Permanent migration to member countries of the Organization for Economic Cooperation and Development (OECD) have soared over last decade, reaching a record level of 6.1 million in 2022 according to the recently published International Migration Outlook 2023. Compared to the 2019 pre-pandemic level, the number of immigrants increased by 14%, while from a year-on-year perspective, it hiked by 26%. At the same time, labor market prospects for immigrants have significantly improved for both men and women, the report reveals.
The OECD is a multilateral organization with over 60 years of experience working to promote economic growth, prosperity, and sustainable development. The organization currently has 38 members.
Countries favored by immigrants
At a country level, 2022 marked a 15-year record high for many nations including the top destinations – the US, Germany, the UK, and Spain, all of which recorded a year-on-year increase in immigration of between 21% and 35%. The US alone recorded an inflow of 1.05 million permanent immigrants last year. Other countries such as Ireland, France, the Netherlands, Switzerland, Belgium, Denmark, Finland, and Luxembourg also recorded a 15-year record high immigration in 2022.
Fig.1. Permanent-type migration to the OECD, 2013-22
Source: International Migration Outlook 2023
Last year, in OECD countries, permanent migration relative to the population was also high with countries receiving on average 10 new immigrants per 1,000 people. In countries such as Estonia, Iceland, Luxembourg, New Zealand, and Switzerland, this number reached 15 immigrants per 1,000 inhabitants.
Family migration outpaces labor migration
In terms of the main categories of permanent migration, family migration headed the list in 2022 with about 40% of all immigrants belonging to this group. From a year-to-year perspective, family migration was the largest category over the last decade, representing between 1.7 and 2 million migrants every year in the pre-pandemic period.
The USA is a top destination for family migration and in 2022 alone, the country received about 723,000 immigrants who obtained legal permanent resident status for family reasons. This number is 14% more than in 2021 and 8% less than in pre-pandemic 2019. The United Kingdom and Canada are the second and third top destination countries for family migration.
Meanwhile, labor migration has increased over time, reaching 21% in 2022 compared to 16% in 2019.
Fig.2. Permanent-type migration to the OECD area, by category of entry, 2013-22
Source: International Migration Outlook 2023
Forcibly moved Ukrainians
The report also states that the war in Ukraine has triggered the largest displacement in Europe since the Second World War. Over 10 million people have moved to OECD countries or been internally displaced since the start of the conflict in February 2022. As of June 2023, about 4.7 million Ukrainians have been forcibly moved to OECD countries with Germany, Poland, and the US receiving the highest number of displaced Ukrainians in absolute terms. However, as a share of the population, the highest number of refugees has been recorded in Estonia, the Czech Republic, and Lithuania.
Fig.3. Number of refugees from Ukraine in OECD countries, absolute numbers and per thousands of total populations, June 2023
Source: International Migration Outlook 2023
Better immigrants’ employment perspectives
As for the impact on the labor market, last year migration employment was the highest since the beginning of the millennium, according to the report. In over 80% of countries, migrant employment has recovered or surpassed pre-pandemic levels. Overall, in 2022, 70% of migrants in OECD countries were economically active and only 8% were unemployed.
Interestingly, the increase in both the employment and labor participation rate was higher for women than for men, narrowing the migrant gender gap in employment in Australia, Canada, the United Kingdom, and the United States. However, while the migrant gender gap in employment has decreased in these countries, nevertheless the overall gender gap in employment rates persists. At the EU27 level, the migrant gender gap in employment also continues.
Commenting on the outcomes of the report, OECD Secretary-General Mathias Cormann noted:
“Employment rates increased for migrant men and for migrant women, but migrant mothers continue to face specific challenges. Specific measures would help boost their labor market participation, for example by facilitating early access to childcare services.”
