ARE MIGRATIONS REVOLVING NATIONAL LABOR MARKETS OF EUROPEAN UNION? Barbara Verlič Christensen COBISS 1.01 INTRODUCTION 1. Most of the recent migration flows towards EU are not economic. These latest migrations are challenging the persisting problems of high unemployment within EU countries as such and among immigrant’s population in particular. Labor markets are in a transformation process, where future needs may be structurally over or underestimated. Limited immigrants possibilities to integrate into EU labor market, instead of the national ones, foster the existent abortive local integration models. It looks like national labor markets promote a demand side but fail to include a supply one. 2. The demographic prognosis of EU populations might be misleading, when compared to the needs of the national labor market resources. Long-term decline in the projected EU work force derives from the possibly wrong assumption of the continued low fertility. Particular countries differ on that account. Demographic aspects of migration theory lack the explanations for the recent and future migration flows. Demographic »pressure« from countries in development is not the only promoter of the recent increase of migrations. The latter are fostered by increasing structural poverty, political and social insecurity of ever greater number of populations within those same countries. There is as well, increasing evidence that developed regions of EU countries do need more work, but fail to provide formal employment. Undocumented immigrant work of a large scale in families, health, catering and tourism are just few examples. The countries of EU as well, experience social and political change, even though the similar problems have different faces and magnitude. Both is creating a conflict of interests, altogether social insecurity. 3. Even though the human resources of recent immigrants in EU are possibly underestimated, at present these resources are inadequately used, provoking high cost on a welfare system and/or extreme poverty. There is possibly a mismatch between social organization of the labor market and government’s social resources in respect to those that immigrants do posses, regarding their education, skills and/or their possibilities to enter labor markets. But here are, at opposed ends of the labor markets, two processes enabling immigration to prosper: increasing levels of (tolerated) undocumented work and a lack of a transparent, non-discriminatory competition for better off regular jobs in formal economy at the national levels. The consequence of Dve domovini •Two Homelands 16 • 2002, 65-79 the first is growing the share of black economy and the second is an increasing unemployment among skilled immigrants too. 4. Several factors contribute to the global economic and demographic divergence, which will very likely promote potential migration pressure on EU for several decades to come. Cultural, political and economic ethnocentric model of ECU’s migration policy is therefore no longer satisfactory for either of the sides. It results in high social and legal cost on nationals, social exclusion of immigrants and social policy conflict. It promotes cultural racism and xenophobic reactions on local levels in public and in particular forms of discrimination on local labor markets. It resuscitates immigrants’ resentment to command integration schemes and resistance to a loss of ethnic identification. 5. Problems of such dimensions do ask to be researched better. They involve millions of people and they erode social cohesion. Some possible answers to these dilemmas may well be found within deregulation of policies of immigrants mobility within EU countries. The second is needed and requested demand from employers for a deregulation of national labor markets. The third is a promotion of and sustenance to the ethnic economy and self-employment of immigrants. Finally, there is a need to reveal what are the human and social - ethnic or class - resources of immigrants, if one wants to improve the effects of EU integration policies. A constructive public and political dialog between the dominant and ethnic entities might help very much. What do we actually know about the nature and extent of the recent global migration flows, specially in Europe? Comparative statistical data are poor, but trends show the numbers and a variety of ethnic groups are increasing (Eurostat, 1999, OECD, 1999, 2000). Increasing are the rates of unemployment of third countries’ nationals in EU labor markets, too (OECD, 1999, 2000, Graph 1). These are the main subjects of the analysis. Graphs 1 Relative exposure of immigrants to unemployment Chart 1.11. 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