The FINANCIAL — Natela Kuliani moved from Gori to Rome in search of a better job. More than 20 years have passed since then and she is still working as a nurse in Italy, 2529,87 km away from Georgia. The reason is that she couldn’t find a job in her country and as her family was financially poor, she decided to try to help her family however possible.
“My friend helped me to find a job in Italy. She lives and works here. So she knew of a vacancy and offered me the chance of a job. As she works as a nurse, she recommended the same work for me,” said Natela Kuliani. “My salary is 1,000 EUR a month. I don’t pay for accommodation, utility fees or transport as the family whom I work for pays all these fees. I look after a very nice old lady, who isn’t unwell, just doesn’t want to live alone and needs attention. I have my own elderly mother in Georgia who is very ill, she has cancer. I’m very unhappy as I am looking after this Italian woman and not my own mother. But this is the only way to help her. As I don’t have to pay any fees, I send almost the whole of my salary amount to my family,” added Kuliani.
Natela Kuliani is one of those who left Georgia due to unemployment. Out of 19,449 people which are the active population (labour force), 16% were unemployed in 2010 according to the National Statistics Office of Georgia. The unemployment rate increased in 2007 as in 2004 only 12% was unemployed. The Subsistence Minimum for a working age male is 156 GEL in 2011. It is exactly the low wages and high unemployment rate which have caused migration from Georgia. With a population of 4,436,400, Georgia saw immigration of just 18% in 2010.
Migration of so many professionals, so many productive workers – how can it impact on a country’s economy and in general how harmful is it for the country? Muhammad Asali, ISET Professor, Ph.D., Columbia University, 2008, believes that it really does hurt the economy.
“This phenomenon is known as “Brain Drain”, when the more skilled people emigrate–I.e., leave their country of residence and citizenship heading to a more advanced country. This phenomenon, mostly observed in developing countries (in Asia, Eastern Europe, India and Africa), is potentially very harmful to the economy, since it is about a “selective migration”, where the skilled workers are the ones who leave. These are the very people with whom the country can develop and become a better place,” said Asali.
“Not only is this a harmful phenomenon, but it is also self-sustained; the vicious circle goes as follows: skilled workers emigrate because there are no good opportunities for them in the country of origin: no job offers, low wages, high unemployment, job possibilities not matching their skills and abilities. Once they leave, however, all these problems become worse–because the potential driving force of development (skilled and educated workers) are not there anymore, infrastructure and opportunities deteriorate–rendering additional waves of out migration,” added Asali.
“Stopping emigration is a big question. However, the easiest way to approach the problem is to look at its sources: scarce opportunities for skilled workers and for development. So, if the government takes actions to improve these, by providing more suitable jobs, paying higher salaries, offering the needed network and infrastructure, investing in education and health, and embracing and rewarding its skilled labour, the problem can be mitigated. Not only that, but the new resulting economy and the spurred growth might also invite migrants back to their homeland and even other non-natives, turning the wheel backward, and achieving what we call a “Brain Gain”; all leading to an improved and flourishing economy,” said Asali.
Economist Davit Papuashvili considers that moving from one’s home country to another one for a job is not the right decision. “People should go to other countries for better education, to be more skilled in their professions. Then they must come back to their countries and use all their gained knowledge and experience in their own countries. Emigration is a process when the country loses mental resources, which impacts the country’s economy negatively. The country should focus on keeping its competitive and talented people in the country,” said Davit Papuashvili.
According to the 2010 Caucasus Barometer (CB), 64% of Armenians would leave Armenia for a certain period, while fewer Azerbaijanis – 52%, and Georgians – 47%, would do the same. CRRC data also shows that Armenians are more willing to permanently leave their country – 29%, than the Azerbaijanis – 17%, and Georgians – 7%.
Interestingly, ethnic Armenians within Georgia alone are also more likely to permanently emigrate from the country than the other internal ethnic groups. 42% of the ethnic Armenian population in Georgia reported desire to leave Georgia forever compared to 7% of ethnic Azerbaijanis and 6% of ethnic Georgians within the country.
Additionally, there is a pattern in which people who have travelled abroad are more inclined to emigrate in all three countries. Nearly eight-in-ten Azerbaijanis, 78% who have once travelled abroad, would temporarily leave the country followed by 71% who travelled abroad twice or more, and 48% for those who have never travelled abroad. Similarly, 71% Armenians who have been abroad at least once are more interested in temporary migration than their compatriots who have never travelled, 48%, outside Armenia. Again, Georgians favour temporary migration the least, but still follow the same pattern in which those who reported at least one trip outside Georgia are more interested in emigrating temporarily than the Georgians who have never been abroad.
Across the euro zone, the average unemployment rate is 9.9%. In the US, 9.4% of job seekers moved for new jobs in the first half of 2011, according to data compiled by Challenger, Gray & Christmas. This is up significantly from 7.6% a year ago.
According to the statistics provided by the National Bank of Georgia, Russia leads the donor countries in terms of money transfers. Greece, Italy, the United States and Ukraine follow Russia in terms of money transfers to Georgia. The majority of immigrants are residing in Russia.
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