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Wednesday, 9th July 2008

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An immigration crackdown is last thing on Earth we need



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A startling House of Lords report has challenged established thinking about the benefits of mass immigration into Britain. Linda Summerhayes finds, however, that the biggest fear in the Capital remains that we won't be able to attract enough overseas work.
IT is fair to say that the people of Edinburgh are used to welcoming new arrivals from around the world. From the teeming tourist hotspots to the bar staff in your local pub, we now expect to meet foreigners in all parts of our lives.

Indeed, it's
tempting to think many of our shops, building sites, hotels and bars would grind to a halt without overseas workers.

So, it is hard to equate the experience of life in the Capital with the picture presented by the Lords Select Committee on Economic Affairs.

This panel of high profile thinkers – including the former Tory Chancellors Nigel Lawson and Norman Lamont – concluded that record immigration to the UK has had "little or no impact" on the economic wellbeing of the existing population.

The peers also describe claims that immigration is needed to prevent labour shortages as "fundamentally flawed".

The peers said that despite the influx of more than 700,000 workers from eastern Europe since May 2004, the number of vacancies has remained at between 600,000 and 700,000.

The reality it seems is that the new arrivals actually "grow" the economy, rather than simply fill gaps – as they become consumers, as well as producers, themselves.

Their findings come as the Government is introducing a new Australian-style points system for workers looking to move to Britain.

The Lords' views have fuelled calls for the new system to be used as a way of stemming immigration, including demands for a cap on the number of new arrivals each year.

All this sits very uncomfortably with industry leaders in Scotland, who continue to stress the desperate need to attract, not repel, migrant workers from our shores.

"You hear these comments that come out from Westminster and they are talking about a different scenario to here," says Roger Horham, the head of projects and partnerships at the Edinburgh Chamber of Commerce. "I think Scotland's embraced immigration and needs immigration.

"It's very dangerous when the major player in one overall country in the UK makes a statement like that without taking into account the fact that member countries within it, like Scotland, would think differently."

The CBI (Confederation of British Industry) in Scotland dismisses another suggestion in the report, that young people may be failing to get a foothold on the job ladder because of the influx of migrant workers.

"As far as we can see, migrant labour hasn't thus far inhibited traditional Scots from getting a foothold on the job market," says CBI Scotland policy executive Iain Ferguson.

Being able to attract the right workers, both at home and from abroad, remains crucial to the success of Scottish industry, he says.

The concerns in the Capital were highlighted yesterday, on the day the Lords published their report, by leading economist Professor Robert Wright.

Delivering a speech at the David Hume Institute, the professor of economics at Strathclyde Business Schools painted a very different picture from the Lords.

He dismisses the Government's new points system as a vote-winner for Middle England and highly detrimental for Scotland.

Effectively, he sees the system regarded as not tough enough by the Lords, as too tough for Scotland, and likely to scare away vitally needed workers.

When you consider that research suggests sixty per cent of Poles arriving in Britain plan to stay for only a few months, you have to wonder where their replacements are likely to come from.

The weakening pound against the Euro and the growing prosperity of Poland and other Eastern European countries mean the wages on offer in Edinburgh are already losing some of their allure.

There are worries about the chasm that may appear in the workforce if many of the estimated 35,000 immigrants from Poland who have settled in the Lothians move on or head home.

Competition for such mobile workers is expected to increase on a grand scale across the world's major economies as the global workforce ages and dwindles.

So, the question being asked by the leaders of industry in Edinburgh is where are there replacements going to come from?

If workers from abroad are not there to staff our hotels, pubs, and so on, their experience is that on the whole there aren't enough Scots willing to step into their shoes.

The fear is that a strict immigration points system – even allowing for the fact the Home Office is drawing up a list of Scottish industries experiencing staff shortages to receive preferential treatment – could leave Scotland at a disadvantage.

Edinburgh still needs to attract migrant workers if it is to continue to be the vibrant and prosperous city it has on the whole become in recent years.

It may struggle to do that if UK Government policy forces it to do that with one hand tied behind its back.

If Edinburgh can't compete to attract the workers, you never know, there may be no-one there to pull your pint one day when you visit the pub.





The full article contains 880 words and appears in Edinburgh Evening News newspaper.
Page 1 of 1

  • Last Updated: 02 April 2008 9:33 AM
  • Source: Edinburgh Evening News
  • Location: Edinburgh
  • Related Topics: Immigration and refugees
 
1

nabodican,

Rural Scotland 02/04/2008 10:53:54
Embra can speak for itself, even if it is "the last place on earth"
Leave the rest of us out of this one.
2

nameinuse,

The north 02/04/2008 11:45:45
The gaps in the labour market? If pride could be swallowed/motivation found, the many JSA claimants could probably do bar work at a guess.

Given the individuals who migrate here (or at least the ones I know/have worked with) all intend to move back home having saved up some money over here, often so they can buy a house back home (where they can actually afford one). Thus, they are actually taking money out of the economy, albeit only 5-20k each depending on their length of stay, which has been notably longer than a couple of months. True they encourage growth in the short term, but by leaving they are pushing the economy to a point where, ceteris paribus, it would not have been by its' own merit, which is presumably why it is deemed that a constant influx of migrants is necesary. The general point that the Lords seemed to be making, is that in the long run temporary migrant workers are harmful to the long term success of the economy, as they generally consume more resources than they produce.

A junkie once said to me that it's painful for him to stop taking heroin, but as long as he keeps up the junk then the problem doesn't exist.

P.s. Considering you are a journalist your grammar is truly poor in places - "the new arrivals actually "grow" the economy" - how about "cause the economy to grow"?...
3

KampungHighlander,

Jakarta 02/04/2008 12:13:39
Given the thousands on JSA in Scotland, importing unskilled labour seems like a pretty stupid idea. Would it not be far better to get the unemployed into work and off draining the public purse.

Scotland has far too many who have been on benefit so long that they have become institutionally dependant on state handouts. Sometimes this dependance is intergenerational with the children of benefit takers becoming benefit takers themselves.

These people are becoming a permanent underclass within society. All the miss guided efforts at social engineering for the deprived have created dependance.

Is see nothing wrong with bringing in imported Labour in areas where their are critical skills shortages and also allowing entrepenuers to come to Scotland to establish business's and create jobs.

But to import labour to fill unskilled positions when we have thousands of unemployed is just plain stupid.
4

KampungHighlander,

Jakarta 02/04/2008 12:29:40
"The reality it seems is that the new arrivals actually "grow" the economy, rather than simply fill gaps – as they become consumers, as well as producers, themselves."

This is one of the great fallacies of immigration that having MORE PEOPLE = MORE GDP = GOOD.


The only measure of any relevance is GDP per capita. The way to measure the economic of importing unskilled labour is:

ONE JSA RECIPIENT + ONE UNSKILLED MIGRANT ON GBP10,000 = GDP PER CAPITA GBP5,000.

If that migrant is a software engineer earning 50,000 per year and you get the jSA recipent in employent the equasion is:

FORMER JSA ON GBP10,000 + SOFTWARE ENGINEER MIGRANT ON GBP50,000 = GDP PER CAPITA OF GBP30,000.
5

KampungHighlander,

Jakarta 02/04/2008 12:43:54
As another example, when I left Scotland to work in Indonesia, because I earn 4 times the average wage in Scotland and 100 times the average wage in Indonesia, the GDP PER CAPITA in Scotland went down while the GDP PER CAPITA in Indonesia went up.

If the CBI had it's way they would bring in thousands from the third world and put them on wages of one Pound a Day like they make back home.

This growing the economy by simply increasing them numbers is a very stupid argument.
6

Brian Ferrari,

02/04/2008 13:11:09
Kampung - good points.

But the root of the problem is our benefits system and the lack of aspiration it causes.

Yes it's about training, supply and demand, ability and mobility too, but but until you address the huge drain caused by our neets you are fighting a losing battle. Labour won't address this one because they don't want to upset their voters.
7

Thomas the Tank,

Edinburgh 02/04/2008 13:34:24
What the Edinburgh Chamber of Commerce, CBI and MegaChain Pub/hotel companies have in common is a vested interest in attracting a steady stream of compliant labour, willing to endure crap conditions & hours for minimum wages. When they wake up to the exploitation, there's always another econoomic migrant waiting for the place.
8

James (1),

02/04/2008 13:35:13
I happened to see the Scottish Labour party broadcast last week and I noticed that is had hardly any ethnic people in it. I would go as far as to say that of all the people it showed you would be luck if 2% where ethnic.

The ITV news at 6pm that was on after this was showing an item about English schools locking their gates to prevent kids going out at lunch time to buy junk food and the white faces at this school made up about 2%.

Strange that Labour does not use this in their campaign. Then again do they want to show life as it really is?

There are too many foreigners in this country and that is the ones we know about.
9

Mensa George,

Washington, DC 02/04/2008 13:47:39
Of course the Lords would want to depress worker's wages with cheap labour. It has worked quite well here.
10

steve 1511,

aberdeen 02/04/2008 15:26:48
the reason there are so many vacancies going unfilled in retail, hotels, care homes etc, is the pitiful wages on offer to scots,the reason the employers want immigration to continue is so they can continue to pay these pitiful rates for the jobs,backed up by a labour government who go on about poverty and the illiterate in africa and the billions they are giving to eradicate it,WHAT ABOUT THE POVERTY AND THE GHETTOS IN BRITIAN,that the labour goverment has turned its back on
11

subrosa,

02/04/2008 16:30:17
# 10 And McMillan of the CBI encourages this every day. That's the man who is against independence.
12

KampungHighlander,

Jakarta 02/04/2008 17:18:03
#6 Brian Ferrari

Some time ago the Government was looking at a Guaranteed Minimum Income as an alternative to their Social Welfare Programs.

The idea of the program is to provide a simplified Guaranteed Minimum Income that could be used as a cornerstone for all other social programs. Whether the person was out of the workforce to, Care for a Child or Elderly Parent or was unemployed or over the age at which employment was an option. The Level would be set at the poverty line and would be geared to inflation.

Example: Say the Minimum Level was 5,000 and the tax rate was set at 20%
An Unemployed Person Would receive 5,000 - 20% in Tax for an income of 4,000
Someone in an apprenticeship would receive 5,000 + Employment income of 5,000 for a total of 10,000 - 20% in Tax for an after tax income of 8,000
A person in full time employment would receive 5,000 + Employment Income of 20,000 for a total of 25,000 - 20% for after tax income of 20,000 making them Tax Neutral.
People earning more than 20,000 in employment income would be net tax payers.
To be eligible for the supplement you would have to be:
• In Full Time Employment.
• Staying home to Care for a child under two
• Looking for Full Time Work in an active program.
• In a Training Program
• Disabled
• Retired (over 65)
• In part time employment of twenty hours per week. (if over 50)
• Attending College or University Full Time
• In an apprenticeship program
• Caring for a family member who is ill or infirm.
• Working as an unpaid volunteer a minimum of 20 hours a week.

The beauty is it is simple to administer and creates no disincentive to employment.
13

KampungHighlander,

Jakarta 02/04/2008 17:21:53
Sorry that should have read:

Sometime ago the Government of Canada.....

No Goverment in the UK is that progressive...except maybe the SNP Government in Scotland.
14

Plodjfriss, Hammer of the Numpties,

Edinburgh 02/04/2008 17:21:56
'"As far as we can see, migrant labour hasn't thus far inhibited traditional Scots from getting a foothold on the job market," says CBI Scotland policy executive Iain Ferguson.'

Traditional Scots?
15

david hill,

huddersfield 02/04/2008 21:17:52
I just wonder at times whether our wonderful government can actually add up at all and whether they should take a lesson out of their own book to achieve future greatness - education! education ! education ! Indeed, basic arithmetic is not hard to grasp so it should be simple for our politicians to undertake, but unfortunately when it comes to immigration even cabinet ministers cannot add up the cost of a policy of unlimited access and whether the country has net benefits or not. In this respect also it appears that cabinet ministers and even prime ministers do not understand what common sense dictates, but where in comparison to this the vast number of the British people have been concerned about the ever-increasing immigration problem for nearly 10-years now. In this respect our politicians never did and still do not comprehend the problems caused by the increased demand on our health services, social services, housing, social benefits, loss of jobs by British workers due to immigration and the influx in absolute numbers of millions of new people who have flooded onto our shores in recent years. If they did they would though common sense again understand that our country can only be a net loss maker. Indeed, common sense has told the British people over the last few years that immigration is predominantly a negative factor within our economy and where the costs of the immigration burden far outweigh the benefits, most probably by a factor of three at least if the politicians did their sums correctly. But unfortunately again what we have got in this country presently is a government that simple cannot add up and where normal common sense is something that these politicians certainly do not possess.
Therefore the sooner that our political masters get a grasp of both, the sooner the people of this dear nation will get a government that does something right for a change. Or am I asking the impossible I would ask with this present administration ?

Dr David Hill
Wo
16

david hill,

02/04/2008 21:18:26
I just wonder at times whether our wonderful government can actually add up at all and whether they should take a lesson out of their own book to achieve future greatness - education! education ! education ! Indeed, basic arithmetic is not hard to grasp so it should be simple for our politicians to undertake, but unfortunately when it comes to immigration even cabinet ministers cannot add up the cost of a policy of unlimited access and whether the country has net benefits or not. In this respect also it appears that cabinet ministers and even prime ministers do not understand what common sense dictates, but where in comparison to this the vast number of the British people have been concerned about the ever-increasing immigration problem for nearly 10-years now. In this respect our politicians never did and still do not comprehend the problems caused by the increased demand on our health services, social services, housing, social benefits, loss of jobs by British workers due to immigration and the influx in absolute numbers of millions of new people who have flooded onto our shores in recent years. If they did they would though common sense again understand that our country can only be a net loss maker. Indeed, common sense has told the British people over the last few years that immigration is predominantly a negative factor within our economy and where the costs of the immigration burden far outweigh the benefits, most probably by a factor of three at least if the politicians did their sums correctly. But unfortunately again what we have got in this country presently is a government that simple cannot add up and where normal common sense is something that these politicians certainly do not possess.
Therefore the sooner that our political masters get a grasp of both, the sooner the people of this dear nation will get a government that does something right for a change.
Dr David Hill
World Innovation Foundation Charity
Bern, Switzerland

17

Jason,

Japan 03/04/2008 03:39:21
Do not think for one moment think that the current immigration mess is the result of government incompetence or ineptitude. Rather the opposite: This is one component of a deliberate plan to culturally destroy the United Kingdom and turn it into a Socialist-Marxist state. So I say roll on devolution (England, Scotland, Wales; Northern Ireland returning to Eire). England would never return a Labour government for the foreseeable future. Now throw in proportional representation and Labour wouldn't even be the opposition. You guys north of the border can find salvation on your own, and the best of luck. I mean this quite sincerely. But these changes outlined above cannot be expected anytime soon. So I suggest you make your plans on the basis of, "How does it affect me?" The UK in its present form is going down, do you want to go down with it?

 

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