Global Financial Centers as Channels for International Labor Migrant Inflow into Cities of Europe

47
DOI: 10.20542/0131-2227-2021-65-10-122-132
Moscow State Institute of International Relations, The Ministry of Foreign Affairs of the Russian Federation (MGIMO University), 76, Vernadskogo Prosp., Moscow, 119454, Russian Federation.
Moscow State Institute of International Relations, The Ministry of Foreign Affairs of the Russian Federation (MGIMO University), 76, Vernadskogo Prosp., Moscow, 119454, Russian Federation.
E. Sergeev (sergeev-ea@yandex.ru),
Moscow State Institute of International Relations, The Ministry of Foreign Affairs of the Russian Federation (MGIMO University), 76, Vernadskogo Prosp., Moscow, 119454, Russian Federation

Received 09.11.2020.

Acknowledgements. The article has been supported by a grant of the Russian Science Foundation. Project no. 19-18-00251.


Abstract. Europe is the leading region of international immigration (after Asia). Most of immigrants to Europe are directed to its cities, particularly to global ones. One of the typical characteristics of global cities is the availability of global financial centers. In this paper, an attempt is made to investigate the role of global financial centers as channels of international labor migration to the cities of Western and Eastern Europe. The research is pursued on the basis of global cities’ concept, with special attention to the pulling effects of global financial centers. London, Dublin, Amsterdam, Frankfurt, Warsaw are taken as cities for research. The investigation is focused on such aspects of global financial centers as their impact on composition and dynamics of labor migration to the above mentioned cities, influence of this workforce on business and social life of the cities, adaptation problems of migrants in the cities of their accommodation. The authors come to a conclusion that Brexit will not radically diminish the pulling effect of London global financial center for qualified immigrants, though some international companies will continue moving from London to continental financial centers and partially to Dublin. Another conclusion is that cosmopolitan environment is important for qualified migrants to global financial centers including the extent of English, high level of living and culture conditions, freedom of movement. Some comparisons of those global financial centers with Moscow are made in the final part of the paper. On the authors’ opinion, the position of Moscow global financial center is dual from the point of international labor migration. On the one hand, economic and political aspects (low growth rates, Western sanctions, high volatility of ruble) as well as cultural aspects (insufficient extent of English) hamper its development. On the other hand, in the last years, Moscow has been lifting in the ranking of global financial centers without high immigration of foreign qualified labor, like Warsaw and Dublin.

Keywords: global financial centers, international labor migration, London, Dublin, Amsterdam, Frankfurt, Warsaw, Moscow


REFERENCES 

1. World Migration Report 2020. Geneva, International Organization for Migration. 477 p.

2. The Global Financial Centres Index 27 (GFCI). London, Long Finance and Financial Centres Futures, March 2020. 55 p.

3. Zaritskii B.E. Germany in Search of Answers to Migration Challenges. Rossiiskii ekonomicheskii zhurnal, 2019, no. 1, pp. 84-99. (In Russ.)

4. Kondrat’eva N.B., Potyomkina O.Yu., eds. Migration in Europe: Problems and Remedies. Moscow, RAS Institute of Europe, 2015. 144 p. (In Russ.)

5. Lebedeva M.M. Transformation of the Role of Cities and Domestic Regions in World Politics Oikumena. Regionovedcheskie issledovaniya, 2019, no. 1, pp. 7-16. (In Russ.)

6. Sluka N.A., Karyakin V.V., Kolyasev E.F. Global Cities as the Hubs of New Transnational Actors. Outlines of Global Transformations: Politics, Economics, Law, 2020, vol. 13, no. 13 (1), pp. 203-226. (In Russ.) Available at: https://doi.org/10.23932/2542-0240-2020-13-1-11

7. Draft Economic Evidence Base 2016. London, Greater London Authority, 2016. 402 . Available at: https://www.london.gov.uk/sites/default/files/draft-eeb-2016.pdf (accessed 25.11.2019).

8. Pethe H., Bontje M., Pelzer P. Driving Factors for Attracting Creative Knowledge Workers in the Amsterdam Metropolitan Area: the Views of High-Skilled Employees, Managers and Transnational Migrants. Amsterdam, University of Amsterdam, 2009. 56 p.

9. Cancedda A., Curtanelli M., Hoorens S., Viertelhauzen T., Hofman J. Socio-Economic Inclusion of Migrant EU workers in 4 Cities. Brussels, European Commission, 2015. 79 p.

10. Migration and Its Impact on Cities. Geneva, World Economic Forum, 2017. 170 p.

11. Buch T., Hamann S., Niebuhr A., Rossen A. What Makes Cities Attractive? The Determinants of Urban Labour Migration in Germany. Urban Studies, 2014, vol. 51, no. 9, pp. 1960-1978.

12. Friedmann J., Lehrer U.A. Urban Policy Responses to Foreign In-Migration: The Case of Frankfurt-am-Main. Journal of the American Planning Association, 1997, vol. 53, no. 1, pp. 61-78.

13. Berkhout E., Heyma A., Volkerink M., van der Werff S. Attracting and Relating Highly Skilled Migrants in the Netherlands. Amsterdam, SEO, 2015. 77 p.

14. Working Together for Local Integration of Migrants and Refugees. Paris, OECD Publishing, 2018. 190 p.

15. Lavery S., Schmid D. Frankfurt as a Financial Centre after Brexit. SPERI Global Political Economy Brief, 2018, no. 10. 12 p. Available at: https://speri.dept.shef.ac.uk/wp-content/uploads/2018/11/SPERI-Brief-10-Frankfurt.pdf (accessed 25.11.2019).

16. Fernandez-Reino M., Rienzo C. Migrants in the UK Labour Market: An Overview. The Migration Observatory at the University of Oxford. 11.01.2021. Available at: https://migrationobservatory.ox.ac.uk/wp-content/uploads/2019/07/COMPAS-Briefing-Migrants-in-the-UK-labour-market-an-overview.pdf (accessed 05.12.2019).

17. London and the UK. A Declaration of Interdependence. London, Greater London Authority, 2019. 45 p. Available at: https://www.london.gov.uk/sites/default/files/london_and_the_uk_2019_report_fa.pdf (accessed 05.12.2019).

18. London 2036. An Agenda for Jobs and Growth. London, London First, London Enterprise Panel, 2015. 93 p.

19. Facing Facts: The Impact of Migrants on London, Its Workforce and Its Economy. London, PWC, London First, March 2017. 106 p. Available at: https://www.pwc.co.uk/legal/pdf/facing-facts-the-impact-of-migrants-on-london-its-workforce-and-economy.pdf (accessed 06.12.2019).

20. International Immigration and Labour Market, UK: 2016. London, Office for National Statistics, 2017. Available at: https://www.ons.gov.uk/peoplepopulationandcommunity/populationandmigration/internationalmigration/articles/migrationandthelabourmarketuk/2016 (accessed 06.12.2019).

21. OECD.Stat. Employment for Activity and Status. Available at: https://stats.oecd.org/Index.aspx?DataSetCode=ALFS_EMP (accessed 26.06.2021).

22. Global Investment: Driving UK Jobs and Growth in Financial Sector. Full report. London, City of London, FDI Intelligence, 2019. 35 p. Available at: https://www.cityoflondon.gov.uk/assets/Business/global-investment-driving-uk-jobs-and-growth-full-report.pdf (accessed 01.12.2019).

23. The Global Financial Centres Index 26 (GFCI). London, Long Finance and Financial Centres Futures, September 2019. 58 p.

24. World’s Most Expensive Cities. Global Property Guide. Available at: https://www.globalpropertyguide.com/most-expensive-cities#most-expensive-cities (accessed 03.12.2019).

25. Calo S., Herzberg. The Future of Global Financial Centres after Brexit: an EU. Central Bank of Ireland. Financial Stability Note, 2019, no. 9. 13 .

26. Dublin Slips to the 31st in the Global Financial Centre Rankings. The Irish Times, 26 March, 2019. Available at: https://www.irishtimes.com/business/financial-services/dublin-slips-to-31st-in-global-financial-centre-rankings-1.3440541 (accessed 04.12.2019).

27. IFSC International Financial Services Centre. Available at: https://www.ifsc.ie/page.aspx?idpage=6 (accessed 06.12.2019).

28. Szlovak P., Power J. Migrants at the Irish Economy. Dublin, The Integration Centre, October 2012. 53 p. Available at: https://www.atlanticphilanthropies.org/wp-content/uploads/2015/09/report-migrants-irish-economy.pdf (accessed 29.11.2019).

29. Key Figures Amsterdam 2019: Research, Information and Statistics. Amsterdam, Gemeente Amsterdam, 2019. 37 p. (In Nid.)

30. Entzinger H. A Tale of Two Cities: Rotterdam, Amsterdam and Their Immigrants. Scholten P., Crul M., van der Laar P., eds. Coming to Terms with Superdiversity. Cham, Springer, 2019, pp. 173-189.

31. Amsterdam in Figures 2018: Research, Information and Statistics. Amsterdam, Gemeente Amsterdam, 2018. 508 p. (In Nid.)

32. Society and the Financial Sector. The Hague, the Scientific Council for Government Policy. Den Haag, De Wetenschappelijke Raad voor het Regeringsbeleid, 2016. 165 p. (In Nid.)

33. de Haan W. The Importance of the Financial Sector and Government Involvement with This. ESB Jaargang, 2015, no. 100 (4713 & 4714), pp. 393-396. (In Nid.)

34. Migratory Pathways for Start-Ups and Innovative Entrepreneurs in the EU. Brussels, European Migration Network, 2019. 6 p.

35. Beurs C., Klaver J., Witkamp B. Attractiveness of the Netherlands for Knowledge Migrants. Amsterdam, Wetenschappelijk Onderzoek- en Documentatiecentrum, 2018. 66 p. (In Nid.)

36. Almost 60 Percent of Labor Migrants Away within Six Years (In Nid.) Available at: https://www.cbs.nl/nl-nl/nieuws/2019/14/bijna-60-procent-arbeidsmigranten-binnen-zes-jaar-weg (accessed 01.12.2019).

37. Tax Paradises (In Nid.) Available at: https://www.vpro.nl/programmas/tegenlicht/lees/bijlagen/2012-2013/tax-free-tour/Belastingparadijzen.html (accessed 01.12.2019).

38. Berkhout E., Heyma A., Volkerink M., van der Werff S. Attracting and Relating Highly Skilled Migrants in the Netherlands. Amsterdam, SEO, 2015. 77 p.

39. Berkhout E., Smit T., Volkerink M. What Moves of Knowledge Migrants? An Analysis of the Competitiveness of NL when Attracting Knowledge Migrants. Amsterdam, SEO, 2010. 162 p. (In Nid.)

40. Frankfurter Integrations- und Diversitätsmonitoring. Frankfurt am Main, Amts fur Multikulturelle Angelegenheiten, 2017. 205 p.

41. Statistisches Jahrbuch Frankfurt am Main 2018. Frankfurt am Main, Der Magistrat, Bürgeramt, Statistik und Wahlen, 2018. 300 p.

42. Lucken-Kla.en D., Pohl F. Unternehmentum von Personen mit Migrationshintergrund in Frankfurt am Main. Bamberg, Europaishes Forum fur Migrationstudien, 2010. 47 p.

43. Hessens Ambitionen fur kunstliche Intelligenz. Ein Beitrag zur Nazionalen KI-Strategie am Beispiel des Finanzsectors. Hessen, Accenture, 2018. 33 p. Available at: https://wirtschaft.hessen.de/sites/default/files/media/hmwvl/20180925_ki_studie_hessen_report_final_im_auftrag_von_0.pdf (accessed 15.11.2019).

44. WSE Statistic Bulletin 2018. Warsaw Stock Exchange. Available at: www.gpw.pl/pub/GPW/statystyki/statystyki_roczne/2018_GPW.pdf (accessed 15.11.2019).

45. CEE Bourses Partner on Launch of Regional Share Index 2019. Budapest Business Journal, 4 September, 2019. Available at: https://bbj.hu/economy/statistics/analysis/cee-bourses-partner-on-launch-of-regional-share-index (accessed 15.11.2019).

46. 10 Years of Poland in the Union. Report. Warszaw, Foreign Affairs Ministry Polish Republic, 2014. 33 p. (In Pol.) Available at: https://docplayer.pl/13123-Polskie-10-lat-w-unii-raport.html (accessed 07.12.2019).

47. Szaflarski M. More and More Foreigners in Warsaw. We Have the Latest Data. Gazeta Wyborcza, 20.03.2019. (In Pol.) Available at: https://warszawa.wyborcza.pl/warszawa/7,54420,24566752,skad-przyjezdzaja-cudzoziemcy-do-warszawymamy-najnowsze-dane.html (accessed 07.12.2019).

48. Ukrainians Buy More Apartments in Poland than Germans. Most in Warsaw and Krakow. Gazeta Krakowska, 22.07.2019. (In Pol.) Available at: https://gazetakrakowska.pl/ukraincy-kupuja-w-polsce-wiecej-mieszkan-niz-niemcy-najwiecej-wwarszawie-i-krakowie/ar/c9-14294439 (accessed 12.12.2019).

49. Most Ukrainians and Chinese (In Pol.) Available at: https://warszawa.naszemiasto.pl/imigranci-w-warszawie-kim-sa-i-skad-pochodza-raport/ga/c1-4180866/zd/26481810 (accessed 07.12.2019).


Registered in System SCIENCE INDEX

For citation:
Bulatov A., Habarta A., Sergeev E. Global Financial Centers as Channels for International Labor Migrant Inflow into Cities of Europe. World Eonomy and International Relations, 2021, vol. 65, No 10, pp. 122-132. https://doi.org/10.20542/0131-2227-2021-65-10-122-132



Comments (0)

No comments

Add comment







Indexed

 

 

 

 

Current Issue
2023, vol. 67, No. 1
Topical Themes of the Issue:
  • Carbon Border Adjustment Mechanism of the European Union: a New Tool of Global Governance
  • Russia in American Climate Strategies
  • Latin America and NATO: Correlation Formats in the XX – the First Quarter of the XXI Century
  • Russia’s Chance to Renew Global Modernity
Submit an Article
INVITATION FOR PUBLICATION
The Editorial Board invites authors to write analytical articles on the following topics:
  • changes in the processes of globalization in modern conditions
  • formation of the new world order
  • shifts in civilization at the stage of transition to a digital society

The editors are also interested in publishing synthesis articles / scientific reviews revealing the main trends in the development of certain regions of the world - Latin America, Africa, South Asia, etc.