Labor migration and its impact on employment of population

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Российский экономический университет им. Г.В. Плеханова

Трудовая миграция и её влияние на занятость населения

Labor migration and its impact on employment of population

Абдурахманов К.Х., Мухитдинов Э.М.,

Шакаров З.Г., Набиев О.А., Аманов О.А.

Аннотация

В статье рассматривается внутренняя и внешняя трудовая миграции, в процессе формирования внутреннего рынка труда Республики Узбекистан. Выделяется количественный и качественный состав трудовых ресурсов во взаимодействии с другими факторами, определяющие темпы экономического развития страны, уровень благосостояния населения, общий экономический потенциал социально-экономической системы в целом. Экономические преобразования в республике, связанные с развитием новых форм собственности, трудовых отношений, появлением новых социально уязвимых слоев населения, предполагают совершенствование государственной политики занятости. При этом целесообразно разрабатывать и использовать более современные формы и методы регулирования трудовой миграции населения, в т. ч. внутри республики.

Ключевые слова: Трудовая миграция, миграционные процессы, занятость, международная миграция, импорт рабочей силы, миграционная политика, внешняя трудовая миграция.

Abstract

The article discusses internal and external labor migration during the process of the internal labor market formation in the Republic of Uzbekistan. The authors define the quantitative and qualitative composition of labor resources interacting with other factors, determining the rate of economic development of the country, the level of population welfare, the overall economic potential of the social and economic system as a whole. Economic transformations in the republic are associated with the development of new forms of ownership, labor relations, the emergence of new socially vulnerable segments of the population, the suggestions on the improvement of state employment policy are given as well. At that, it is advisable to develop and use more modern forms and methods of regulating labor migration of the population, including within the republic.

Keywords: Labor migration, migration processes, employment, international migration, import of labor force, migration policy, external labor migration.

Introduction

The expanded reproduction regime is preserved as a result of population growth in the Republic of Uzbekistan. At present, it is the most significant supplier of labor resources for the international labor market with a shortage of labor resources, Russian Federation in particular. Unfortunately, the movement of labor resources goes not in a civilized and effective manner, due to the disunity of migration policies between countries and the lack of an effective mechanism for regulating labor migration in the Eurasian space.

Labor migration significantly affects the labor market for sending and hosting countries. Direct pressure on the labor market decreases in sending countries; it has economic effects in the form of remittances [1]. Labor migration provides labor force and creates a large part of the gross product in the host countries, thereby helping to build up economic potential. According to assessments of various experts, labor migrants create from 5 to 10% of the country's GDP [5, p. 23].

At the same time, the unsuccessful type of labor migration in the CIS countries, which determines the wrong directions in the conditions of the division of labor for the labor markets of the hosting countries, creates conditions for illegal employment. Such processes disrupt the fundamental foundations of migration management; they greatly reduce the effectiveness of labor migration between states and form security risks for both meeting and sending countries.

At present, a negative attitude towards them appears in the countries hosting labor migrants, and this phenomenon has taken root everywhere. Such relations cannot disappear instantly in light of the events taking place in the world related to labor migrants and immigrants. However, labor migration is one of the main factors regulating demographic processes, and it also allows us to develop the economic potential of both the hosting party and the sending one.

It should be noted that the issues of labor migration are in the set of such particular cases and the ways of their identification and systematization. The absence of demand for low-skilled labor migrants can vary widely depending on social, sectoral or regional status, which indicates the complexity and scale of the problem. Accordingly, the problem of creating a mechanism for the development of labor migration requires the participation of the state, the private sector, and society.

The relevance of this topic isbecause young people are the main segment of labor migration. The following question arises, resulting in the emergence of labor migration, what prerequisites are created for this phenomenon. As for the Republic of Uzbekistan, labor migration is of a huge scale, and it has led to the fact that millions of our compatriots work in other countries. This is an external labor migration. And internal labor migration involves the movement of people in search of work within the country.

Modern labor migration on a global scale takes on a variety of forms, but still, incentives for the movement of labor migrants from one state to another remain incomprehensible. Naturally, there are suggestions considering that a migrant first of all, seek to increase own income (wages), to improve working conditions and livelihoods. From the perspective of the migrants themselves, the economic factors of movement and the desire to achieve a higher level of utility are the most important ones.

Literature review

The formation of the scientific basis of labor migration is carried out within the framework of economic, geographical, historical, demographic, structural, political and other approaches. The choice of approach depends on the responsibilities of the researcher and the nature of the source material.

According to the classification of key theories proposed by Ya. Biyak [5, p. 5], the main groups of the theory of migration, which correspond to the theory of H. Zlotnik, are economic, social, geographical and others. We are interested in the economic theory of labor migration.

It should be noted that all economic approaches to the essence of labor migration are considered as a mechanism for the redistribution ofthe labor force between states. Factors affecting migration movements and their consequences differ from each other. Let us consider some theories of immigration in explaining the factors, mechanisms and consequences of labor migration (labor migrants), households and the economy as a whole [11, p. 29].

The complexity of this social process, in contrast to “natural movement, birth and death, as well as the closest and immediate marriages and divorces” [4, p. 18] or social movement, development and change of social status” [6, p. 6], migration is also a process that develops both in space and in time [2, p. 102].

The theory of “human capital” considered all forms of migration, including forced migration, migration at the micro level - individual, and houses. The theory [1], [2], [11] considered investments in “human capital” to increase revenues from migration, education, etc.

The link between migration and labor needs of a market economy has long been a sustainable area of research in the social sciences. Harald Bowder's approach is based on critical, radical traditions. From this point of view, social production differs from the restoration of the social and economic structure. The reproduction of a hierarchical society provides for an increase in the hierarchy. Major institutions, such as the labor market, reflect this hierarchy and contribute to its preservation and rehabilitation. In this context, by regulating labor markets, one can select not only workers but also processes that can support and improve this social structure [8, p. 239].

The concept of new labor migration is based mainly on the decision to employ a labor migrant in another country or region, without changing the place of residence, but with family members. This indicates the maximum increase in the income of an individual, not the income of a person, but a specific community (3, p. 60), which, together with the migration of the whole family, a member of society, will lead to this. As a result, in the future, a leakage of the labor force that harms an original person may be helpful as a whole. The relationship between family income and the distribution of expenses is determined by strict control over the head of the family or by entering into a closed contract. Theoretical and practical confirmation of this fact, which may seem contradictory at first glance, is an important quantitative indicator of migrant remittances, due to altruistic reasons only with the consent of the family [14, p. 175].

At the beginning of the XXI century, international studies were crucial for studying changes in paradigms of settlement, assimilation, and adaptation, primarily diasporas and transnational approaches, as well as complementarity in migration processes [6, p. 225].

All types of labor migration were investigated in the “Technological Development” theory, taking into account resettlement for permanent residence. J. Simon believes that population growth is a major factor in the economic and demographic development of the population as a result of this migration [8, p. 534].

Despite his indignation with the offer of the local population to create a migrant worker, Adrian Smith expands unhealthy relationships, as well as the working and living conditions of these workers. At the same time, the local population controls not only the labor force but also the immobilization and exploitation of labor migrants for rationalized working bodies [15].

Migrant workers are subject to discrimination that can affect these groups, including high-risk work, lack of citizenship, social disputes, social inequalities and, finally, inequalities in health care. This shows that the government cannot solve these problems by controlling and lobbying powerful economic and political structures that benefit from the current situation. However, the economic damage caused by the effective use of migration capacity depends on economic losses, and the current situation is complicated by the rise of dominance systems [7, p. 450].

Understanding the process of making migration decisions in the context of the main migration flows in the EU/EFTA countries is extremely important for a better understanding of existing migration patterns in the modern legal context of free movement of people. The survey data indicate the intentions and plans for the resettlement of German immigrants living in Switzerland. This group migrates during the immigration period more than any other nationality and is highly skilled and integrated into the labor market. The results show that labor market issues are more important than family responsibilities. Also, they do not differ between groups and have not been approved for migration purposes. In addition, the goals of emigration are explained by the difference in opportunities and the understanding of any point of view among the well-being and standard of living, but the plan of emigration is based on real potential. Migration policy and, in particular, integration policy has little effect on emigration since the planning of emigration depends on external or personal factors [9, p. 135].

Migration is the result of a destabilizing disposition in the process of economic development; it is reflected in the theory of world systems. The continuous growth of the population affects the global market economy, which is associated with the spread of capitalism throughout the world market. The periphery is under the influence and control of the labor market, territory and raw materials, some of which lead to internationally recognized migration [10, p. 385].

Each classification of factors underlies the study. The most common classification factors are classified according to their ability to regulate the influence of migration processes. The following division (factor-regulating), uncontrolled (factor-state) and uncontrolled, but indirectly regulated is proposed.

Thus, our theoretical approaches to the identification of the main categories of migration and the main economic theories of this social and economic process and the analysis of other scientific approaches to the study of labor migration allow us to conclude our classification.

First of all, the migration of the population of the Republic of Uzbekistan is the subject of numerous issues and is one of the social phenomena requiring a comprehensive analysis. It is also important to emphasize that the immediate topic of these subjects is not only the diversity of labor migration but also its specific types and categories.

Secondly, regardless of the migration order in the Republic of Uzbekistan, most of them are determined by the economic needs of life and largely depend on the labor market. At the same time, all types and categories of this migration movement are directly related to the subject of the economy. This is only economic migration and, above all, labor migration in the country.

However, according to our opinion, it is not necessary to rely solely on a restricted approach to the interpretation of labor migration for further research. It also covers the concept of “labor migration” and “labor migrants.” The labor movement in the Republic of Uzbekistan is temporary being the part of this approach to identifying migration. The use of theoretical approaches to solving the impact of labor migration on the economies of host countries should be based on the labor market, national human capital and economic development.

Main results

The main result of the research is the systemic and dynamic features of labor migration of the Republic of Uzbekistan discovered by the authors.

In order to understand the migration processes in the Republic of Uzbekistan, it is necessary to analyze international migration processes, since the current situation in migration has evolved over the past 20 years.

External labor migration in the Republic of Uzbekistan goes in two directions: emigration and immigration. In turn, both components of labor migration should be replaced by the Republic of Uzbekistan with the CIS countries and exchanged with other foreign countries.

There appeared an uncertain trend in the Republic of Uzbekistan for recent years - the number of pensioners and people who arrived in 2013-2015 decreases. The decline in 2014-2015 was due to the crisis in the Western World with the Russian Federation, which affected the economic situation in the country. Due to the fact that the main migration flow of the Republic of Uzbekistan (more than 70%) goes to the Russian Federation, the main reason for the decline in migration is the processes taking place in Russia.

However, the positive economic and political processes that took place in the country after 2016 have led to the formation of labor migration in the Russian Federation on the basis of intergovernmental agreements. These processes led to an increase in the number of people who left the country in 2015-2018. 6% and 14.5% for the same period (see Figure 1)

labor migration employment

Fig. 1 - The number of arrived and departure persons (per year)

According to the intergovernmental agreement of the Russian Federation and the Republic of Uzbekistan, the flow of migrants increased by 15 thousand in 2017. This has led to the large-scale distribution and introduction of highly qualified specialists living in their homeland. A similar trend is observed in the outflow process, which leads to almost no changes in the migration flow.

Currently, only ten of the fourteen regions of Uzbekistan (including Tashkent) have only a quarter of the population of Uzbekistan, the remaining three-quarters of the republic have four low indicators of population density. At the same time, 80% of the total population is located in densely populated areas, the labor force, economically active and employed, produce 74% of GDP, 79% of investments and 88% of consumer spending. At the same time, if the population of high density is about 80% of the labor force of the country, then it has 55% of the total number of the unemployed. In general, the official unemployment rate in Uzbekistan is 0.5% and 0.3% in areas with a high population density, since areas with low density are characterized by less developed social and economic conditions.

Today, the largest number of migrants in the country - urban and rural population - first of all, high population growth in rural areas, and on the other - constitute an excess of labor. At the same time, over the years of reforms, the number of migration movements has decreased.

The reduction of migration from rural to urban areas depends on a number of factors and the complexity of the prerequisites. On the one hand, the number of migration factors in rural areas is growing: an increase in the number of land for private households, non-agricultural employment, and entrepreneurship in agriculture. On the other hand, there is a decrease in production in a number of industrial cities, an excessive excess of the labor force from enterprises continues, a relatively slow decline in education, which reduces the demand for working and migratory youth.

Entrepreneurs also play an important role in the development of external and internal labor migration. People who want to get the first investment to start their own business are involved in the migration process. Along with the development and expansion of entrepreneurship in Uzbekistan, this factor is growing, especially in foreign countries.

Economic transformations associated with the emergence of new forms of ownership, labor relations and the emergence of new vulnerable groups in the country provide for a state employment policy. At the same time, it is advisable to develop and use modern forms and methods for regulating labor migration, including in the country.

The impact of labor migration on economic development is aggravated by a number of factors: the prevailing illegal work, the deficiencies in the statistical system of migration accounts, and the impact of this process on the volume and duration of foreign labor. It should be noted that the results of attracting highly skilled labor in some cases significantly differs from the immigration of low-skilled workers. However, the most important Russian and foreign studies allowed us to create a typology of the positive and negative consequences of the use of foreign labor resources for the economies of the host countries.

Conclusion

The mechanism of government influence on the process of effective and appropriate employment, in accordance with the rationalization of external and internal labor migration, should include measures to improve and strengthen state policies on the labor market:

· ensuring the rapid development of family business, small business, and private entrepreneurship;

· widespread use of microcredit system for individual entrepreneurs;

· maximize the development of domestic forms of work in partnership with large industrial enterprises and relatively small industries;

· accelerated development of labor-intensive industries aimed at the use of agricultural and local raw materials and the production of finished products;

· focus on the development of services and addressing the employment of people with disabilities in rural areas;

· strengthening employment services for the unemployed in vocational training and public works;

· use of existing opportunities to improve the competitiveness and professionalism of the labor force, taking into account the changing conditions of the labor market in cities and villages;

· respect for migrant workers by state authorities, public organizations and public groups in Uzbekistan;

· improving the efficiency of local governments in the field of labor and social protection of the population, requiring employment, especially in rural areas;

The measures mentioned above, the activation of the labor market, the expansion of the sphere of labor, and the improvement of employment management can play an important role in the positive development of the internal labor migration processes of the population of the Republic of Uzbekistan.

In our opinion, the implementation of the proposed measures will increase the employment of the population of the republic, regulate the level of employment and, on the other hand, increase the social protection of citizens for temporary and one-time work.

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14. Abdurakhmanov K. Labor market of Uzbekistan: new challenges and development priorities. / Abdurakhmanov K., Kuchkarov G // Danish scientific journal. - 2018 - Vol.3 №19. P.45

15. Abdurakhmanov G. Strategy for ensuring decent work for touth in the Republic of Uzbekistan. / Abdurakhmanov G., Kuchkarov G. // Norwegian journal of development of the international science. - 2018. - Vol.3 - №25 - P. 3.

16. Bijak J. Forecasting international migration: selected theories, models and methods Central European Forum for Migration Research: CEFMR Working / Bijak J. Paper No. 4/2006. - 2006. - P. 5.

17. Burnley I.H Developments and Complementarities in International Migration Paradigms. Journal of International Migration and Integration. February 2016, Volume 17, Issue 1, pp 77-94 Ilka Steine 2019. Settlement or Mobility? Immigrants' Re-migration Decision-Making Process in a High-Income Country Setting. Journal of International Migration and Integration / Burnley I.H. February 2019, Volume 20, Issue 1, p 223-240

18. Iffath Unissa Syed Labor Exploitation and Health Inequities Among Market Migrants: A Political Economy Perspective. Journal of International Migration and Integration. May 2016, Volume 17, Issue 2, pp 449-465

19. Fletcher Baragar. Harald Bauder 2008, Labor Movement: How Migration Regulates Labor Markets. Journal of International Migration and Integration. June 2008, Volume 9, Issue 2, pp 239-240

20. Katz E. Labor Migration and Risk Aversion in Less Developed Countries / Katz E., Stark O. // Journal of Labor Economics. - 1986. - Vol. 4. - № 1. - P. 134-149.

21. Massey D.S. International migration and economic development in comparative perspective. Population and Development Review / Massey D.S., Douglas S., - 1989, No. 14, - P. 383-414.

22. Pissarides Ch. A. Equilibrium Unemployment Theory (Second ed.) / Pissarides Ch. A. Cambridge, MA: MIT Press. 2000.

23. Robinson C. Self-Selection and Interprovincial Migration in Canada / Robinson C., Tomes N. // The Canadian Journal of Economics. - 1982. - Vol. 15. - № 3. - P. 474-502.

24. Stark O. Tales of Migration without Wage Differentials: Individual, Family and Community Contexts: ZEF Discussion Paper on Development Policy No. 73. - University of Bonn: Center for Development research, 2003. - 22 p.

25. Stark O. The New Economics of Labor Migration / Stark O., Bloom D.E. // The American Economic Review. - 1985. - Vol. 75. - № 2. - P. 173-178.

26. Smith, Adrian A., “The Bunk House Rules: Housing Migrant Labour in Ontario”. Osgoode Legal Studies Research Paper Series. 98.

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