Migration Advisory Committee report highlights industry fears over migration restrictions

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A report by the Migration Advisory Committee (MAC) has warned that restricting migration after Brexit could limit the UK’s productivity and economic growth

The report took evidence from more than 400 businesses, industry bodies and government departments as part of a major inquiry ordered by home secretary Amber Rudd.

Employers indicated that workers from the European Economic Area (EEA) were “more motivated and flexible than UK-born workers”, including a greater willingness to work longer and unsociable hours, and said they were often better qualified for the jobs they do.

The report details how after 2004, employers in some sectors, specifically the lower-skilled, found they now had, through free movement, access to a new well-qualified and highly motivated labour force.

Employers in all sectors are concerned about the prospects of future restrictions on EEA migration. The high-skilled are concerned about having EEA workers subject to the current non-EEA system. While the lower-skilled are concerned that the impact of restrictions is likely to be greatest on them.

The report highlighted that employers often reported skill shortages as one reason for employing EEA migrants.

Commenting on the Migration Advisory Committee report, Neil Carberry, CBI Managing Director for People, said: “This report rightly highlights employers’ concerns regarding future access to skills and labour from our largest and closest trading partner.

“While firms recognise that freedom of movement as we know it will end, restricting access to EU workers – at a time of record employment rates – would leave companies without the staff they need to grow and invest.

“If Britain is to continue competing globally, it will need to take an open approach to migration, with appropriate controls to maintain public support.

“As the report notes, firms are concerned that applying non-EU rules to citizens from our closest trading partner would be disastrous for the economy, with smaller companies hit hardest.

“Overall, EU migration has had a positive impact on the UK economy, creating jobs, growth, and helping to pay for public services such as roads, schools and hospitals.

“We hope the Government uses this evidence in designing a new system that shows Britain remains open to the world.”

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