Irregular employment of foreigners in Hungary

1. Irregular employment of foreigners in Hungary Judit Juhász Panta Rhei Social Research Bt. Budapest Tel./fax: +(36-1) 200-1942 E-mail: juhasz@hungarnet.hu

2. Debates related to migration In the last two decades the socio-economic and political importance of international migration (including illegal forms) increased, thus the importance of the research. Focal points of debates: • Evaluation of economic, social and political significance • Legal/illegal forms • Regulation • Possibilities of measurement, use of quantitative (hard) and/or soft qualitative methods

3. Employment of foreigners • I. Methodological challenge (Definitions, measurement) • II. Legal background, regular/irregular • III. Foreigners in the Hungarian labour market (situation description and analysis) Key questions and some results

4. I.Methodological challenge Need for measurement meeting rigorous scientific standards Nature and complexity of the topic and the illegality itself makes impossible exact measurement Debate: • Possibility (if any)and means of measurement • Qualitative / quantitative approaches • Need for methodological diversity Contradiction: political, administrative requirements – research possibilities

5. Problems of definition, terminology Diversity of definitions different estimates Lack of elaborated methodology conceptual uncertainity

6. Illegal/irregular migrantworker • Legal category • Economic determination • socio-demographicinterpretation Same activity might be qualified/classified differently

7. Basic Considerations • Methodological diversity gives better chance to differentiated description of illegal migration, to understand the root causes and processes • Infiltration of direct political intentions and prejudices to research hypothesis, methods and conclusions must be avoided

8. Methods • Collection, systematisation and analysis of existing information (research results, statistical and administrative data, of press and document analysis) Data sources I. Registers • Illegal border crossings • Other illegal acts connected to migration (crimes, criminal offences) • Data on labour control II. Empirical research • Observation • In depth interviews, conversation with key informants • Interviews with migrants, case studies • Content analysis • Document analysis, videos, photos • Cartographic methods • Standard questionnaires

9. II. Legal rules • Work permit • EU citizens • Occasional agricultural employment • Labour control

10. Work permit • Request by the employer • Labour requirement report • Is there domestic (EU) labour force? (30 days) • Obtaining other documents (proof of qualification, visa, residence permit, occupational medical certificate) • Validity • For given employer, occupation and place • Maximum 1 year

11. Workers from the EU • Free movement of workers (only registration is needed) • From EU 15: • United Kingdom • Sweden • Ireland • Spain • Portugal • Finland • New EU members • Reciprocity

12. Occasional labour • Since August 2005. special simplified rules (only for agricultural seasonal work, for a maximum of 60 days/year) • But • seasonal visa is required (maximum for 72 days/year, 30 EUR) • Travel (visa at home, occasional labour booklet in Hungary) Still too complicated!!! Farmers’ recommendation: all administration locally

13. Labour control • Fine for employer>=8 * minimal wage • Jan-Apr 2006.: 11 139 irregular worker, of which foreigners: 388 without work permit 1 164 other irregularity • Labour control • Targeted control • Sectors(for example: construction, agriculture) • Thematic (for example: without registration/permit) • Notification/denunciation (neighbours, competitors)

14. II. Foreigners in the Hungarian labour marketSituation –description and analysis Questions: • How many, who (where from,personal characteristics) • Work (activity, qualification, recruitment, working conditions, wages, employers) • Why? Advantages/disadvantages: • of employing foreigners • of working abroad (in Hungary) • From the perspectives of other actors

15. Types of foreigners working in Hungary By occupational qualification: • Blue/white collar worker (unqualified/qualified) • Professionals/intellectuals By length of employment: Permanent employee – occasional, seasonal worker By legal status: Regular – irregular By sending countries, nationalities By personal, demographic characteristics

16. Foreigners in the Hungarian labour marketSignificance and effects • Do they take away jobs from Hungarians? • Effect on wages • Filling in labour shortages (certain jobs, qualifications)

17. Advantages and disadvantages Advantages and disadvantages • Motivation • Wages • Culture • Mobility • Possible conflicts (locals – foreigners) • Difficulties in communication • Lack of local knowledge • Uncertainty on the long run

18. I. Data from registers Immigration (1990-2005) Source: Office for Immigration and Nationality

19. Applications for permanent residence permits by citizenship, 1996–2005 Source: Office for Immigration and Nationality

20. Economically active foreigners Source: HCSO, National Employment Office, Office for Immigration and Nationality

21. Labour migration (permit holders) Source: National Employment Office

22. Employment by sectors Source: HCSO, National Employment Office

23. Employment by sectors 2002,2005

24. Illegal border crossings by directions 1990-2004 Source: Border Guards

25. II. Some results of empirical researches and lessons learnt In-depth interviews MIGIWE (2006) experts (35) migrants (35) Standard interviewsIrregular labour (ILO, 1998-99)

26. Reasons of migration

27. 1. Income compared to Hungarians --- MALE --- --- FEMALE --- ALTOGETHER

28. 2. Do you think there is any discrimination against foreigners:

29. 3. Does your present work match your qualification?(answers according to highest degree of education)

30. Plans

31. Visual documents Labour control

32. Accommodation of Romanian irregular workers at the edge of Budapest

33. The accommodation inside „They are rather grateful for it ”

34. International cooperation should be strenghtened to • exploit the gained experiences and the advantages of common thinking • develop the theory and praxis of migration research • establish international standards