UK – Employers of migrant workers are doing this to support business growth finds CIPD

The most recent figures from the ONS show that net migration into the UK increased by more than 38% to 243,000 in 2013–14 (ONS, August 2014). EU citizens – including an increased number from Romania and Bulgaria – accounted for two-thirds of the growth from the previous figure of 175,000.

Opponents of migrant workers argue that they take up the jobs of UK-born workers, particularly younger workers, have a depressing effect on wages and put a strain on public services and infrastructure.

On the other side of the argument, supporters of migration say migrants are a key part of the UK’s flexible labour market, help meet skills shortages and help UK businesses grow and compete.

The report shows that there is much more nuance to the debate than is typically aired. Our research finds that organisations that employ migrant workers are doing this to support business growth. Organisations that employ EU migrant workers are also more likely to invest in work experience, internships and Apprenticeships than those that don’t.

However, the evidence in this report does suggest that the availability of EU migrants is one of a number of factors, including the increased employment rates of older workers and the impact of welfare reforms, which has increased competition in the labour market, particularly for low-skilled roles. EU8 migrants from the 2004 accession countries are disproportionately represented in low-skilled jobs and are typically more experienced and better qualified than UK-born young people, which means they are likely to have had a small negative effect on youth employment levels in some sectors.

In response, the CIPD argues that more needs to be done to improve links between schools and colleges and business, including much better careers advice and guidance so that young people are equipped with the right qualifications and employability skills to compete for the jobs that employers are looking to fill.

Chosen excerpts by Job Market Monitor. Read the whole story at CIPD publishes new study on migration and the UK labour market – Press Releases – CIPD.