In this article, we will take a look at 13 Countries for Unskilled Workers to Immigrate to. You can skip our detailed analysis and go directly to the 5 Countries for Unskilled Workers to Immigrate to.
According to the Migration Data Portal in 2022, the number of international migrant workers has steadily increased over the years, reaching 169 million by 2019. Of this total, 58.5% are male, while 41.5% are female. Women, in particular, are often employed in low-paid and low-skilled jobs. One of the most common reasons for immigration is the limited job opportunities in the labor market. Many people relocate to developed nations in pursuit of a better quality of life, seeking improved and higher-paying jobs, even in cases of lower education and no special skills.
Unskilled Worker Immigration– Potential for Economic Growth
Low-skilled or unskilled labor/workers are typically defined as individuals employed in jobs that require little or no experience or training, often involving routine tasks. However, their role in the economy should not be underestimated. Many companies value unskilled labor as it constitutes a significant portion of their workforce. The immigration of unskilled or low-skilled workers also has far-reaching implications globally. While the increase in international migration has been associated with higher economic gains for the global GDP, ranging from 20% to 60%, unskilled immigration itself can contribute to elevated labor productivity and GDP per capita in host countries. The resulting gains can be distributed across populations in both immigrant and emigrant countries.
Unskilled Immigration– A Contentious Issue
While immigration remains a politically contentious issue in the US, opinions on encouraging skilled and discouraging unskilled immigrants are also sharply divided. Some, particularly economists, advocate for a more lenient policy towards unskilled labor, contrasting with those who argue that such individuals may displace native workers. A recent study on the US low-skill work visa lottery supports the economists’ perspective, revealing that firms forced to reduce their foreign low-skill hires by half experienced an 18% decrease in production and did not increase native hiring either.
Demand for Unskilled Immigrants in the US
It is, therefore, not surprising that large organizations persist in hiring unskilled or low-skilled immigrants aspiring to obtain citizenship in developed countries like the US. These companies span various industries, including hotel chains like Marriott International, Inc. (NASDAQ: MAR), fast-food giants like McDonald’s Corporation (NYSE: MCD), and even tech conglomerates like Google (NASDAQ: GOOG).
One method is the EB-3 Unskilled Visa Program, allowing low-skilled immigrants to replace Americans who are unwilling to take entry-level jobs on a permanent full-time basis, with the desire to gain US citizenship. The Congress has allocated approximately 10,000 visas annually for such jobs. The food sector, in particular, offers multiple low-skill level jobs (entry level) continuously filled by immigrants through the EB-3 Unskilled Visa program. Companies like McDonald’s Corporation (NYSE: MCD), for instance, utilize this program to hire foreign workers. Currently, 72 US McDonald’s Corporation’s (NYSE: MCD) franchises are participating in this program, resulting in 3,200 employees obtaining their green cards.
EB-3 visas have also proven successful for tech companies such as Google (NASDAQ: GOOG), Amazon (NASDAQ: AMZN), 3M Company (NYSE: MMM), and Apple (NASDAQ: AAPL). These companies have utilized the program to fill positions during periods of domestic labor shortages since the 1990s.
Methodology
To compile the list of 13 Countries for Unskilled Workers to Immigrate to, we referenced our article on the 20 Countries with the Highest Minimum Wage in the World as a starting point. This preliminary list was designed to identify countries beneficial for unskilled workers in terms of income. We then utilized the Labor Market Mobility score from the Migrant Integration Policy Index 2020 to rank these countries in ascending order. Additionally, as a tie-breaker in case of similar rankings, we considered the foreign-born employment rates for low-skilled jobs sourced from the OECD’s Settling In 2018 Indicators of Immigrant Integration.
Note: The foreign-born employment rates for low-skilled jobs for the United States were not available in the report due to the fact that the country does not make a distinction between low-skilled and medium-skilled jobs. Information for Canada was also not available in the document.
The minimum wage rate is calculated on the basis of the exchange rate and therefore, is subject to change.
By the way, Insider Monkey is an investing website that uses a consensus approach to identify the best stock picks of more than 900 hedge funds investing in US stocks. The website tracks the movement of corporate insiders and hedge funds. Our top 10 consensus stock picks of hedge funds outperformed the S&P 500 stock index by more than 140 percentage points over the last 10 years (see the details here). So, if you are looking for the best stock picks to buy, you can benefit from the wisdom of hedge funds and corporate insiders.
Let us now move to our list of 13 Countries for Unskilled Workers to Immigrate to.
13. Israel
Labor Market Mobility Score: 52
With a robust minimum wage policy standing at $8.57 per hour, Israel stands out as a compelling option for the unskilled labor force seeking an improved quality of life, especially considering the expected further increase in the minimum wage this year. Recently, the Israeli government implemented a more lenient unskilled labor hiring policy. This change, aimed at addressing labor shortages in the country, permits industrial companies to now recruit unskilled labor from previously unauthorized countries, including nations like India and Sri Lanka.
For immigrants seeking better job opportunities, particularly from emerging or developing nations, Israel emerges as a promising choice. The labor market mobility score indicates a moderately favorable environment, granting immigrants immediate access to the job market, albeit under less favorable conditions than those for nationals. The employment rate for foreign-born individuals in low-skilled jobs in the country is 8.5%, compared to 5.7% for native-born individuals. This suggests that immigrants are more likely to secure low-skilled jobs making Israel an attractive destination for unskilled workers seeking opportunities.
12. Lithuania
Labor Market Mobility Score: 52
Lithuania is another country offering a competitive minimum wage of $6.16 per hour to its residents. With an economy centered around finance, tourism, and luxury goods, Lithuania presents numerous job opportunities. Popular positions for foreigners without a degree include roles such as event staff, recreational attendant, hotel bellhop/porter, and more.
11. France
Labor Market Mobility Score: 52
As an advanced economy, France offers a globally competitive minimum wage of $12.35 per hour. Unskilled workers can find a range of job opportunities in the service sector, including restaurants, bars, and hotels. The thriving tourism industry also presents ample possibilities for individuals without specific skills or experience. Additionally, those with proficiency in English can explore employment opportunities in call centers or as nannies.
France’s labor market mobility score indicates a favorable environment for immigrants, making it relatively easy for them to find jobs, with some restrictions in more regulated job sectors. However, similar to the previously mentioned countries, accessing training and skill education may pose challenges for immigrants. The country predominantly offers low-skilled jobs to immigrants, evident in the disparity between foreign-born (18.7%) and native-born (9.2%) employment rates in low-skilled positions.
10. Belgium
Labor Market Mobility Score: 56
As a developed European country offering its residents numerous benefits, including a high minimum wage, Belgium stands out as a potential destination for unskilled workers seeking immigration. With a minimum wage per hour at $12.94, Belgium provides opportunities for individuals desiring to move to the country and secure employment. Various unskilled jobs are available, ranging from positions in food service to construction labor and house cleaning, among others.
The labor market mobility for newcomers in Belgium is reasonably favorable, allowing non-EU immigrants access to public employment and training opportunities, albeit with some delays. Notably, a significant proportion of low-skilled jobs in the country (21.6%) are filled by foreign-born individuals, surpassing the native-born employment rate of 8.7%. Consequently, Belgium emerges as a viable option for unskilled immigrants seeking job opportunities and a place to settle down.
9. New Zealand
Labor Market Mobility Score: 59
Effective from April 1, 2024, the minimum wage in New Zealand is expected to be set at $14.12 per hour. While the country, like many others, is streamlining rules to attract skilled labor, there are ample opportunities for unskilled workers as well. Various industries, including hospitality, manufacturing, retail, supermarkets, and construction, actively employ a significant number of unskilled workers. Immigrants entering the country on job visas in these sectors can not only enjoy competitive salaries in this developed nation but also access many other associated benefits.
While new immigrants in New Zealand may experience some delays in complete labor market integration, the labor market mobility score indicates that they can still access the market and benefit from targeted support. Notably, 9.2% of foreign-born residents in New Zealand are employed in low-skilled jobs, showcasing opportunities for newcomers to participate in the workforce.
8. Japan
Labor Market Mobility Score: 59
Japan, as a developed nation with a robust economy and a relatively high minimum wage set at $7.46 per hour since October 1, 2023, has undergone significant changes in its immigration policies. In late 2018, the country revised its immigration laws to attract both low-skilled and high-skilled workers to address labor shortages in specific sectors. From April 2019, this initiative aimed to encourage the immigration of 350,000 new individuals—comprising both types of workers—over a consecutive five-year period. Additionally, the country’s growth in the agriculture and construction sectors has led to increased employment opportunities for low/unskilled workers.
7. Netherlands
Labor Market Mobility Score: 65
As one of the strongest economies in Europe, the Netherlands emerges as a promising destination for unskilled workers seeking immigration. The country offers a wealth of diverse job opportunities, particularly in manufacturing, retail, and food service. Notably, the Netherlands provides a highly competitive minimum wage of $14.46 per hour.
The Netherlands also secures a place in the slightly favorable category of the MIPEX integration index, indicating the ease with which new non-EU migrants can find employment in both public and private sectors. Long-term migrants and families staying in the country also enjoy equal access to education, training, and study grants. Additionally, the proportion of foreign-born individuals in low-skilled jobs surpasses that of the native-born population (15.2% compared to 8.2%), underscoring increased opportunities for unskilled individuals to secure these positions.
6. South Korea
Labor Market Mobility Score: 65
South Korea stands among the nations with a high minimum wage, currently set at $7.40 per hour as of January 1, 2024. The Korean government actively promotes the influx of low-skilled foreign workers into the country, particularly in sectors such as hospitality, mining, and forestry. The goal is to attract and integrate 165,000 new immigrants into these industries.
South Korea’s labor market mobility score suggests a generally favorable attitude toward immigrants, with long-term residents enjoying easy access to self-employment, public jobs, and general and targeted support. However, temporary workers may encounter some obstacles. Notably, there is a significant difference between the foreign-born and native-born populations in low-skilled level jobs. A substantial 32% of foreign-born individuals were found to be employed in unskilled worker positions, compared to only 9.9% of the native-born population holding such jobs.
Click to continue reading and see our 5 Countries for Unskilled Workers to Immigrate to.
Suggested Articles:
- 15 Best Places to Retire If You Have No Savings
- 30 Countries with the Highest GDP in 2023
- 20 Countries with Highest Income Tax Rates in Europe
Disclosure: None. 13 Countries for Unskilled Workers to Immigrate to is originally published on Insider Monkey.