Attracting and retaining international talent has become a paramount concern in OECD member countries. Qualified workers are vital in propelling economic growth, enhancing competitiveness, and driving innovation. In this context, talent mobility assumes a pivotal role in addressing skills shortages and mitigating the adverse effects of an aging workforce. Those nations that opt out of the global competition for highly skilled migrants risk falling behind their more proactive counterparts.
Delving into the findings of the second edition of the OECD Indicators of Talent Attractiveness, a collaborative effort between the OECD and the Bertelsmann Stiftung, the indicators offer a multifaceted evaluation of various countries' attractiveness to international talent. The report took into account not only a country’s migration policies but also other influential factors.
Key Insights:
1. Leading the Pack: In 2023, New Zealand, Sweden, Switzerland, and Australia continue to top the list as the most appealing OECD countries for highly qualified workers, with Norway closely behind. Notably, the United Kingdom has made significant strides in the rankings, attributed in part to the removal of quotas for highly skilled workers and the implementation of robust labour market outcomes for migrants.
2. Entrepreneurial Oasis: Sweden, Switzerland, Canada, Norway, and New Zealand emerge as the most attractive OECD countries for entrepreneurs. These nations offer favourable policies that facilitate the entry and operation of international entrepreneurs.
3. Academic Excellence: The United States, Germany, the United Kingdom, Norway, and Australia lead when it comes to international students. These countries are home to numerous top-ranked universities, although smaller nations like Norway have also carved out a niche by investing in the education sector, coupled with attractive living conditions and migration policies.
4. Dynamic Policy: The findings underscore the diversity of recent migration policy reforms across countries. While some, like the United Kingdom, have adopted more migrant-friendly policies for qualified workers, others have imposed stricter conditions, such as increased student fees for international students in France and more rigorous capital requirements for entrepreneurs in Canada and New Zealand. These policy changes directly impact a country's talent-attractiveness ranking in the OECD Talent Indicators.
5. Policy Simulations: Simulations reveal the potential gains in talent attractiveness achievable by implementing the most favourable migration policies. According to the report, countries like Israel, Japan, and Korea stand to benefit the most by aligning their policies with the OECD's recommendation for best practice.
6. Continuous Adaptation: Failing to regularly revise policies for attracting and retaining migrants can lead to a decline in a country's relative attractiveness, particularly if similar nations adopt more favourable policies. This underscores the importance of actively updating policy frameworks to remain competitive in the global talent landscape.
Understanding the OECD's Measures of Migration Success
Organisation for Economic Co-operation and Development (OECD) employs a multifaceted approach to measure the success of migration policies across member countries. These evaluations delve into various dimensions, collectively shaping the immigrants' experience and their contribution to their host nations. Let's unravel the key factors that the OECD meticulously assesses to gauge the effectiveness of migration policies:
1. Quality of Opportunity
This metric emphasises the fundamental principle of equal opportunities. It evaluates the extent to which immigrants have access to education, employment, and other opportunities that align with their skills and aspirations. A robust system that ensures fairness significantly enhances the quality of life for migrants.
2. Income and Taxation Policies
Financial stability is pivotal for immigrants' successful integration. Income and taxation policies assess the fairness of income distribution, tax burdens, and financial support systems available to migrants. A balanced economic framework ensures that immigrants can support themselves and contribute meaningfully to the host country's economy.
3. Future Prospects
The assessment of future prospects examines the potential for immigrants to advance in their careers and improve their socio-economic status over time. Factors such as job growth, training opportunities, and pathways to permanent residency play a crucial role. Clear trajectories for professional growth enhance immigrants' optimism about their future in the host nation.
4. Family Environment
A supportive family environment is vital for immigrants' well-being and integration. This dimension evaluates policies related to family reunification, social services for families, and the overall inclusivity of family members in the host society. Strengthening family ties fosters stability and facilitates immigrants' adaptation to their new surroundings.
5. Skills Environment
The skills environment assesses the alignment between immigrants' skills and the demands of the labour market. Adequate recognition of qualifications, access to skill-enhancing programs, and opportunities for skill utilization are key indicators. A harmonized skills environment ensures that immigrants can contribute effectively to their chosen fields.
6. Inclusiveness
Inclusiveness is a holistic measure that encompasses various aspects of social integration. It evaluates social policies, anti-discrimination measures, and community acceptance. A welcoming and inclusive environment promotes social cohesion, fostering a sense of belonging among immigrants and enabling them to participate fully in society.
7. Quality of Life, Visa Admission, and Health Policies
The overall quality of life, coupled with fair and transparent visa admission policies, significantly impacts immigrants' experiences. Additionally, accessible and comprehensive health policies contribute to immigrants' well-being and their ability to engage actively in their communities. A balanced approach to these policies ensures a high standard of living and security for immigrants.
As nations grapple with the challenges of a globalised workforce, these insights offer a valuable compass for policymakers and stakeholders seeking to navigate the complex terrain of talent competition and the importance of competitive attractiveness.
Our team is here to assist you with your visa needs. Contact Timothy at timothy@klintsaris.com and visit is at www.klintsaris.com