News Of Economy

Migrant Workers boosting British economy: Report

April 9, 2012

The British economy is at advantage from the influx of migrant workers and some sectors would ‘collapse’ if they were taken out overnight, say a latest report. According to the report released by TUC, migrant workers have actually helped to improve the UK economy and concluded that with their influx not having a negative effect on employment or wage levels. The TUC has said that its research argued against accusations from the far right that immigrants are a drain on the welfare state. However, the recent data indicate migrant numbers from Eastern Europe are greatly down so far this year largely because improved job opportunities and wages at home. The report further revealed that migrant workers are paying more in taxes than the value of the public services they receive, despite claims from organizations such as Migration Watch UK that immigrants place additional pressure on housing and public services. Treasury figures show that inflowing migration adds about 10 percent to economic growth each year. The Bank of England has also welcomed the effect migrant labor has had on pay settlements by preventing them from picking up more sharply in response to recent higher inflation. The UK has witnessed an influx of migrant workers from Eastern Europe since 2004 after many new countries joined the European Union. This trend has triggered concerns that workers willing to take low-paid jobs in sectors such as construction, farming and domestic service would press down wages and compel other low-skilled workers out of jobs. Speaking over the issue Brendan Barber, the TUC’s general secretary said, ‘Migrant workers are making a substantial contribution to Britain’s economy. They have not caused mass unemployment or held down wages as some would have us believe.’ He further argued that if migrant workers are treated fairly and paid a decent wage they can only add to the economy. The report has also suggested that the profusion of migrant labor should not prevent the government from helping unemployed and disadvantaged British citizens from getting into work. However, the low numbers of incoming migrants has triggered concerns about the impression on industries such as fruit farming, which are dependant on seasonal foreign labor. In the meanwhile, farmers have criticized about the effect of restriction placed on foreign workers, brought in to promote employers to recruit mainly from local population. Image Read

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