MODE 4 OF THE MODE 4 OF THE GATSGATS

Taking Stock and Moving Taking Stock and Moving ForwardForward

G. HultinG. HultinCaden Corporation S.A.Caden Corporation S.A.

WTO Symposium, 22 September 2008

Migration – a growing Migration – a growing realityreality

More than 190 More than 190 million international million international migrantsmigrants Growing 3% annuallyGrowing 3% annually

67 million – 67 million – displaced by conflictdisplaced by conflict

250 million – 250 million – estimated effect by estimated effect by global warming by global warming by 20502050

Estimated Number of I nternational Migrants

0

20

40

60

80

100

120

140

160

180

200

1960 1965 1970 1975 1980 1985 1990 1995 2000 2005M

illio

ns

Traditional origins and Traditional origins and destinations destinations

Source: OECD and UN Population Division statistics

Worker migration:

……but the situation may but the situation may be changingbe changing

Source: Manpower Inc. Borderless Workforce Survey, 2008

Top 10 countries recruiting foreign talent

1. China

2. United States

3. India

4. United Kingdom

5. Germany

6. Japan

7. Spain

8. France

9. Canada

10. Poland

Talent in demand in Asia Talent in demand in Asia as its labour moves to as its labour moves to

higher value higher value Annual employment Annual employment

creationcreation Industry abt. 12 Industry abt. 12

millionmillion Services abt. 28 Services abt. 28

millionmillion

Of service jobsOf service jobs 9% in US, Europe9% in US, Europe 73% in Asia73% in AsiaSource: ILO, Imputation, Estimation and prediction using KILM Data Set

Employers cannot find Employers cannot find the skills to fill jobsthe skills to fill jobs

Top 10 most difficult jobs to fill1. Skilled Manual Trades

2. Sales Representatives

3. Technicians (production/operations, engineering, maintenance)

4. Engineers

5. Management/Executives

6. Labourers

7. Secretaries, PAs, Administrative Assistants & Office Support Staff

8. Drivers

9. Accounting & Finance Staff

10. IT Staff (primarily programmers/developers

……and increasingly turn and increasingly turn to foreign talentto foreign talent

Source: Manpower Inc. Borderless Workforce Survey, 2008

Top 10 jobs filled with foreign talent

1. Labourers

2. Engineers

3. Production operators

4. Technicians

5. IT staff

6. Sales representatives

7. Administrative assistants/PAs

8. Customer service representatives

9. Senior executives/Board members

10. Accounting & Finance staff

The majority relocate for The majority relocate for jobs of low to medium jobs of low to medium

skillsskills 80% of labour migrants 80% of labour migrants fill jobs of low to medium fill jobs of low to medium skill levelsskill levels

Distance that individuals Distance that individuals are willing to relocate for are willing to relocate for workwork Anywhere in the world Anywhere in the world

37%37% Within current country Within current country

20%20% Within hours of current Within hours of current

home 19%home 19%1 2 3 4 5 6 7 8 9

million3 2 1 million

16

%

14

%

23

%

47

%

53

%

41

%

7%

22

%

12

%

11

%

24

%

35

%

27

%

6%

Source: OECD, Immigrant Populations in the 21st Century, 2008

Self-improvement and Self-improvement and career drive white collar career drive white collar

workerworker Top five reasons for Top five reasons for white collar workers white collar workers to relocateto relocate Increased pay 82% Increased pay 82% Career opportunity Career opportunity

74%74% Better employment Better employment

73%73% Culture/environment Culture/environment

51%51% New language 47%New language 47%

Source: Manpower Inc., Relocation for Work Survey, 2008

……while jobs and income while jobs and income motivate blue collar motivate blue collar

workersworkersEconomic growth

job opportunity

networks & affinity

culture and social distance

distance

transporation cost

life quality

security

stability

self-branding

professional develpment

income

People with low skillsPeople with professional or technical skills

en

viro

nm

en

tjo

urn

ey

ind

ivid

ual

Source: Manpower Inc., Latin American Mobility Study, 2007

The economic case for The economic case for migrationmigration

Jobs go where people are

People go where jobs are

The policy case for The policy case for migrationmigration

Stop trafficking of human beingsStop trafficking of human beings Third largest illegal industry in the worldThird largest illegal industry in the world 12.3 million people in forced labour or sexual servitude12.3 million people in forced labour or sexual servitude

Combat exploitation of migrant workersCombat exploitation of migrant workers Host and home country employment agents work to different Host and home country employment agents work to different

standardsstandards Violation of migrants’ fundamental worker rightsViolation of migrants’ fundamental worker rights Lack of recourse or grievance proceduresLack of recourse or grievance procedures

Align policy with business needs Align policy with business needs Coordination of employment process in host and home countryCoordination of employment process in host and home country Simplified and shorter immigration proceduresSimplified and shorter immigration procedures Skill assessment and recognition, coming and going Skill assessment and recognition, coming and going