive to foreigners. In France, the number of residence permits granted for economic immigration has been steadily increasing since 2000. The first peak was recorded between 2007 and 2008 when the number of permits issued rose from 11,751 to 21,352.
So how is France drawing foreign talents to the country? With its France Relance Plan and the ChooseFrance program, the French government is focusing on designing investment initiatives at all levels to attract foreign companies. The main components of this strategy are renovating infrastructure and creating competitive ecosystems, like a European hub for creative industries called Plaine Image in the Hauts de France region, or Aerospace Valley, Europe's leading aerospace competitiveness cluster, in Occitania. Contrary to popular belief, France has been one of Europe's top destinations for foreign investment for over 10 years, along with Germany and the United Kingdom. In fact, France has occupied the first place for three consecutive years in the annual barometer published on May 31 by the firm EY. While there isn't necessarily a relationship between investment and employment, the development of these competitive clusters has enabled France to keep pace with its rivals in terms of attractiveness.
And it's all paying off! France stands out thanks to its geographical situation, its competitiveness clusters, and programs to facilitate the settlement of foreign talents (Campus France, talent passport), etc. Moreover, President Macron seems determined to catch up with other powers and ramp up economic immigration.
Immigration in France is on the rise
Under President Macron, immigration levels have shown bigger spikes than with Hollande or Sarkozy. In 2017, 26,872 residence permits on economic grounds were granted, compared with 22,982 the previous year. It was 33,041 in 2018, then 38,545 in 2019. After the COVID pandemic, 26,466 permits were issued. The figures rose again, with 36,095 residence permits granted lately (provisional). Economic immigration is not the only sector to experience a steady increase. Residence permits for studies, family reunification, or humanitarian grounds are also increasing. Some experts believe that economic and student immigration should be stepped up to ensure that international talents are retained. This is what Canada, the leading reference in terms of economic immigration, is doing.
While the year 2020 saw a drop due to the pandemic, statistics from the General Directorate for Foreigners in France show a rapid recovery. In 2020-2021, there was a 54.2% increase in long-stay permits. Of those, the number of visas granted for economic reasons had jumped by nearly 70%. These statistics mainly concern salaried workers (+56.9%), non-salaried workers (+76.7%), scientists (+32.2%), artists (+24.3%) and temporary workers (+96%).
What about the brain drain?
Some may find this situation quite ironic! France has always been a land of immigration, but it is also a country of emigration. The number of emigrants has been increasing for over 10 years. As early as 2016, the Conseil d'Analyse Économique (CAE - Council of Economic Analysis) has been observing this upward trend. The INSEE (National Institute of Statistics and Economic Studies) made the same observation. The number of French expatriates has increased by 52% in 20 years, which, according to the General Directorate of the Treasury, is bound to increase even further.
Far from drawing any alarmist conclusions, the CAE believes that such population outflow can be beneficial to the country's development and to international trade. Indeed, the free movement of workers actively contributes to the multiplication of international exchanges, and by extension, to the strengthening of the economy. Moreover, the fact that French people are being hired overseas speaks of the high-quality education they receive in France. In that sense, it should be considered a virtuous circle that should be encouraged, not criticized.
On the other hand, emigration can become a problem, especially when professionals from an entire sector leave their home country for foreign lands. There is then a significant risk of the country facing a "brain drain". This is the case for French researchers who prefer to settle abroad because of the lack of opportunities in their own country. Insufficient salaries, lack of recognition and job insecurity are among the main reasons. Many other French graduates who cannot find a job in France prefer to move abroad. They often find in their host country what they feel France cannot offer them: a job that matches their skills with adequate pay. At the end of the day, this is a loss for France, according to the CAE.
The bottom line
France, therefore, remains an attractive destination, but to varying degrees. Unlike Canada and other countries, France does not communicate extensively about its need for international talent. Likewise, many locals still see France as a closed, unattractive country that lacks mobility. Switzerland, the United States, Germany, Australia and Canada enjoy a better perception in terms of global mobility. That is why the French government wants to act on both sides of the same coin by promoting the country's image as a land of opportunities internationally.