Migration and Labour Integration in Austria. SOPEMI Report on Labour Migration Austria 2017-18

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Migration and Labour Integration in Austria. SOPEMI Report on Labour Migration Austria 2017-18 Danube University Krems Department for Migration and Globalisation Migration and Labour Integration in Austria SOPEMI Report on Labour Migration Austria 2017-18 Gudrun Biffl January 2019 Report of the Austrian correspondent to SOPEMI (Système d’observation perma- nente des migrations), OECD’s reporting system on Migration. Danube University Krems Department for Migration and Globalisation Migration and Labour Integration in Austria SOPEMI Report on Labour Migration Austria 2017-18 Gudrun Biffl Monograph Series Migration and Globalisation January 2019 This study was commissioned by the OECD and prepared by Gudrun Biffl, the Austrian correspondent to SOPEMI (Système d’observation permanente des migrations), OECD’s reporting system on Migration. Opinions stated in this report are in the responsibility of the author and do not necessarily reflect the opinion of the OECD or of Danube University Krems. © Edition Donau-Universität Krems, Department for Migration and Globalisation ISBN: 978-3-903150-48-5 Recommended citation: Biffl, Gudrun (2019) Migration and Labour Integration in Austria. SOPEMI Report on Labour Migration Austria 2017-18. Report of the Austrian SOPEMI correspondent to the OECD. Monograph Series Migration and Globalisation, Krems (Edition Donau-Universität Krems). Table of contents Austria – Country Note 12 Introduction: The economy and the labour market 2017/2018 14 I. Migration Flows 21 1 Legal and institutional framework and policy reforms 21 Introduction of a Point System (Red-White-Red card) 25 Intercompany transfers, posted workers and other ‘Special’ cases of employment 28 Seasonal and other forms of temporary employment 29 Family migration and policy reform 31 Accreditation and validation of skills acquired abroad 31 Compulsory education or training for under 18 year olds 32 Asylum legislation and procedures 32 2 Migration flows by category 36 Population flows of nationals and foreigners 36 Entries and departures of refugees 43 Inflows of third country citizens on the basis of permits 58 Labour market flows 82 II. Posted workers 86 1 Posted workers from third countries and EU-MS during transition regulations (labour market register) 87 2 Posted workers in Austria and the EU 89 3 Prospects for posting workers 91 III. Foreign residents and residents abroad: stocks 93 1 Foreign residents in Austria 93 Naturalisations 96 Impact of reform of the citizenship law 96 Naturalisations, trends and composition 97 2 Live births of Austrian and foreign women 100 4 Foreign born population 103 Composition of migrants by source region, age, gender and timing of immigration 107 5 Development of mixed marriages 109 IV. Employment and unemployment of foreign workers 113 1 Employment of foreign workers 113 The composition of foreign labour by nationality and gender 115 Industrial structure of foreign employment 119 Regional distribution of foreign employment 120 Employment of migrants by major occupational groups 123 Migrants by educational attainment level 127 Educational attainment of the population of working age in EU comparison 131 Employees in non-standard employment 133 5 2 Unemployment of foreign workers 134 Unemployment by industry 137 3. Entrepreneurship 138 4 Foreign direct investment and business migration 142 Bilateral Investment Treaties (BIT) 143 Legislative framework: Immigrant investors and business owners 144 Management of business migration for settlement 147 Business migration, temporary residence 149 V Irregular migration 151 Unlawful entry and residence in Austria 153 Clandestine work 159 Alien police measures and forced return migration 160 VI. Remittances of foreign workers 161 VII. Integration of migrants 167 Integration policy 167 Institutional and Policy Framework for Integration 170 The role of citizenship for labour market integration 172 Changing union policy 172 Labour market outcomes of integration of migrants 172 Integration of migrants facilitated by work-based welfare model 172 Migrant women and youth: the challenge of labour market integration 173 Earnings differences 175 Public opinion and discrimination 176 VIII. Fiscal aspects of migration 178 IX. Statistical commentary 180 X. References 181 6 Figures Figure 1: Macro-economic indicators ................................................................................................... 15 Figure 2: National and foreign labour1 .................................................................................................. 17 Figure 3: Quota system and annual cap by category, 2012-2018 .................................................. 25 Figure 4: Net migration of Austrians and Foreigners ........................................................................... 38 Figure 5: Inflows of top 28 nationalities into Austria 2016 and on average 2007-2017 ................. 39 Figure 6: Monthly asylum applications from 2015 to 2017 by major source countries ................. 48 Figure 7: Asylum procedures: Inflows, acceptances and rejections ............................................... 48 Figure 8: Inflow and outflow of asylum seekers and/or refugees via Austria ................................. 54 Figure 9: Voluntary returns assisted by IOM Austria via the GHRP: 2000-2018................................ 55 Figure 10: Top ten countries of assisted returns by IOM via the GHRP ............................................ 56 Figure 11: Top five nationalities of forceful returns by the Federal Agency of Foreign Affairs and Asylum: 2016 and 2017 ............................................................................................................................. 57 Figure 12: Monthly inflows of third country citizens by residence status (2006-2012) ................... 65 Figure 13: Monthly outflows of third country citizens by residence status (2006-2012) ................ 66 Figure 14: Development of the number of red-white-red-card holders (dependent employment) in Austria 2011-2013 ......................................................................................................... 68 Figure 15: Educational attainment of r-w-r card holders: June 2013 .............................................. 68 Figure 16: Composition of r-w-r card holders by age and sex in Austria, end of June 2013....... 69 Figure 17: Distribution of r-w-r card holders and foreign worker in Austria by province (Bundesland), end of June 2013 ............................................................................................................. 70 Figure 18:Stock of university graduates with R-W-R Card: development over time ..................... 71 Figure 19: Occupational composition of R-W-R cards to university graduates by gender (June 2013) ............................................................................................................................................................. 72 Figure 20: Sum of r-w-r card, blue card and JSV holders issued to third country migrants by the Labour Market Service: 2012-2018 ......................................................................................................... 73 Figure 21: Structure of valid residence permits by major countries of origin in% 2011 to 2018 (mid-year count) ........................................................................................................................................ 80 Figure 22: First work permits and total foreign employment ............................................................. 83 Figure 23: Foreign employment and permit based foreign employment (annual average) .... 85 Figure 24: Total number of posted workers by source region ........................................................... 88 Figure 25: Number of posted workers in liberalized services by source region ............................. 88 Figure 26: Number of posted workers in services protected from competition from third countries and EU-MS for which transition regulations apply ............................................................. 89 Figure 27: Source countries of posted workers from the EU/EEA in Austria (per number of workers)........................................................................................................................................................ 90 7 Figure 28: Destination countries of Austrian posted workers in the EU/EEA (per number of workers)........................................................................................................................................................ 91 Figure 29: Net-migration of Austrians and foreigners and total population growth rate ............ 93 Figure 30: Foreign population and naturalisations in % of foreign population 1995-2017 ........... 94 Figure 31: Naturalisation rate (naturalisations in % of foreign population) by region (Bundesländer) ........................................................................................................................................... 99 Figure 32: Live births of native and foreign women 1981-2017 ....................................................... 100 Figure 33: Live births to native and foreign women 1981-2017 ....................................................... 101 Figure 34: Total fertility rate of native and foreign women (average number of children per woman) 1981-2017 .................................................................................................................................. 102 Figure 35: Total fertility rate of Austrian and foreign women by major source region ............... 102 Figure 36:
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