Attracting Highly Qualified and Qualified Third- Country Nationals to Italy

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1 Attracting Highly Qualified and Qualified Third- Country Nationals to Italy EMN France National Conference Paris, 18 October 2013

2 Italian labour market: an overview Despite the fact that Italy is experiencing the worst economic crisis since WW2, migrant labour force increased from 1.6 to 2.3 million since Migrant labour force increased by 83,000 workers in 2012, mainly thanks to the demand of non-skilled workers and caregivers, but unemployment rate also became more consistent (14.1%, +2.0 % annual increase). Non-nationals represent 10% of labour force and 1.8% of highly qualified workers. 962,000 (41.2%) are overqualified: frequent although short unemployment periods, accompanied by socioeconomic weakness, lead migrant workers to renounce professional improvements, thus creating a segmented labour market concentrating foreigners into low-skilled jobs. Also 19.5% of nationals are overqualified. The consistent qualified offer by young nationals (80% having completed Secondary School) leads to a return to emigration. 2

3 First permits issued to third-country nationals for remunerated activities by reason Total Other Seasonal workers Highly skilled workers Researchers EU Blue card* Directive 2009/50/EC had not yet been adopted within reporting period SOURCE: EMN Italy. Elaboration on data from EUROSTAT (migr_resocc) 3

4 Employmentof Third-Country Nationals SOURCE: EMN Italy. Elaboration on data from EUROSTAT-EU LFS (lfsa_egais; lfsa_egaed) 4

5 Forecast of recruitment of non-seasonalimmigrant workers provided by companies on professional status (ISCO).by level of education (ISCED) SOURCE: Unioncamere - Ministry of Labour, Excelsior Information System 5

6 National policies to attract highly-qualified migrant workers Despite the limited flow a growing policy-makers interest is experienced, aimed to the simplification of procedures and to the enlargement of entry possibilities initially envisaged by 1998 Immigration Act.

7 National factors to be improved Low salaries and nationality-based wage gap do not contribute to the attractiveness of Italy as a country of destination for qualified migrant labour force. The foreign labour force, more exposed to the economic cycle, is particularly affected by the current economic crisis (263,000 work stay permits were not renewed). Jobs available to young graduates, Italians and foreigners alike, are very few and the continuous increase in the unemployment rate (+5,6% since 2008). Recognition of foreign academic qualification, which most of the time requires additional exams, is also a thorny issue and only a few associations provide information on how to convert a diploma or a degree. The number of professional recognitions in 2012 decreased due to the economic crisis: 999 nurses, 23 lawyers, 21 engineers, 5 biologists, 2 social workers. Positive is the increase of self-employed non-nationals also in times of crisis (445,000).

8 Policy-related conclusions The application of the EU Blue Card directive is too recent to draw conclusions but the commitment to prevent abuse must not result in excessive bureaucratic burden, and for this purpose the collaboration between public/private sectors will be of vital importance. National policy-makers show an increased interest in highly qualified foreign workers, but this is translated into limited flows, mainly for two reasons: Italy is a reservoir of qualified workers, composed of young Italian graduates and by children of resident foreign citizens, about one third of the international students in Italy. The increase of retirement age has reduced the necessity of qualified workers from abroad, since more people in advanced age having a high qualification are available. In the next 2-yrs period new insertions will concern unemployed migrants already in Italy (380,000 in 2012). In the future lower inflows may foster the entry of highlyqualified workers. Finally, to prevent the problem of brain drain and promoting brain circulation, effective policies for co-development shall be carried out within the framework of decentralized cooperation as well as in the systems of compensation covered by bilateral agreements on labour.