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The implications of South Africa's skills migration policy for country competitiveness

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  • Albert Wocke
  • Saul Klein

Abstract

South Africa suffers from a shortage of skills, while at the same time having an excess of unskilled labour. The brain drain and the impact of HIV/Aids are threats to the current skills level in the labour force. Skilled workers generally create jobs for unskilled workers, and the level of skills in the labour force is an attraction for foreign investment. The new international migration policy imposes financial penalties and other restrictions on employers of foreigners with skills. The policy is detrimental to South Africa's competitiveness in the global economy and will deter investors and those needing to utilise skills not available in the South African labour market. A general immigration policy would be more appropriate to attract skilled foreigners to South Africa, where their skills can be absorbed into the labour force by supply and demand forces.

Suggested Citation

  • Albert Wocke & Saul Klein, 2002. "The implications of South Africa's skills migration policy for country competitiveness," Development Southern Africa, Taylor & Francis Journals, vol. 19(4), pages 441-454.
    • Handle: RePEc:taf:deveza:v:19:y:2002:i:4:p:441-454
    DOI: 10.1080/0376835022000019464
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    References listed on IDEAS

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    1. Mr. William Carrington & Ms. Enrica Detragiache, 1998. "How Big is the Brain Drain?," IMF Working Papers 1998/102, International Monetary Fund.
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