With Romania and Bulgaria joining the EU in 2007, the debate on the pros and cons of immigration intensifies all over Europe. In the United Kingdom, one of the few European countries to conduct an open door policy for workers from eight eastern European countries that joined the EU two years ago, sharp language is being used.
Newspaper headlines speak for itself: ‘unchecked immigration put Britons out of work’, ‘migrants get Brit’s pay slashed by 50%’, ‘East Europe migrants help take jobless to six-year high’ and even ‘HIV children bringing timebomb to Britain.’ All of this as a result of the grave miscalculation of the British government, predicting an influx of only tens of thousands of migrant workers from eastern Europe after the expansion of the EU two years ago. The actual numbers of eastern European immigrants in the UK are now estimated to be around 600,000, while another 261,000 immigrants from outside the EU have also obtained work permits in the past two years - one of the highest numbers of immigrants in peacetime.

But does this huge movement of population into the United Kingdom indeed have a negative effect on the British economy, as several politicians and newspapers suggest? Not so, according to the British Independent newspaper (see picture). A new study suggests the British government would have missed its key economic goals without the boost of economic activity by the new migrants. The 600,000 eastern Europeans now account to 2 per cent of the UK’s 30 million strong workforce, contributing an estimated £ 2.5bn a year to the economy. Business leaders, according to The Independent, also called for Britain to maintain its open door policy for foreign workers. Business for New Europe, which counts the former Tory minister Leon Brittan as well as chief executives from blue-chip companies including Reuters, Carphone Warehouse, Sainsbury and the London Stock Exchange on its advisory panel, said further migration was a ‘cause for celebration, not cowardice.’ On a larger scale, Ernst & Young reports that immigrants make up 8 percent of the workforce and contribute 10 percent of the UK’s GDP, making migrants net tax contributors.
In the Netherlands, a coalition of populist right-wing politicians and often left-wing trade unions are opposing an open door policy towards eastern European migrant workers, while, just like in the UK, many business leaders actually welcome immigration of skilled workers from abroad. As a result of the Dutch government’s policy of discouraging immigration in recent years, many skilled workers from non-EU countries, such as India, had to wait for up to a year or more for their work permit for the Netherlands. As a consequence, they decided to move to other countries, such as the United Kingdom. Just recently, realizing these setbacks, the Dutch government has adapted its policy, making it easier for skilled workers to obtain work permits.
It is often suggested that the main reason for the United States being the world’s largest economic power are its roots as an immigrant nation. The boost recent immigration has had on the British economy, if true, might now encourage other European countries to look in a more balanced way to the pros and cons of immigration, while the British government might actually give in to popular sentiment and restrict immigration from Romania and Bulgaria when these countries join the European Union next year.
It remains a difficult balance. Views of the electorate sometimes prevent politicians making the right choices for the economy. As marketers would say: rightly so, because the consumer is always in charge. However, in the Netherlands, discussions on ‘who’s going to pay our pensions’ would not have brought Labour leader Wouter Bos to the defensive, had a more balanced immigration policy taken place in recent years, according to some experts. As they claim, with a more active immigration policy, encouraging skilled workers to work for the benefits of both the Netherlands and their home country, migrant workers will partly pay ‘for our pensions’.
The debate continues…