Immigration and Workforce Mobility: Key Insights From Fragomen’s 2024 Report

WERC Staff - Jul 08 2024
Published in: Global Workforce
| Updated Jul 08 2024
Fragomen's annual Worldwide Immigration Trends Report explores how evolving political, economic, and cultural factors are reshaping global immigration policies.

This article is part of a recurring series highlighting recent talent mobility industry reports. If you would like the WERC editorial team to consider covering a specific industry report, email mobility@worldwideerc.org.

Fragomen’s Worldwide Immigration Trends Report is out, tracking the changes surrounding key drivers and themes of immigration policy. The report analyzes several evolving political, economic, and cultural factors and provides insights surrounding the immigration policy landscape. This includes short- and long-term implications for the talent mobility of employees and their employers. There’s plenty to report this year.

The global economy is still recovering from the massive impacts of the pandemic. Inflation is still high, though some regions have managed to control it better than others. Geopolitical risks continue to lurk, as well. Every region is impacted. 

In Europe, there’s Russia’s continued aggression against Ukraine, and the Middle East war between Israel and Hamas threatens to escalate to other countries. Alliances are being strained, and, more quantifiably, shipping is being disrupted by this war. The rivalry between the United States and China is expanding as well, encompassing both sides’ allies. This remains top of mind for businesses and foreign workers in the immigration space.

Despite these challenges, business travel is up and related spending is expected to grow to nearly $1.8 trillion by 2027. Travel under employment-based work permits is also rising. The number of work permits issued increased by 77% between 2021 and 2022 in all Organisation for Economic Co-operation and Development (OECD) countries, with levels doubling (or more) in Australia, Canada, and Japan. Intracompany transferee permit grant levels, meanwhile, doubled from 2021 to 2022.

Political and Electoral Impacts on Immigration

Major elections just took place in India, the European Union, South Africa, and Mexico. In all, more than 70 elections will take place this year in countries that are home to around 4.2 billion people. For the first time, more than half of the global population will be voting in a single year. 

Immigration policy changes generally increase following elections. As such, Fragomen analysts expect a busy immigration policy change schedule, “with some governments progressively relaxing rules and regulations to improve economic conditions in times of labor and skills shortages, and other countries restricting laws to align with promises to protect local labor,” the report states. More practically, immigration officials may run for office or support campaigns, causing staffing shortages and delays that can continue past the election as posts turn over.

Global Competition for Talent

Despite ongoing acute labor and skills shortages in the United States and other regions, employers are no longer offering steep pay raises and flexibility benefits as freely to draw talent, as compared to the period immediately following the pandemic. These conditions may not be present in other countries, which are experiencing different economic and employment level struggles. Overall, however, employers now have more decision-making power in terms of talent acquisition decisions.

Different regions are reacting with different measures to gain and maintain top talent. The report focuses on talent retention through post-graduate stay programs in different regions, on upcoming immigration developments in Europe, and on the countries eliminating barriers to dual nationality. The report also provides regional updates on immigration policies.

Digital Transformation

Digital transformation continues, with the process of applying for documents like work permits and visas being further simplified through mobility, interoperability, and other advancements. Many online systems were developed in the past few months, varying in sophistication and intention. 

Also discussed are artificial intelligence and blockchain, the use of data to create and accelerate specific pathways to fill skills and labor gaps, and the decentralization of digital identity systems.

With AI being the most constructive and disruptive tech advancement of the last two years, the report focuses on how it applies to global mobility and immigration. “Undoubtedly, there are many benefits to AI adoption across immigration processes, from application processing to entry clearance, to in-country renewal processes,” the report states. “Though inherent risks also exist, the immigration space could potentially gain key benefits from AI advancements.”

Business Travel and Government Policy 

Fragomen also explores emerging trends in business travel, including the industry’s impact on climate change and responsibilities to mitigate its harmful effects, providing some suggestions:

  • Develop a carbon management strategy, such as a finite, annual carbon budget that work teams must comply with.
  • Limit air travel to important engagements only and consolidate multiple activities around a single trip. Choose train travel for less urgent matters when it’s an option.
  • Incorporate sustainable accommodation options into business travel considerations.
  • Allow remote work, and prioritize virtual meetings

Another trend highlighted is governments more closely aligning policy with business interests. “Business strategy, in terms of recruiting, hiring, and talent acquisition practices has long been influencing government policy,” the report notes. “This is especially notable with the growing practice of governments’ acceptance of flexible and alternative job requirements (such as certifications or other proof of skills and experience) to meet immigration application criteria (especially for skilled workers) over traditional educational qualifications.”

Digital Nomad Visas

As of May 2024, approximately 46 countries throughout the world have launched digital nomad visas, with Caribbean and European nations particularly prominent. Despite the significant growth in such programs, figures for their actual annual uptake show low utilization. For example, in Estonia—the first country to launch a specific digital nomad visa category—242 applications were filed in 2022 with 49 refusals; in 2023, 198 applications were filed with 59 refusals.

“It remains the case that many digital nomads still risk immigration noncompliance by working remotely under a tourist visa,” Fragomen analysts write. “This can expose the employee and/or employer to fines and other administrative penalties or, in some cases, a bar to future entry.”

The Bottom Line 

Fragomen offers insightful statistics and trends about immigration, workforce mobility, and business travel. While the search for talent remains key for many countries and regions, barriers still exist that hamper ease of movement across borders. Technology is mitigating some of these barriers, but other impediments, such as restrictive policies and political conservatism, threaten further advancements.

For talent mobility professionals, staying on top of and ahead of these trends remains crucial. By understanding and adapting to these emerging patterns, talent acquisition and retention efforts will remain strong, ensuring organizations stay competitive and compliant in an increasingly dynamic landscape.

Access Fragomen’s Worldwide Immigration Trends Report to continue learning about these trends and insights.