Migration of skilled labour reaches new high.

VS – 11/2024

In its annual Migration Report, the Organisation for Economic Co-operation and Development (OECD) has analysed the latest developments in migration movements and the labour market integration of migrants in OECD countries. A record high of 6.5 million people immigrated in 2023. With around 700,000 people, Germany has the largest influx of immigrants after the USA and the UK. With an increase of over 50 per cent to just under 750,000 people, immigration in the UK also stands out in particular.

The influx of skilled labour has also risen sharply in most OECD countries and is at an all-time high in several countries, including Germany. One focus of the report is the integration of migrants into the labour market. In 2023, the employment rate of immigrants rose to an all-time high and the unemployment rate fell to an all-time low.

Balancing act between restriction and recruitment

In 2023, not only has immigration in OECD countries reached a record level for the second year in a row, but the number of temporary migrants and asylum seekers has also risen significantly.

In this context, the OECD points out that this has led to increased concerns in the host countries about the impact of immigration on society. Migration management and a more restrictive immigration policy are therefore at the top of the political agenda and at the centre of voters' interests. At the same time, the shortage of skilled labour and demographic challenges continue to arouse interest in labour migration. This forces the countries to perform a balancing act between measures to restrict immigration and measures to recruit foreign labour.

However, the OECD's analyses indicate that this high level of immigration could be managed well with an appropriate policy.

Great Britain closes skills gap in healthcare professions

The immigration of skilled labour has increased in most countries. The UK stands out in particular, with an influx of 282,000 workers into the labour market. More than half of these were healthcare professionals who received a "visa for skilled workers - health and care". Together with their immigrated relatives, 653,000 of the 750,000 immigrants will have moved to the UK in 2023 as part of the influx of skilled labour. Germany also set a record with the influx of around 93,000 labour migrants - albeit at a much lower level.

Successful integration into the labour market

The report shows that the upward trend in immigrant employment continued into 2023 in the wake of the pandemic, with the OECD as a whole seeing both historically high employment rates and low unemployment rates of 71.8 per cent and 7.3 per cent, respectively. 10 OECD countries, including Canada, the United Kingdom and the United States, as well as the EU27, had the highest employment rates for immigrants on record.

The countries that have taken in a particularly large number of Ukrainian refugees are an exception. These include Germany (-0.5 percentage points), Poland (-0.4 percentage points) and the Czech Republic (-1.6 percentage points), the three most important destination countries for Ukrainian refugees.

Host countries benefit

The labour market results of immigrants are better than ever before, which is reflected in the high employment rates and low unemployment rates. According to the OECD, this is due to the good general labour market conditions, but also points to the growing role of immigrants in generating wealth in the host countries. Immigrants also fill important gaps in the social infrastructure, such as in the healthcare system in the UK.

The OECD also states that a key prerequisite for the acceptance of immigration is effective migration management in combination with policy-making in the areas of housing and education.