Irregular Migrant Work in Austria A Delphi Study Approach

1. Irregular Migrant Work in AustriaA Delphi Study Approach Presentation at the conference „International Migration and Illegal/Irregular Working Activities of Migrants in the Czech Republic and Central Europe“, Prague, 10.10.2005 Christina Hollomey, Michael Jandl, Veronika Bilger, Sandra Gendera and Anna Stepien MIGIWE Austria Team

2. Outline • The MIGIWE project & definitions • The Delphi method- description • Results - General points • Results - Specific sectors • Results - Policy Conclusions • Q & A

3. MIGIWE – Migration and Irregular Work in Europe Research project carried out by ICMPD, Vienna • Financed by Austrian Science Foundation FWF • Duration: Feb. 2005 – Feb. 2007 • Collaboration with CZ and H • Literature research • Expert interviews • Delphi survey • Migrant interviews

4. IMW comprises all paid work of foreigners (non- nationals), that conflicts with one of the existing national laws and regulations, that regulate access to the labour market, duties for employers (and employees), working conditions, and workers’ rights. 1.1. Definition of IMW

5. 1.2. Many Forms of Irregularity • „Illegal“ work (against foreign employment and residence laws) • Non- registration at social insurance institutions • Non- registration at tax institutions • Insufficient registration of employment contract • “Pseudo- self-employed“ • “Pseudo- companies“ • … • … • … • …

6. 2. The Delphi Method • … is a multi-stage qualitative survey method that enables an anonymous communication process, allowing feedback, within a group of experts to assess ... - ... Complex social and economic phenomena • … Future developments • … Policy measures

7. 2.1. Delphi Implementation: Multi-stage 2 ½ Delphi rounds: expert interviews, Delphi 1 & 2 • Experts from various fields and 3 regions • 1st Questionnaires by e-mail • Feedback (anonymous) - 2nd Questionnaires by e-mail

8. Institutional Background of Experts Delphi I Delphi II Governmental 12 8 Non-Governmental 8 5 The results reflect the kind of experts chosen! Social Partnership Interest Groups 7 3 Research (Migration/Labour Market) 10 6 TOTAL 37 22 Total Questionnaires sent out 60 37 2.2. Delphi Implementation Panel of Experts

9. 3.1. Factors that influence IMW

10. 3.2. Evaluation of Motives for Employers to engage IMWs • Saving social security and tax contributions • Lower wage rates • … • … • … • NOT: administrative obstacles for regular hiring

11. 3.3. Access to IWM • Most important Social networks (families, friends, previous employment contacts, ethnic communities) • Important in some sectors Professional agencies (labour brokers, membership associations, sub-contractors) • Less important Individual strategies (street labour markets, door-to-door search, newspaper ads)

12. 3.4. Quantitative Estimations • Continuous increases since 1990 seen, more since 2004 • Highest share of IWM seen in construction, tourism/catering and agriculture; high estimations for private households (care/cleaning)

13. 3.5. Future Scenarios • IMW will continue to grow End of transitional arrangements with EU-8 New round of enlargements (Rum,Blg,..) • Stronger segmentation of labour market -according to qualifications - according to ethnic background • Substitution effects EU-8 workers will shift to the regular labour market New EU nationals (Rum, Blg.,..) will replace them as irregular workers

14. 4. Sector-specific characteristics of IMW • Construction • Domestic Services- Care and Cleaning • Agriculture • Tourism/ Catering • Industry

15. 4.1. The Construction Sector 4.1.1. Quantitative Estimates

16. 4.1.2. Motives of employers • Competition • Sub companies • Saving of costs • Social insurance contributions • Violation of worker’s rights

17. 4.1.3. Forms of irregularity • Pseudo-self-employment • Pseudo-companies • Working without residence or working permit • Non-registration at social insurance institutions • Violation of employment rights • Violation of trade regulations

18. 4.1.4. Social characteristics  Highly diversified occupational profile

19. 4.1.5. Political Framework • Narrowing legal regulations • „Sozialbetrugsgesetz“- Laws against organised social contributions fraud  Criminalization of pseudo-companies

20. 4.2. The Domestic Sector – Care Work 4.2.1. Quantitative Estimates

21. 4.2.2. Motives of employers • Saving of costs • Non- availability of affordable regular care services • Lack of legal possibilities

22. 4.2.3. Forms of Irregularity • Non- Registration • Working without working (and/or residence) permit • Non- registration at social insurance institutions • Non- Registration at tax institutions • Organisation in agencies

23. 4.2.4. Social Characteristics  High level of qualification and occupation

24. 4.2.5. Political Framework • Right on privacy protection • Debate on „Pflegenotstand“ (Lack of affordable care services) • Temporary order for non-sanctioning • Debate on regularization

25. 5. Policy Conclusions • Feasibility • Desirability

26. 5.1. Feasible AND Desirable

27. 5.1. Feasible AND Desirable

28. 5.2. Not Feasible AND Not Desirable

29. 5.3. Feasible vs. Desirable

30. Questions Thank you for your attention! Christina Hollomey, Michael Jandl, Veronika Bilger, Sandra Gendera and Anna Stepien MIGIWE Austria Team