Linking human capital, labour markets and international mobility: an assessment of challenges in Egypt, Jordan, Morocco and Tunisia International Centre for Migration Policy Development (ICMPD) Gonzagagasse 1 1010 Vienna, Austria ICMPD Regional Coordination Office for the Mediterranean Development House 4A, St Ann Street FRN9010 Floriana Malta www.icmpd.org Written by: Center for Migration and Refugee Studies, American University in Cairo Suggested Citation: ICMPD (2020), Linking human capital, labour markets and international mobility: an assessment of challenges in Egypt, Jordan, Morocco and Tunisia This publication was produced in the framework of the EUROMED Migration IV (EMM4) programme. EMM4 is an EU-funded initiative implemented by the International Centre for Migration Policy Development (ICMPD). www.icmpd.org/emm4 © European Union, 2020 The information and views set out in this study are those of the author(s) and do not necessarily reflect the official opinion of the European Union. Neither the European Union institutions and bodies nor any person acting on their behalf may be held responsible for the use which may be made of the information contained therein. Design: Blueghost Linking human capital, labour markets and international mobility: an assessment of challenges in Egypt, Jordan, Morocco and Tunisia About this publication This study was produced by the Center for Migration and Refugee Studies at the American University in Cairo (AUC) on behalf of the EUROMED Migration IV (EMM4) programme (2016–2020). EMM4 is an initiative funded by the European Union (DG NEAR) and implemented by the International Centre for Migration Policy Development (ICMPD). EMM4 is committed to establishing a constructive framework for dialogue and technical exchange regarding migration policy in the Euro-Mediterranean region. In line with this mandate, EMM4 is actively contributing to migration policy discussions with an emphasis on bridging knowledge gaps and building a common understanding of the region’s most salient challenges. This publication follows and builds on the results of the study ‘Exploring and Proposing Mechanisms for Labour Matching in the Mediterranean Region’, a key programmatic output that identifies structural obstacles to a more optimal allocation of labour in the Euro-Mediterranean region. Taking these ob- stacles as a starting point, the study adopts a predominantly macro-economic perspective in order to pinpoint migration drivers in four southern Mediterranean countries (Egypt, Jordan, Morocco and Tunisia) and to propose suitable policy interventions from a multi-sectoral standpoint. These findings complement EMM4’s body of work on labour migration management and their aim is to enhance institutional responses at national and international level in line with the United Nations Sustainable Development Goal 10.7 to ‘facilitate orderly, safe, and responsible migration and mobility of people, including through implementation of planned and well-managed migration policies’. In this sense, the publication is addressed to experts and policymakers from the Euro-Mediterranean region responsible for the conception, planning and implementation of labour and migration policies. 8 Table of contents Table of contents 9 Table of contents Acronyms 10 III. Institutions collecting data 96 Figures 12 A. Egypt 97 Tables 12 B. Jordan 97 I. Introduction 14 C. Morocco 98 II. Demographic and macroeconomic conditions 18 D. Tunisia 98 A. Macroeconomic indicators 19 IV. Type of data collected 100 B. Demographic trends 23 A. Egypt 101 i. Demographic change and demographic dividend 23 B. Jordan 101 ii. Age structure of the population distribution 25 C. Morocco 102 C. Education trends 28 D. Tunisia 103 i. Policies 30 V. Type of regular reports available from labour market authorities 104 ii. Technical and vocational education and training 32 A. Egypt 105 D. Labour market trends 35 B. Jordan 105 i. Labour force growth 36 C. Morocco 105 ii. Unemployment 38 D. Tunisia 105 iii. Informal employment 40 iv. Labour market demand by profession and economic sector 41 Annexe 2: The educational system in Egypt, Jordan, Morocco and Tunisia 106 III. Human capital, labour markets and mismatch 46 I. Egypt 106 A. Skills mismatch 47 A. General education 107 B. Information mismatch 49 B. Vocational and technical education and training (TVET) 107 C. ALMPs to address mismatch 52 II. Jordan 110 IV. International migration in Egypt, Jordan, Morocco and Tunisia 54 III. Morocco 112 A. Migration history 55 A. A. Vocational training at schools 113 B. Levels and trends of international migration 56 B. Vocational training in companies: Focus on the IDMAJ programme 115 C. Age/gender composition of migrants in EJMT 56 IV. Tunisia 118 D. Drivers of migration to EJMT 57 A. Initial training (at schools) : Trends and challenges 120 E. EJMT migrants worldwide: emigration 58 B. Continuing training : Trends and challenges 122 F. Drivers of migration from EJMT 59 G. Transit migration 59 Annexe 3: Population Pyramids for Egypt, Jordan, Morocco and Tunisia, 1960–2050 124 V. Migration and development 60 A. Remittances 61 Annexe 4: ALMPs in EJMT 134 B. Transfer of knowledge by expatriate nationals 63 I. Egypt 134 C. Investment 63 II. Jordan 138 D. Brain drain and migration of the highly skilled 64 III. Morocco 142 VI. Institutional Frameworks 66 IV. Tunisia 148 A. Migration governance in Egypt 67 B. Migration governance in Jordan 69 Annexe 5: Migration trends and governance in EJMT 152 C. Migration governance in Morocco 70 I. Egypt 152 D. Migration governance in Tunisia 70 A. History of Egyptian migration 153 VII. Labour (mis)match and migration policies for foreigners 74 B. International migration stock 153 VIII. Recommendations 76 C. Migrants worldwide: Emigration 157 A. International cooperation in the Euro-Mediterranean region 78 II. Jordan 162 B. Education 78 A. History of Jordanian migration 163 C. Labour market 78 B. International migration stock 163 D. Data 79 C. Migrants worldwide: Emigration 169 E. Mismatch 79 III. Morocco 172 F. Migration 80 A. History of Moroccan migration 173 References 81 B. International migration stock 173 C. Migrants worldwide: Emigration 175 Annexe 1: Labour market and migration data 86 D. Legal sources and implementing institutions 177 I. Data availability 86 IV. Tunisia 180 A. Egypt 87 A. History of Tunisian migration 181 B. Jordan 89 B. International migration stock 181 C. Morocco 90 C. Migrants worldwide: Emigration 183 D. Tunisia 91 D. Legal sources and main implementing institutions 185 II. Data quality 92 A. Egypt 93 B. Jordan 93 C. Morocco 94 D. Tunisia 94 I. I. 10 Introduction Introduction 11 MTIP The Ministry of Labor and Professional Integration (Morocco) ACRONYMS NASS National Academy for Science and Skills NEET Not in Employment Education or Training AfDB African Development Bank NSHRD National Strategy for Human Resource Development (Jordan) ALMP Active Labour Market Programme OECD Organisation for Economic Co-operation and Development ANAPEC The National Agency for the Promotion of Employment and Skills (Morocco) OFII Office Français de L’immigration et de L’intégration ANETI The National Agency for Employment and Self-employment OFPPT Office of Professional Training and Work Promotion (Morocco) (Agence Nationale pour l’Emploi et le Travail Indépendant) OFPPT The Office of Vocational Training and Promotion of Work (Morocco) APII Agency for the Promotion of Industry and Innovation (Tunisia) ONEQ National Observatory of Employment and Skills ATCT Agency for Technical Cooperation (Agence Tunisienne de Coopération Technique) ONM National Observatory on Migration ATFP Tunisian Agency for Vocational Training OTE Tunisians Abroad Office BTP Brevet de Technicien Professionnel PIMA Public Investment Management Assessment BTS Brevet de Technicien Supérieur SEITE Secretary of State for Immigration and Tunisians Abroad CAP Professional Aptitude Certificate (Certificat d’Aptitude Professionnelle) SFD Social Fund for Development CAPMAS Central Agency for Public Mobilization and Statistics SNIA The National Immigration and Asylum Strategy CC Skills certificate (Certificat de Compétence) STA Sewedy Technical Academy CCG Central Guarantee Fund (Caisse Centrale de Garantie) STEM Science, Technology, Engineering and Mathematics CCME Conseil de la Communauté Marocaine à L’étranger TFP Vocational Training Tax (Tunisia) CDD Fixed-term contracts TLMPS Tunisian Labor Market Panel Survey CDI Open-ended contracts TPE Very Small Businesses (Toutes Petites Entreprises) CGEM The General Confederation of Companies (La Confédération Générale des Entreprises du Maroc) TPME Very Small Businesses and Small and Medium-sized Businesses CI Contrat d’insertion (integration contract) (Très Petites Entreprises & Petites et Moyennes Entreprises) CNFCPP National Continuing Education Centre and Professional Promotion TVET Technical and Vocational Educational and Training CNSS The National Fund for Social Security (La Caisse Nationale de Sécurité Sociale) UAE United Arab Emirates CRES Centre for Research and Social Studies (Tunisia) UN United Nations CTVIE Tunisian Centre for Economic Intelligence and Monitoring UNDP United Nations Development Programme (Centre tunisien de veille et d’intelligence économique) UNHCR United Nations High Commissioner for Refugees DCI Development cooperation instrument UNICEF United Nations International Children’s Emergency Fund DoS Department of Statistics (Jordan) USA United States of America ECES The Egyptian Center for Economic Studies