Immigration policy: addressing the needs of an ageing labour force
Immigration policy: addressing the needs
of an ageing labour force
Since 1989 the Czech Republic has been increasingly exposed to international
migration. With one of the highest incomes per capita in Central and Eastern
Europe, the Czech Republic has received more immigration flows than the other
countries in the region. Indeed, immigration has typically exceeded emigration,
making the country one of net immigration. Nevertheless foreigners are still only a
relatively small share of the population and integration issues are just beginning to
surface, and fears of swelling migration flows in both directions after EU accession
appear unfounded. Also, migration arising from the joint labour market agreement
with Slovakia is helping to overcome imbalances in the labour market. Policy is only
beginning to address immigration issues actively and various inconsistencies among
different policy areas remain. Looking further ahead, the ageing of the Czech population
is relatively further advanced and faster than in most other OECD countries.
Preparing for these demographic changes and mitigating their impact on economic
growth and living standards is therefore a key policy priority, which is also relevant
for shaping migration policy towards the needs of the Czech labour market.
This Chapter first looks at historical developments and recent trends in
migration. This is followed by sections examining immigration policy, the economic
impact of immigration and the likely future trends in emigration. A final section presents
some concluding comments. A policy assessment is contained in Box 6.1.
Migration history: towards free movement of labour1
Historically, Czechoslovakia was a country of emigration rather than immigration.
In the first half of the 20th century, emigrants, motivated mainly by economic
reasons, moved to western Europe and to the “New World” in the
United States and Canada. The Second World War generated sizeable migration
flows and, after the end of the conflict, massive net emigration took place due
mainly to the expulsion of 2.5 million Germans from the border regions of the
Czech Republic, only very partly compensated by return flows from abroad
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