African Labour Migration: A Blessing or a Curse?
A study on the socio-economic effects of African labour migration in the
Netherlands and China.
Name: Lenny Geenen Student number: S2241978
Supervisor: H. Sportel, Ma Date: 20-08-2014
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DECLARTION BY THE CANDIDATE
I hereby declare that this thesis, “African Labour Migration: A Blessing or a Curse? A study
of the socio-economic effects of African labour migration in the Netherlands and China” Is
my own work and my own effort and has not been accepted anywhere else for the award of any other degree or diploma. Where sources and information have been used, they have been acknowledged.
Lenny Geenen
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Table of Contents
1. Introduction p. 3
2. Theoretical Framework p. 10
2.1. The Migration Debate p. 21
2.2. Methodology p. 24
3. The Socio-economic Effects of African Labour Migration in The Netherlands
p. 28
3.1. Social Inclusion and Integration p. 31
3.2. Employment Effects p. 34
3.3. Promotion and Facilitation of Business and Trade p. 36 4. The Socio-economic Effects of African Labour Migration in China p. 37
4.1. Social Inclusion and Integration p. 41
4.2. Employment Effects p. 44
4.3. Promotion and Facilitation of Business and Trade p. 46
5. Conclusion p. 47
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1. Introduction
“The ability to move freely is a fundamental human right.” (Philippe Legrain in: Sabine Lubbe Bakker, 2013)
Our world is becoming more and more globalized, which means that states and individuals are more interconnected than they have ever been before. Events in one place can have a great impact on the lives and decisions of people and states elsewhere (e.g. the war in Syria, the situation in Ukraine, 9/11). A part of the current globalization process is that people seem to be more free to seek opportunities elsewhere than their hometown or –country, and therefore can move to any other place in the world. This is not to say that people did not move before, in fact migration is as old as humanity itself. People have always moved around and formed new settlements elsewhere. Perhaps one of the most well known and important examples is of the age of colonization, where Europeans set out to explore the world en settled in new places which were eventually colonized. These European settlers could been seen as one of the first big examples of free international migration, whereas the slave trade that came about in that age can be seen as one of the first big examples of forced labour migration (Goldin, Cameron, & Balarajan, 2012, pp. 1-4; 39-53). International migration and what it means to be a migrant have changed greatly since those times. Yet the essence of it, people setting out to move to a new country in search for adventure, a better life or safety is still the same.
In recent years however, international migration has become a topic of great importance in both international and national politics. In the 1990s and early 2000s, conditions for migration were exceptionally good. The end of the Cold War, cheaper options for travelling, economic growth both in the West and the emerging markets of the East, it all led to the fact that migration was thriving. Until the current economic crisis (The Economist, 2011). The crisis has proven to be a major turning point when it comes to international migration, both in perception as well as in policy. The crisis has hit migrant communities relatively harder than native population of a country. This means that their labour market situation has gotten worse and unemployment among migrants has increased (The Organisation for Economic Co-operation and Development [OECD], 2013, pp. 67-69). Hence, due to this situation many migrants have chosen to leave their host country and return to their home country.
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own country, as migration now often seems to be more trouble than rewarding (The Economist, 2011). Nevertheless, travelling has never been so easy and cheap as it is today, hence the crisis has not stopped migration, but rather changed it fundamentally (ibid.). It has led people to look at new possibilities and destinations, such as Asia and South America. Recent history has not yet seen such a divers yet such a changeable map of global migration (ibid.). Making the topic all the more interesting and complicated.
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countries – then in the case of migration, the shoe is on the other foot: people from poor countries are making their mark on rich countries. And therein lies the rub” (Legrain, 2009, p. 52).
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‘The Other’. Both people and their governments are suspicious when it comes to outsiders seeking to make a life in their country – or even region in extreme cases. Hence, they have become more sensitive to arguments that international migration could damage the job market for the country’s own citizens and how immigrants would be a drain on public services and the welfare state. Consequently, many believe that migrants would thus be a negative burden on society (The Economist, 2011). Therefore, the common idea among most governments is that international migration can – and should – be managed, and high rates should be
prevented (Goldin et al., 2012, p. 1).
Additionally, as mentioned previously, the public believes that there is ‘mass
migration’ from mostly poor African countries to the developed countries of Europe such as the Netherlands. Which they see as a negative development. They believe in the positive effects of border controls and find that free migration would have many negative effects (p. 93). Hence strict policies and expensive border controls are created to control migration as much as we can, in order to protect economies and employment. (Kremer & Schrijvers, 2013. p.72). Scholars on the other hand tend to advocate for less restrictions on labour migration – or even open borders –, and showcase the negative effects of strict border control against the positive effects of more free migration (Bergman, 2013; Goldin et al., 2012, p. 93; Kremer & Schrijvers, 2013, p. 72; Smouter, 2014).
One of the most remarkable issues surrounding the topic of migration however, is how two sided it is viewed by people and governments alike. Whereas multiculturalism and
cosmopolitanism are features which are celebrated in many societies today. The migrants who bring these features are more and more seen as unwanted foreigners, thereby ignoring their cultural and economic contributions to a society (Goldin et al., 2012, p. 5). This is rather unfortunate as the way governments develop and execute their migration policy will be a determining factor in the way our global future will be defined. Whether it will truly be the open, globalized and cosmopolitan society many currently predict, or whether it will unequal and partitioned and therefore less prosperous (p. 2).
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Legrain and Douglas Massey, are on the exact opposite side of this debate. Additionally, calculations from institutions such as the World Bank and the Organisation for Economic Cooperation and Development (OECD), also claim that migration is good for a country’s economy and its economic development (Bergman, 2013; OECD, 2013; Walmsley, Winters, Ahmed, & Parsons, 2007). Hence, one is led to believe that this debate is not only based upon empirical research and statistics, but also upon more subjective elements. It seems as though some sort of fear for foreigners still exists at some level and influences the way people feel about international migration, despite the fact that much of the evidence tells them otherwise. This would support the argument made by Phillipe Legrain earlier, who claims that it is not migration itself which is a considered a problem, but the general direction of migration which causes problems.
It are these discrepancies that have ultimately shaped this research and which will guide it. The documentary ‘Zwart Geld. De toekomst komt uit Afrika’ made by Pieter van der Houwen for the Dutch tvshow ‘Tegenlicht’ formed the inspiration behind the topic of this study. Further research into the topic and debate of international migration demonstrated there exists a great difference between the academic, and public and political point of view
regarding this topic, as highlighted above. The fact that research is so far from the way countries view migration is the observation which inspired this research. What has become clear throughout the previous paragraphs, is that the way countries deal with international migration, its challenges but also its advantages, is of great importance for the future. Societies are ever changing, the world and world order are transforming according to many, and likewise international migration continuous to develop. As a result of the strict policies in the traditional Western destinations and recent developments, migrants search for other options. Nowadays more and more migrants also manage to find their way to countries with rapidly growing economies like China. While China itself is still also a large migrant sending country – it was still in the top ten migrant sending countries and top ten recipient countries of remittances in 2010 (Ratha, Mohapatra, & Silwal, 2011, p. X; p. 3). However, it recent
economic growth among other factor mean that it is growing as a migrant receiving country as well (Haimei, 2011; Pieke, 2012, p. 41).
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Africa’s favour than in that of the West (Ian Goldin & Achille Mbembe in: Houwen, 2013). While the EU is currently still seen as the power holder in the international scene, scholars claim that the end of the era of Western domination is near (Mahbubani, 2008, p. XI). All these factors combined have led to the topic of this research.
This research will conduct a comparative study on labour migration from Africa towards the Netherlands and China. Though this research uses the Netherlands and China as case studies, it hopes to still shed some light on the bigger picture as mentioned by Hein de Haas and Phillipe Legrain. The Netherlands is chosen as a representative of the developed Western countries, and Western believes. The Netherlands is thus representative of the ‘old’ Western powers, while China would represent the ‘new’ power on a global stage. As it is generally believed that a power change is happening at the global stage, and the importance of the traditional powers of the United States (US) and the European countries is declining in favour of the rising powers of (south east) Asia and the BRIC countries (Brazil, Russia India and China). This research seeks to address this issue in relation to African labour migration, and will analyze the socio-economic effects of African labour migration in the Netherlands and China in order to indentify the differences between the ‘old’ and ‘new’ regarding the topic of international migration. Africa is chosen because of its strategic position for both the EU and China, and because it is a third world region and therewith a source of development aid from both China and the Netherlands. Furthermore, it is believed that China’s ever closer growing ties with Africa, might transform the continent and turn it away from the EU, while its development is of great importance to the countries of the EU (Fox & Godement, 2009, p. 1). Both the Netherlands and China have a history of relations with Africa. However, whereas the relation between the Netherlands and Africa can be traced back to colonial times, China has not been active in the continent until the 1950s (Dijk, 2011, p. 49). Additionally, there is a great difference between the Netherlands and China when looking at their relationship with Africa. Whereas the Netherlands claim to be more focussed on development, and spreading its norms – thus acting as a ‘normative power’ – China is more interested in trade and
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Chinese foreign policy clash so greatly when it comes to Africa, they truly represent two opposite powers; West versus East, old versus new and norms versus economics. This makes for an interesting comparison when it comes to their respective migration policies and their attitudes towards African migrants, and therewith also the socio-economic effects they experience from African labour migration.
What is particularly interesting about the topic of African labour migration, is not only how it plays a role in the relations with the Netherlands and China as has been mentioned above, but also the fact that African countries are neither top receiving nor sending countries when it comes to migration. This is a great contradiction to the perception many people have that migration is driven by poverty (Goldin et al., 2012, p. 127). Though there are many economic reasons for migration, and as will be explained later in this research, wage also does play a role when it comes to making a decision to migrate. However, many people fear that their country will be over flown with many poor Africans, whom will cost the national government – and thus the public – a lot of money. However, one can assume that the majority of the African labour migrants does not belong to the absolute poor, as they need to be able to buy a ticket to the country of their destination (Ian Golding in: Houwen, 2013). Due to the great difference in the perception of African labour migration and the actual facts about the topic, at least when it comes to the Western – and thus also the Dutch – side of the story, the topic of African labour migration gets an extra dimension. For China the topic of labour migration – let alone African labour migration – is relatively new, as will be explained in a later chapter.
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piece of paper (Houwen, 2013). In the analyzing chapters a brief background regarding these policies will be given in order to give a better understanding of the differences in the socio-economic effects that exist between these two countries. Due to the fact that this research shall not analyze the migration policies, but rather shall focus on the socio-economic effects of African labour migration for these countries, this research aims to prevent a nationalist view on migration. Therewith, this research not only attempts to shed a light on the aforementioned bigger picture, it also hopes to contribute to it.
In order to answer this question, this research will firstly develop a theoretical framework, which will help answering this question. Due to the nature of this research, the theoretical framework of this research will consist partly of the economic theories which are fundamental to political-economic thought and policies in both the Netherlands and China. Therefore a small discussion of Economic Liberalism and Socialism will be given before diving into the theories on the migration debate. A general overview of the current academic migration discourse will be given, before explaining the concepts and methodology which will be used in this research. The following chapters will analyze the socio-economic effects of African labour migration for the Netherlands and China respectively, whilst attempting to assess whether or not the chosen selection of socio-economic effects can be considered positive for these receiving countries, or not.
2. Theoretical Framework
Before diving deeper in the complicated world of the international labour migration debate and the theories behind it, this research shall firstly need to define certain key concepts that will be used throughout this paper. The definitions of both the concepts of ‘migrant’ and ‘migration’ have changed greatly over time. However, in modern times ‘migration’ can generally be defined as “cross border movement”; “moving across a national border, often with the purpose of settling for a period of time” (Goldin et al., 2012, p. 1). Important in this definition of migration is the notion of ‘a period of time’. In order for someone to be
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definition of a migrant is given by Phillipe Legrain, he states that immigrants “are individual human beings whose lives happen not to fit neatly within national borders” (Legrain, 2009, p. 8). Though it is not an academic definition, it does capture the essence of migration in a more relatable manner.
Migration is generally seen as something permanent, where a migrant moves only once and then settles in the country of his destination. Philippe Legrain argues that “the notion that migration is a one-way movement of permanent settlement is outdated. Most of it is temporary” (Philippe Legrain in: The Economist, 2011). Currently most of the migration is so-called ‘Circular Migration’ or ‘On-Migration’. Circular migration, is a form of migration in which migrants move between two different destinations, for example between Morocco and the Netherlands. On-migration is where a migrant moves from one country to the next (ibid.). This demonstrates that the current trends in migration is indeed temporary, thus supporting the argument Philippe Legrain makes. Additionally it should be noted that there is a difference between migrants and immigrants. Whereas immigrants intend to settle in their new country, migrants only temporarily move to a new country (Anderson & Blinder, 2013). However migration is difficult to define and the terms of migrant and immigrant are often used interchangeably. Furthermore, people can transform from migrant to immigrant and vice versa (Koser, 2007, p. 19). Additionally the difference between migrant and immigrant is only seldom made, even in statistics (Anderson & Blinder, 2013). This research will not make the distinction between migrants and immigrants, and therefore use these terms interchangeably.
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future for them, and possibly their family. It will not discuss refugees, those who are forced to leave their country in order to safe their life - because of a war or political prosecution. In fact, more than 90% of all international migration is for economic reasons, such as a job and others acknowledged above (Legrain, 2009, p. 56; Ratha, Mohapatra & Scheja, 2011, p. 2). It should be noted that there is a grey area when looking at free labour migration. Though concepts such as slavery and human trafficking are clear examples of forced labour migration, a family or family member can also be forced to migrate because they otherwise would not be able to provide for themselves or their family. Additionally, a refugee family, while on the move to safe their life, can choose the country in which they seek asylum based on economic reasons (Legrain, 2009, p. 56). Hence, the definition of labour migration proves to be
difficult. While at first the definition used by the IOM seems pretty straightforward, it becomes clear that it is perhaps a little too straightforward when taking a closer look and taking the grey area into consideration. Therefore, what would be a more fitting definition of an international labour migrant is someone who comes to a country “in search of a better life. They are no different to someone who moves from Manchester to London, or Oklahoma to California, because that is where the jobs are. Except that a border lies in the way” (Legrain, 2009, p. 41). And it is that border that makes all the difference.
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However, before any theories regarding migration will be explained, this research will firstly explain two general economic theories which are relevant in understanding how the Netherlands and China deal with international migration. The economic theory of ‘Economic
Liberalism’ also known as the ‘Classical Economic Theory’ will be used to explain the Dutch
views and policy on African Labour migration, as this school is at the base of economic thought throughout the Western countries, and thus also in the Netherlands. An analysis of the Chinese policy and views on African labour migration will be done on the basis of ‘Socialism’ and more specifically ‘Market Socialism’ as this is the current economic model of China. These theories guide basic economic thought of the countries chosen for this research, hence in order to fully understand how they view and react to international migration in an economic sense, a basis understanding of these theories is necessary.
Firstly, this research shall discuss the classical economic theory of economic
liberalism founded by Adam Smith. This theory and the contributors to this school of thought are seen as the founders of economic thought and are regarded as the high priests of modern economics by most of the current economists (Ian Golding in: Houwen, 2013). Furthermore, in modern times the economies of most developed countries (especially in the EU and US) are either based upon, or heavily influenced by this theory. Therefore whilst analysing the
economics of African labour migration, this theory is of vital importance to explain the economic train of thought that has guided migration policy in the Netherlands.
The theory of economic liberalism was founded in 1776 by Adam Smith when he wrote his famous work The Wealth of Nations. Among the major contributors to the
establishment of this theory belong; David Ricardo, Thomas Robert Malthus and John Stuart Mill (Brue & Grant, 2007, pp. 45-145). The theory developed particularly during the
Industrial Revolution. Though the theory has developed overtime, the founding principles are still guiding the theory today. These principles are: “personal liberty, private property,
14 Goldin in: Houwen, 2013)
At the time that economic liberalism emerged as a school of thought, the free movement of labour was not only valued in economic terms, but also as a human right (Goldin et al., 2012, p. 71). This can be illustrated by the fact that, the freedom of movement for labour was at one point declared a natural right at the 1889 International Emigration Conference. Here it was stated that the freedom of movement should be seen as a natural right, they affirmed “the right of the individual to the fundamental liberty accorded to him by every civilized nation to come and go and dispose of his person and his destinies as he
pleases” (p. 58). Off course, a lot has happened since this conference, yet it seems strange that something which was recognized as a ‘natural right’ a little over a century ago, is so contested in modern times. While goods and capital move freely around the world – with the exception of only a few trade barriers –, and information about any topic is available almost anywhere at any time thanks to the internet, borders are becoming increasingly hard to cross for people (Bergman, 2013). Achille Mbembe also noticed that even though we believe that we live in a globalizing world, our borders are becoming more and more violent, we are waging a war against foreigners at our borders (Houwen, 2013). The current globalization can perhaps best be described as ‘anything but labour globalization’ (Bergman, 2013). In today’s world many liberal economists and prominent politicians in the Western countries still believe in Adam Smith’s free market, albeit in a slightly adapted version. They believe in a free market for goods, capital and services, and as mentioned above, these can almost move as free as
possible around the world. However, when it comes to the movement of labour, they seem to have changed sides, believing in ever stricter regulations to manage labour migration in order not to hurt the economy. From a purely liberalist economic view, this makes absolutely no sense at all, and instead of protecting the economy, hindering the free movement of labour is actually what is bad for the economy of a country (Ian Goldin in: Houwen, 2013). Economic liberalism thus still explains basic economic behaviour of developed countries, however when it comes to international migration – or the free movement of labour –, recent economic developments have caused these countries to go in the exact opposite direction as the theory describes.
However, while economic liberalism and its founding father Adam Smith are
fundamental to the economies and economic thought of the Western countries, including the Netherlands, this is not the case for China. Therefore when looking at the economic
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at the theory of ‘Socialism’. Although China continually reforms its economy in order to become a market economy, it may be clear that it will not look like any of the other market economies. In fact, China aims to be a ‘socialist market economy’. At first the term seems to be one big contradiction, however it is seen as a sort of transition state between a socialist and a market economy. Many of the eastern European countries also went through this stage. China is currently somewhere in between socialism and a market economy. Even though it still is a socialist economy, China is in pursuit of Market Economy Status (MES) under World Trade Organization (WTO) and has introduced several capitalist market principles since the reforms of Deng Xiaoping in 1978 law (Rémond, 2007, p. 348). The Chinese themselves consider it to be ‘socialism with Chinese characteristics’, a term also introduced by Deng Xiaoping. Hence, despite the fact that China is slowly becoming a market economy, it is not following western economic thought and its high priests. Therefore, this research shall now explain how socialism deals with migration, in order to understand the Chinese view on migration and their approach towards it.
Where Adam Smith is one of the most important persons for economic thought in the European countries, Karl Marx is the founding father of socialism, the predominant school in Chinese economic thought. Before explaining how socialism sees migration, it is first
necessary to give a general definition of what a socialist economy entails, as it is rather different – if not opposite – from an economy based on economic liberalism. In a socialist society “private property in consumer goods is permitted, but the capital and land is publicly owned by the central government, local authorities, or cooperatives promoted and regulated by the state” (Brue & Grant, 2007, p. 175). Moreover, a socialist economy is also a planned economy, which means that production as well as the rate of investment are planned. This means that the government actually guides the economy, which is completely contradictory to Adams Smith’s laissez-faire economy where the profit motive and the free market are key (p. 151). Both theories believe that labour and capital should go to where they are most
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government (Mises, 2009, p. 227). Socialism believes that if migration arises from market forces, the region to which people migrate will see immigrants as “the enemy of high wages” (p. 229). Since in a liberalist economy people migrate from places where the wages are relatively low to where they are higher, the wages in their destination will ultimately drop, as will be explained in greater detail later in this chapter. This leads to a rather peculiar situation, since the workers in the place which attracts migrants, will be disadvantaged if migrants come in and lower the wages. However, at the same time those who own the factories or companies which employ these workers, will not be able to reach their maximum profit if they cannot employ the cheaper labour (ibid.). Despite the fact that liberalism calls for free trade and free movement, a system of complicated protections will arise. Ultimately all types of protection will result in a limited production and will disadvantage the entire society (ibid.). Socialist theory believes that in a liberal economy, international migration is a result of inequality yet it will ultimately also increase inequality (Mises, 2009, pp. 229-230; Sell, 2012).
In socialist theory there is however a great contradiction. While in a socialist world international migration would not be necessary, as a perfect socialist world is one without passports and borders (Sell, 2012). If people choose to move they would not do this because of economic benefits, since everybody is equal. Rather they would do so because it would be a genuine choice instead of an economic necessity (ibid.). However, when looking at the policies of (former) socialist countries, one can make a similar observation to that of the liberal countries, which is that in practice people are not free to move at all. In China for example, during the reign of Mao Zedong, the government only allowed international migration to other socialist countries and only on a very limited scale. During the Cultural Revolution, overseas migration was not only forbidden for Chinese citizens, it was
condemned and seen as a betrayal of the Chinese socialist motherland (Kim, 2011, pp. 29-30). Other (former) socialist countries had similar policies. Socialism thus also believes in open borders similar to the liberalist theory, socialism only believes in open borders between other socialist countries or in a perfect socialist world.
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have restrictions on international migration. For this research this means that China and the Netherlands both hold a different believe of what should guide international migration, and therefore the socio-economic effects and the way they handle them can differ between these countries.
The two theories are both rather complex theories which will be used to help understanding and analyzing the view and policies of the Netherlands and China on
migration. However, they do not help in analyzing migration in itself. It should be noted that these theories also tend to be of a more economic nature as the economic point of view does account for a substantial share of the theoretical background of international migration (Jennissen, 2004, p. 30). This is due to the fact that migration is often motivated by economic factors as mentioned in the introduction. Furthermore, when discussing labour migration specifically, one has to acknowledge that basic economic principles will always be of great importance and therefore will play a central role in migration theories. While there are many complex migration theories, this research believes that in this case it is best to go back to basics. As this research will only take labour migration into consideration, economic concepts will be used to analyze migration. The most basic concept behind migration is the
fundamental economic principle of ‘the law of supply and demand’. While this law is usually used for the price determination of products, a slightly adopted version can also be used to explain the international movement of labour. This is part of the neoclassical economic macro theory about migration, one of the oldest theories concerning the explanation of international labour migration (Massey et al., 1993, p. 433). It was originally developed to explain
international labour migration and economic development (ibid.). The differences in the supply and demand for labour is a reason for international migration. Labour supply and demand in a country, do not only affect the job market but also affect wages. In countries which have a great labour supply relative to the demand for labour and capital, the wages are rather low, whilst in countries that have a smaller labour supply relative to the demand for labour and capital, the wages are higher (ibid.). This means that people migrate from the countries with a large supply of labour and low wages to countries where there is a smaller labour supply and thus a higher wage.
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migrate to countries with a large labour demand, and wages in these countries would decrease due to the increase in labour supply, thus eventually resulting in a balance (Massey et al., 1993, p. 433; Jennissen, 2004, p. 33). Thereby thus implying that labour migration will eventually come to an end. As there has always been some form of labour migration, this assumption seems to be incorrect. Furthermore, this theory only looks at low skilled labour migration, when talking about labour migration. The migration of high skilled labour – or human capital – falls under the movement of capital, rather than under the movement of labour. This is because high skilled labour moves in exactly the opposite direction as is explained above; it moves from countries with a large supply in capital (and a low supply in labour) to those which have a low supply in capital (and a high supply in labour) in order to receive a higher wage (Massey et al., 1993, p. 433). Though it is important to note this distinction, when talking about African labour migration, this research will include both skilled and unskilled labour migration. Hence, any further distinction will not be made in such a way when analyzing the socio-economic effects of African labour migration in the case studies. Even though this theory is rather simplistic when dealing with labour migration, it does explain the basics of labour migration. Moreover, due to its simple analysis of
international labour migration it has sturdily influenced public thought and provided the basis for a great deal of the immigration policies (ibid.). Therefore, it is relevant to include the macro theory of neoclassical economics of labour migration in this research.
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factors are the most important ones. Furthermore, the dual labour market theory, divides the labour market in two segments. In the primary segment there is capital intensive production and high skilled labour. The secondary segment is characterized by labour intensive
production and low skilled labour (Jennissen, 2007, p. 413). Similar to many other theories, the dual labour market theory claims that international labour migration is caused primarily by a demand for labour in the second segment of the labour market (the labour intensive segment with low skilled labour) in the modern industrialized countries (Jennissen, 2004, p. 33). The demand for foreign labour in the receiving countries comes from a set of fundamental characteristics of modern developed societies and their economies. (Massey et al., 1993, pp. 440-441; Jennissen, 2007, p. 413). One of the possible explanations for the permanent demand for labour in the second segment of the labour market, lies in the fact that people in modern industrialized countries no longer wish to do certain jobs. Hence, in these countries there will be a need for people to “fill the bottom positions in the job hierarchy”, migrants in search for a job will thus be necessary to fill these positions (Jennissen, n.d., p. 2). A second reason for the labour demand in these countries can be found in demographic reasons (ibid.) Most of these countries struggle with aging societies, and would thus need migrant labour to fill certain positions.
The theories explained above only take economic circumstances into consideration when discussing migration. Though economics is a large part of migration theory, and is also of great importance for a prospective migrant to actually make the decision to move to
another country, it is not the only factor that should be taken into consideration. Social factors also play a large role for migrants and migration flows. There are many social factors that influence a possible migrants decision to actually migrate, and that influence migration flows as well. One of the theories that takes these social factors into consideration is the New Economics of Labour Migration theory. This theory refers mainly to the household of a possible migrant as a social factor of importance (Jennissen, 2004, p. 33). This theory assumes that a family wishes to play it safe and take little to no risks when it comes to its income. If a family struggles to provide enough income in the current situation, migration, of a single family member or the entire family, might be an option to secure sufficient income (ibid.). Hence, in this theory too, the decision to migrate is still seen as a “rational response to wage disparities”, however this approach takes family relations and duties into consideration as well (Goldin et al., 2012, p. 102). If a family member can find a better job abroad,
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to move, thus only one member of the family migrates – at least initially, the rest of the family might join at a later stage through family reunification channels – and will send money to the family back home. These remittances do not only have a positive effect on the family, but are also considered as positive for the sending country in general (Jennissen, 2004, p. 33). The biggest difference between the new economics of labour migration theory and the neoclassical and dual labour market theory, is that it acknowledges the decision to migrate is ultimately made by a social entity such as the family, rather than at the individual level as the other two theories claim (Massey et al., 1993, p. 436)
Due to the lack of a coherent migration theory, this research shall base itself upon elements of the three theories explained above. For this research there are a few important elements that bring about labour migration, these are both economic and social factors. The economic factors are the law of supply and demand for labour, as explained by the
neoclassical theory. Additionally, it are also the push and pull factors of the sending and receiving countries, and intrinsic demand for labour in modern societies as explained by the dual labour market theory. Besides these economic factors, there are a multitude of social factors which also play role in both the decision making process to migrate and in migration flows. Of these social factors, this research believes that the family is the most important one, as demonstrated by the new economics of labour migration theory. Together these factors not only initiate migration, but also support migration flows and allow them to continue. Hence this research will be combining these theories by claiming that it are indeed mostly economic factors that lead to migration as is claimed by the neoclassical and dual labour market theory. However, the decision to migrate is not made at the individual level alone, the family also plays a important role in the decision making process as explained by the new economics of labour migration theory. Furthermore, neoclassical theory assumes that labour migration exists because people wish to maximize their incomes, whereas the new economics of labour migration theory claims that people migrate to minimize their risks. This research will combine both aspects, believing that migrants wish to minimize risk by maximizing their income.
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country as a bridge on many different levels, such as cultural, linguistic, social, and business wise. This means that the immigrant community – intentionally as well unintentionally – serves as a link between their host community and their home community and can influence the way their home country is viewed in the host country and vice versa (Bodomo, 2010, p. 695). For example, Chinese and Dutch citizens get first hand impressions and experiences of African culture, language, cuisine and business culture, through the Africans living in their country. Similarly, those who stayed behind in the African countries and new migrants, learn about the Dutch and Chinese culture and business practices etc., from the people they know who migrated to these countries. Since migrants who already settled in the host countries act as a bridge between host and home country, they also influence the socio-economic effects these countries are experiencing because of international migration. This theory suggests immigrant communities from a connection between the host and home societies, and through these connects allow both societies to learn about and perhaps even from each other. The socio-economic effects that are experienced by both societies do not necessarily need to be positive, they could also be negative (p. 704).
In addition to the theoretical aspects which are explained above, it is also of great importance to illustrate the general discourse of the migration debate. The following section shall briefly outline the issues surrounding the migration debate, before outlining the
methodology which will be used in this research.
2.1. The Migration Debate
A general overview of the major differences has already been given in the discussion as a part of the rationale behind this research. This section will take a closer look at the academic side of the migration debate.
Many scholars claim to have a problem with terms such as ‘immigrant’ and
(socio-22
economic) effects, is that while it might be the most researched area in migration studies, it is at the same time the area which is most frequently misunderstood in the public discourse (p. 162).
Additionally scholars see the positive sides of migration, which are often neglected in the public debate. They claim that international migration is not only beneficial for the
migrants themselves, but also for both the sending and receiving countries (p. 5). International migration promotes innovation, increases economic growth and enhances social diversity in receiving countries, furthermore it is beneficial for the public finance of these countries (ibid.). Moreover, migration is seen as an important source of the dynamism of economies in general (p. 6). Studies have shown that international migration can increase economic growth. For example, if international migration to the European countries increased with as little as one percent, it will result in a boost in GDP between 1.25 and 1.5 per cent (Glover et al., 2001, p. 6)
A commonly used argument in the public debate is that international migrants – and primarily low skilled migrants – compete with the native society for jobs, which is especially troublesome in times of economic crisis. At first this argument might indeed seem logical, truth is however that this is not true in most cases. Scholars argue that international migration in fact stimulates economic growth in the receiving countries. As is explained by the dual labour market theory, there is a constant need for migrants inherent in modern developed societies. Hence these migrants do not compete for jobs with the citizens of the receiving countries, but rather take low skilled jobs which the natives rather not do, or they provide household or childcare services, allowing for higher skilled natives to increase their
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outlined above in the theory of economic liberalism – imply that it would in fact benefit the world economy if national borders did not hinder the free movement of goods and people (Legrain, 2009, p. 63).
The general problem with the effects of international migration, is that the costs are visible, localized and, since they are mostly only short run, they are directly noticeable. The benefits are generally far less tangible and more distributed over the entire society, and because it takes time for the benefits to appear, they are less noticeable for the public (Goldin et al., 2012, p. 163). While this is the case for all socio-economic effects, it is especially true for the social effects of migration. As the immediate and visible effects in a community can often be negative, such as losing a sense of community, trust and safety, people forget about the positive effects in the long run. Migrants introduce the native society to new believes, rituals, ideas and practices, which especially in the beginning can clash with the existing values of a society. However, they can also lead people to view things differently and add to their lifestyle. Migrants can allow the native society to consume products or services that would otherwise not be available to them because they are native to the culture of the
migrants (Legrain, 2009, p. 64). Different cuisines, music styles or art are examples of what is generally accepted by the public as positive, yet at the same time it is often forgotten that they were brought by migrants. Additionally new visions can also help in problem solving and decision making, both on a social and economic level.
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market on a yearly basis over the next 40 years (Page, 2011, p. 1). When looking at the demographic statistics alone, African migrants would be able to fulfil the EUs need for immigrants (ibid). The European Commission has also noticed this great need for immigrants for the future. In a recent communication they acknowledge that the aging society, combined with higher life expectancies and a decline in the working-age population could lead to great problems on the labour market and for the economy (European Commission, 2011, p. 2).
Additionally, many scholars believe that migrants are generally hard working and entrepreneurial people, and therefore would add to the welfare state existing in their host country, rather than become a burden as is generally believed by the public. Scholars
however, tend to portray migrants as being hardworking, adventurous, and innovative (Goldin et al., 2012; Houwen, 2013; Legrain, 2009, pp. 65-66). Furthermore it is generally believed that migrants who arrive in rich societies have a great incentive to work hard and make the most of the opportunities presentment to them (Legrain, 2009, p. 66). They have to earn back or pay off the costs of migrating in the first place, otherwise the move would not even be worth it. Moreover, for the most part, they have left everything behind; their family, friends and perhaps even a job in order to migrate and in search for an increased standard of living and a better future. Hence, they have to work hard and be innovative, and flexible to make their way in their new societies and to make sure they indeed have a better life here than they did back home. Moreover, Phillipe Legrain even claims that it are in fact the hard working people have actually who have something to gain by migrating. Additionally, people are easy to forget that it actually takes courage to leave everything behind and migrate, hence it are generally more enterprising and adventurous people that are actually willing to take the risk (p. 65). It should thus be no surprise that many migrants often set up their own business, as mentioned earlier. When they arrive in their host country, they arrive with little or nothing, are mostly excluded from mainstream society, and have only a small social network, hence they have little to lose by taking the risk of starting up their own business (p. 67).
2.2. Methodology
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to the fact that the academic debate claims the complete opposite of the public and political debate. Hence this section will outline the methodology of this research and justify the assumptions and choices which are made to guide this research.
There are many socio-economic effects of migration, there are both costs as well as benefits for both the sending and receiving countries and the migrants themselves. It is claimed that in general “migration has positive economic impacts on the migrant household, the sending country as well as the receiving country” (Dilip Ratha et al., 2011, p. 2). This research shall only look at the socio-economic effects of African labour migration for the receiving countries, in this case the Netherlands and China. This study chooses to only look at the receiving countries, because this will allow it to illustrate the discrepancies between the public and academic debate. Additionally, given the fact that the Netherlands and China represent different powers in many different ways, as is explained earlier in this research, it would be most interesting to analyze how these countries handle African labour migration. Receiving countries can benefit from migration in many ways such as through innovation and economic boosts amongst others (Goldin et al., 2012). Additionally, migration could ease labour scarcity in the receiving countries when they face labour shortages (IOM, n.d.-a). These are just a few examples in which international migration could influence the receiving countries. Since there are a multitude of socio-economic effects, this research shall limit itself to analyzing a selection of these socio-economic effects for both countries, thereby assessing whether or not they are positive for them. In order to determine whether or not these effects are positive, this research will examine if the Netherlands and China actually gain something from African labour migration. Though it is expected that most gains – and losses for that matter – will have an economic nature, this does not necessarily have to be the case.
The discussion above has already presented some highly debated and widely researched socio-economic effects. This research shall now select some of the effects
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the efforts of the migrants themselves, but it is also highly dependent on the attitude of the host society and the integration policies of the receiving countries. If migrants are treated hostilely or are not able to become a fully acknowledged member of the host society, the social effects of migration will be more negative.
A second socio-economic effect which will be analyzed are the effects of African labour migration on employment in the receiving countries. Do African labour migrants indeed steal jobs of the Dutch and Chinese citizens, as is claimed in the public debate? Or do they perhaps in fact create jobs? As mentioned in the discussion above, scholars generally believe that migrants do not compete with the native society for jobs, and often even create their own jobs. If this is also the case for the African labour migrants in the Netherlands and China, the effects of African labour migration for these countries would obviously be positive in terms of employment. However, if they do take jobs from the Dutch and Chinese nationals and increase unemployment in these countries, these counties would not gain anything from African labour migration in this area. Additionally, this socio-economic effect also in part tests the dual labour market theory. If the African labour migrants in the Netherlands and China do not steal jobs from the native citizens, these societies would thus indeed need migrant workers. This could be a result of the intrinsic demand for migrants which exists in developed countries according to this theory. However, African labour migration could also have other employment effects than stealing or creating jobs for the native society.
Employment effects, could also relate to the employment of the labour migrants. If they fail to get a job, or lose their jobs after a while they could become a burden on the welfare state.
27 will be less positive, and could even become negative.
A third socio-economic effect which will be analyzed further is the promotion and facilitation of business. Migrants are often able to build bridges between their home country and their host country. Thus if African labour migrants are able to assist in trade between the Netherlands or China and their home country, or even promote it, it would be a positive effect for both the host and home country, as the promotion and development of trade flows would be economically beneficial for both. In this socio-economic effect, the theory of the migrant community functioning as a bridge between their home and host society, could truly be seen if migrants indeed can help promote of facilitate business between the two countries. If migrants are able to do so, this would obviously be positive for both the sending and receiving
countries. However, if they do not contribute to trade and business between their host and home countries, does not mean that the migrants have a negative socio-economic effect on their host society. The effect would only be negative if the migrant community in the receiving country would actually harm trade with its home country.
This socio-economic effect is chosen because it can clearly demonstrate if the migrant community indeed acts as a bridge between the host and home country. Furthermore, in the academic debate it is argued that international migrants contribute to economic activity and growth in their host society. If the African labour migrants in the Netherlands and China do indeed promote business and trade, one way in which they contribute the economic activity and growth in the receiving countries becomes clear.
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and partitioned and therefore less prosperous (Goldin et al., 2012, p. 2).
After the outline of the national policies, the following chapters will analyse the effects of African labour migration in these countries. The following socio-economic effects will be analyzed: the social inclusion of African labour migrants in the Dutch and Chinese societies, the effect African labour migration has on employment in the host countries and if African labour migrants are able to promote or facilitate business between their host and home countries. Thereby assessing whether or not the receiving countries are able to gain something from these effects.
3. The Socio-economic Effects of African Labour Migration in the Netherlands
Migration is nothing new for most EU countries. Through colonization many European countries such as the Netherlands have a historical relationship with the African countries. This led to Europeans settling in Africa, but Africans have also found their way to these countries, albeit mostly as slaves. Yet despite this history, there are still many misconceptions about African labour migration and international migration in general, as has been discussed earlier in this research. As is the case for most developed countries, the public discourse concerning immigration is not particularly positive in the Netherlands. The fear of foreigners taking jobs, increasing crime rates and burdening the welfare state, and a fear of foreigners in general is increasing. Hence, strict policies and expensive border controls are created to control migration as much as possible, in order to protect economies and employment. With these migration policies, politicians and the population alike, still hope to get the most out of migration, with the lowest costs for their own society.
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type of selective migration policies, which cannot only be found in the Netherlands but which is actually a current trend among EU countries, is called ‘smart migration’(Kremer &
Schrijvers, 2013, p. 71). The Netherlands in fact has one of the most liberal migration systems in the world when it comes to high skilled migration (ibid.). However, only one fifth of the migrants in The Netherlands is a high skilled migrant (p. 74). If employers wish to bring a non EU migrant to The Netherlands who cannot be classified as a high-skilled migrant, their request has to be submitted to a so-called ‘Labour Market Test’. This test means to verify that the employer could not fill this position locally and therefore needs to bring a migrant to The Netherlands (Chaloff & Lemaitre, 2009, p. 19). Labour market tests are common in many countries. However for non employer driven labour migration it is a lot more complicated. Labour migrants that come to the Netherlands on their own initiative need a Temporary Residence Permit (Machtiging tot Voorlopig Verblijf in Dutch – MVV) if they wish to stay for a period longer than three months (Vreemdelingenwet 2000, 2000, Art. 1a.b.). They need to apply for this document from their home country and can only enter the Netherlands once they have received their MVV. Labour migrants that come to the Netherlands without a MVV are considered illegal immigrants (Wijkhuijs & Jennissen, 2010, pp. 18-19). This means that, for possible labour migrants from poor countries in Africa whom have no family in the EU, it is nearly impossible to enter any of the European countries legally (Legrain, 2009, p. 15). This is a general problem when looking at African labour migration. Governments, businesses and society alike, have no problem with – and often even support – high skilled migration to and from their own country. Even to and from poor African countries. However, when low skilled migrants from these poor African countries wish to cross that same border in search of a job elsewhere, it is nearly impossible for them (pp. 14-18).
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mass migration is rather excessive, as has been explained earlier in this research. Nonetheless, the Dutch government gives the impression that harsh measures are taken to prevent this unwanted ‘mass migration’ of unskilled labourers from non-Western countries. Even though Dutch regulations have indeed become stricter in recent years, policy makers know that in reality, policies only have limited effects in regulating migration (Haas, 2011a). Migration flows are only in part regulated or hindered by migration policies, however for the most part they exists because of laws of labour supply and demand in the sending and receiving countries, as can been explained by the neo-classical theory of labour migration.
It has been said earlier that most migration worldwide is in fact labour migration or some other form of economic migration. Dutch statistics show that indeed the main reason migrants had for coming to the Netherlands was employment, 40 percent of the migrants who entered the Netherlands in 2011 were in fact labour migrants (OECD, 2013, p. 278). Labour migration to the Netherlands has increased greatly in the past 14 years, in 1995 only 15.9 percent of all migrants entering the Netherlands had employment as their reason for migration, this number has been steadily increasing ever since (Centraal Bureau voor de Statistiek [CBS], 2012). The largest share of migrants had asylum or family migration as reason to move to the Netherlands throughout the nineties and early 2000s (ibid.). Especially since 2005 the number of labour migrants has increased greatly, between 2005 and 2011 the number of labour migrants has increased by 30.000 (ibid.). The most recent Dutch statistics show that there are currently 612.627 registered African migrants living in the Netherlands (CBS, 2014b). In the past eight years the number of Africans in the Netherlands has increased with a little less than 100.000 migrants (ibid.). Moroccans constitute the largest group of African migrants in the Netherlands as well as in the EU. In fact, with a total of 368.838 Moroccan migrants in 2013(CBS, 2014c) they are the second largest group of non-western migrants in the Netherlands, there is a slightly larger number of Turkish migrants currently living in the Netherlands. There are however no statistics on the number of African labour migrants currently living in the Netherlands. Many of the African labour migrants came in the 1960s and 1970s. After this initial period of labour migration, asylum and family become the main reasons for people to migrate to the Netherlands, and only in the last few years has labour migration become significant again.
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the European countries – at least when looking at the public debate. Looking at the outline of the Dutch migration policy above, it becomes clear that it is guided by eliminating the costs of international migration as much as possible, rather than enhancing the benefits. The analysis of the following socio-economic effects shall illustrate to what extent the Netherlands are able to gain from African labour migration.
3.1. Social Inclusion and Integration
The section above has given a brief overview of the Dutch migration policy. However a fully developed migration policy does not end once the migrants who are allowed to enter the country, have in fact entered the country. It should also deal with what happens with the migrants once they have entered a country. As the integration into a new society is a vital part of migration, it should therefore also be a part of the migration policy. A successful
integration of migrants is deemed necessary in order to realise the maximum economic and social potential of migration (European Commission, 2011, p. 3). There are European guidelines set out by the EU on how member states should tackle integration, however like migration policies, the issues of integration are also mainly seen as a national matter. Such integration policies are of great value in order to increase the positive effects of migration, as they make the experience easier and more pleasant for the migrant.
It is even possible for African labour migrants to become Dutch citizens, if certain conditions are met. In order to apply for the Dutch nationality, the migrants need to be living in the Netherlands for at least five years without interruptions and a valid residence permit, they need to pass an integration exam and prove they have a reasonable command of the Dutch language (Immigratie- en Naturalisatiedienst, n.d.). With almost 19.200 applications, which is about 15% of the total amount of applications, between 2007 and 2011, Moroccans are the largest group of migrants applying for the Dutch nationality (Avontuur & Obradović, 2012, p. 19). Slightly more than 16.000 of these applications were accepted (p. 25). The fact that the Dutch government gives migrants the option to become a Dutch citizen, combined with the fact that that there is quite a share of migrants willing to become a Dutch citizen, could be seen as the ultimate success of integration, social inclusion and also acceptance by the Dutch society.
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African labour migrants that stayed in the Netherlands had their families come over eventually. It can be argued that this demonstrates the new economics of labour migration theory. The decision to migrate is made on the household level, and once migration proves successful and has the possibility to become permanent, the family follows. In Dutch society there is a strong debate on the negative impact of immigrants. It is commonly known that migrant youth tends to be lower educated, and more involved in criminality. In 2010 5.2 percent of the Moroccans were suspected of a crime against 1 percent of the Dutch natives (Jennissen & Besjes, 2012, p. 175). However, this is hardly about the labour migrants themselves, but rather the later generations. It could be argued that these negative effects, which most likely occur due to a lack of integration, social inclusion and acceptance from the Dutch society, can only indirectly be linked to African labour migrants.
In general one can observe that the cultural differences between the Dutch and African cultures are considerable. The bigger the differences between the cultures of the home and host society the more difficult integration normally is. A study from 2005 with focus groups from nine sub-Saharan countries1 gives an insight in the integration process of the migrant communities from these countries. Learning and speaking the Dutch language is a big part of the integration of migrants. The migrants in the focus groups consider the Dutch language as very difficult for them to learn and speak. They find that the mandatory integration course is too short to learn the language sufficiently. As they believe they do not master the language well enough, Nigerians, Sudanese and Ethiopians often fall back on the English language in communications (Heelsum, 2005, p. 86). Not speaking the language well enough, can be an obstacle in a successful integration, as it complicates the communications with the Dutch citizens and institutions. Luckily many African migrants that feel they do not speak the language well enough, can manage with English. Additionally, these migrants are reasonably satisfied with the social relations they have established in the Netherlands, and many of them claim that they have made Dutch friends (p. 87). We can thus see that despite the fact that these migrant communities believe that they do not master the language, this does not necessarily hinder their integration in the Dutch society as much as one might think, as most of them are rather positive about their relations with the Dutch citizens.
Additionally, when looking at the Dutch society, one can find signs that the African migrants have truly become a part of Dutch society. They can be found in all walks of life in Dutch society, from people working low skilled jobs to those who have made it big. There are
1
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also people in the entertainment industry, politics and sport of African descent. Most of them are actually the children of the labour migrants of the 60s and 70s, and either moved to the Netherlands when they were very young or were born in the Netherlands. Multicultural television shows and movies have even been made, with actors of mostly Moroccan descent, showing how they mix aspects of their culture with the Dutch culture. Through these public figures and their work, acceptance and understanding of especially the Moroccan culture have increased. Additionally, one could say that the fact that the children of migrants are able to become Dutch politicians for example, is a sign of a general acceptance of the multicultural society and African migrants.
Furthermore, these African labour migrants have also enriched the Dutch society culturally. As they bring with them certain traditions and practices they transfer to the Dutch society. This can be demonstrated with the aforementioned multicultural movies, and the fact that ethnic food and spices are gaining popularity. Couscous for example is a traditional Moroccan dish, which is now also commonly available in Dutch supermarkets and a dish many Dutch families are familiar with. Hence, one can thus see the African migrants
community acting as a bridge in the integration process. The bridge function is very important for the understanding and acceptance of their culture and habits by the Dutch society.
However, despite the fact that most of the African migrants have made Dutch friends, are positive about their relations with Dutch citizens, they have noticed that the general atmosphere which surround the topic of migration and towards foreigners in the society has worsened over the years (Heelsum, 2005, p. 87). This is particularly true regarding the
Muslim community, with the rise of the PVV they are more and more seen in a negative light. The general negativity and sometimes even hostility, is obviously experienced as very
unpleasant by migrants. Furthermore, the increasingly negative atmosphere can also have its effects on the integration of the African labour migrants and their families, and can lead to a sense of anger amongst them.
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especially on the Muslims. It becomes clear that the analysis of integration and social inclusion has many facets that need to be taken into consideration. On the one hand Dutch society gains through the cultural exchange. Additionally, allowing migrants to become Dutch citizens is the ultimate sign of successful integration, which can be considered as positive for Dutch society. On the other hand is experiences a loss through the relatively low education and high crime rates among the children of labour migrants. This research argues that in the end Dutch society has gained more than it lost, despite the fact that the focus is often on the losses.
3.2. Employment Effects
Many of the African labour migrants in the Netherlands are low or unskilled, this is especially true for the older generation who have already been living in the Netherlands for several years. As mentioned earlier, they were brought to the Netherlands as guest workers, to fill positions the Dutch citizens no longer wished to fill. In the 1960s and 1970s the Dutch economy was booming and the unemployment rate was low, hence the Dutch government started attracting low skilled guest workers from many countries, amongst them a significant amount of Moroccans. The group of migrants consisted mostly of unskilled and low skilled labourers. A clear example that developed modern societies have an intrinsic demand for migrant workers in the second segment of the labour market, as explained by the dual labour market theory. These labour migrants were either recruited by companies or they found their own way to the Netherlands and managed to get a work permit rather easily (Wijkhuijs & Jennissen, 2010, p. 18). In 1969 the Netherlands even signed a recruitment agreement with Morocco, which allowed the Netherlands to select its guest workers (ibid). Though this group of labour migrants is mostly referred to as guest workers, these terms basically implies the same thing. While – as the term guest worker already suggests – these migrants were only supposed to stay temporary, therefore most of these migrants were either unmarried or had to leave their families at home. However, a large group of these guest workers eventually stayed in the Netherlands, and had their families come over. This wave of labour migration is a result of the demand for labour in the Netherlands and a supply in African countries, mainly
Morocco, which is in accordance with the neo-classical theory.
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the largest group of African labour migrants are South African, with about 8 percent of the total of labour migrants (Bijwaard & Wahba, 2014, p. 65). Moroccans tend to still be unskilled or low skilled and end up in low wage jobs, whereas South Africans tend to be higher skilled and have high paying jobs. Additionally, there Netherlands now has a policy to attract nurses from South Africa, which can be seen as an example of smart migration (ibid.). Both can be seen as examples of the demand for migrant labour which characterizes modern developed economies according to the dual labour market theory. In general the labour market situation of African migrants tends to be worse than that of the native Dutch population. Unemployment among African migrants is significantly higher than among Dutch citizens. The most recent statistics of 2013 indicate that 6.7 percent of the native Dutch workforce was unemployed. For Moroccan migrants the unemployment rate is 21.4 percent, this number is more than three times as high as that of the native workforce (CBS, 2014a). It might seem strange that labour migrants have such high unemployment rates. However, a number of the labour migrants brought to the Netherlands in the 60s and 70s lost their jobs later in times of economic downturn in the 80s, and in the current economic crisis it are generally also the migrants who lose their jobs first, as has been explained earlier in this research. In search for a new job, one could assume that they might compete with the Dutch natives, although there is no official data to confirm nor dispute this. Additionally, it is not clear whether the
employment is among the actual labour migrants, or among the family members who joined them later. Many did not return home after becoming unemployed because they had already built a new live in the Netherlands, maybe even had their family come over, or had kids who were born here and already spent a significant part of their childhood here, and the economic situation back home would most likely still be worse than in the Netherlands.
An increasing amount of non Western immigrants set up their own business. The amount of Moroccan entrepreneurs has increased from 2.700 in 1999 to 4.700 in 2004 (Beckers & Blumberg, 2013, p. 656). Over the years the number of Moroccan entrepreneurs has almost doubled to 8.634 in 2008/2009 (Nijkamp, 2010, pp. 47-48). At only about 2 percent, this is only a relatively small share of the Moroccan community living in the Netherlands. For African labour migrants in general the number of entrepreneurs relative to the total community is rather low. As entrepreneurs they have thus created their own jobs, and maybe even created jobs for Dutch natives or other migrant workers. Furthermore, it
