MigrantMigrantss and free and free movement in Hungarymovement in Hungary

J.TóthJ.Tóth

University of SzegedUniversity of Szeged - HAS - HAS

September 2006September 2006

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1 Mobility 1 Mobility

According to Dublin Foundation’s fresh According to Dublin Foundation’s fresh survey on migration (14 June 2006) survey on migration (14 June 2006)

32 % of American citizens live in other 32 % of American citizens live in other state in which s/he was bornstate in which s/he was born

21% of European nationals have ever 21% of European nationals have ever lived in another state or region but its rate lived in another state or region but its rate is sharply differing from countries to is sharply differing from countries to countries and regionscountries and regions

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Mobility rateMobility rate

The average of 21% is sharedThe average of 21% is sharedE.g.40% of working age population in E.g.40% of working age population in

Scandinavian countries has ever lived in Scandinavian countries has ever lived in another country or regionanother country or region

30% in Ireland and UK30% in Ireland and UK15% in Mediterranien Member States 15% in Mediterranien Member States 10% in 10% in new CEE Member Statesnew CEE Member States

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Migration potential Migration potential (Dublin Foundation)(Dublin Foundation)

4.7% of population 4.7% of population intends to migrate in intends to migrate in next 5 years: next 5 years: Denmark, Sweden, Denmark, Sweden, Finnland and IrelandFinnland and Ireland

2.6% in other old 2.6% in other old Member States in Member States in averageaverage

1-2% of population 1-2% of population intends to migrate in intends to migrate in next 5 years: Czech next 5 years: Czech Republic, Republic, HungaryHungary, , Slovakia and SloveniaSlovakia and Slovenia

7-9% in Poland, 7-9% in Poland, Lithuania, Estonia Lithuania, Estonia and Latviaand Latvia

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HungaryHungary

Migration rate and potential has been low Migration rate and potential has been low and no significant changes in acceding and no significant changes in acceding process and after enlargementprocess and after enlargement

Regional differences in rate and potential Regional differences in rate and potential existexist

Labour Labour (motivated) (motivated) migration to Hungary migration to Hungary has come from adjacent states in great has come from adjacent states in great extent (third country nationals)extent (third country nationals)

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2 2 CategoriesCategories by lawby law

1.1. National provisions on migrant labourers shall National provisions on migrant labourers shall be implemented in general (non-liberal MS, be implemented in general (non-liberal MS, third country nationals)third country nationals)

2.2. Economic test on needs is not necessary in Economic test on needs is not necessary in labour authorisation labour authorisation

3.3. Labour permit is not necessary (nationals from Labour permit is not necessary (nationals from liberalized MSliberalized MS, , preferences for third country preferences for third country nationalsnationals))

4.4. Green card holders (under the 12 month rule)Green card holders (under the 12 month rule)

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CategoriesCategories

5. 5. Registration of employed migrants is requiredRegistration of employed migrants is required6. Service providers6. Service providers7. Family members7. Family members8. Visa holders (e.g. student, researcher, entrepreneur)8. Visa holders (e.g. student, researcher, entrepreneur)9. Protection seekers, refugees9. Protection seekers, refugees

On the base of On the base of Accession Treaty (Annex X) and EEA TreatyAccession Treaty (Annex X) and EEA Treaty Bilateral agreementsBilateral agreements Reciprocity lawReciprocity law National regulation on labour authorisation (Act, Ministerial Decree, National regulation on labour authorisation (Act, Ministerial Decree,

preferencial laws on refugees, long-term migrants, students)preferencial laws on refugees, long-term migrants, students) Act on Aliens and its executive rulesAct on Aliens and its executive rules Asylum lawAsylum law

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3 Statistics (2005)3 Statistics (2005)

Issues labour permits Issues labour permits From them are EEA From them are EEA

nationalsnationals Registered EU Registered EU

nationals nationals Green card holdersGreen card holders Family membersFamily members Seasonal workersSeasonal workers Students ( over 18)Students ( over 18) Refugees Refugees

46 329 (46 329 (Romania,Romania,

Ukraine, Serbia-M.)Ukraine, Serbia-M.) 20422042 15 000 – 18 00015 000 – 18 000

331 – 509331 – 509 100100 25002500 13 60013 600 100100

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Statistics (2005)Statistics (2005)

Locality of foreign labourersLocality of foreign labourers44% in Budapest44% in Budapest18.4% in the agglomeration of the 18.4% in the agglomeration of the

capitalcapital18.2% in the North (towards Slovakia) 18.2% in the North (towards Slovakia) 4.6% in the West (towards Austria)4.6% in the West (towards Austria)4.8% in other parts of the country4.8% in other parts of the country

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StatisticsStatistics (2005) (2005)

QualificationQualificationRegistered EU citizens (Slovaks, Polish)Registered EU citizens (Slovaks, Polish) 17.6% unskilled 17.6% unskilled 4% graduated 4% graduated 1.7% graduated self-employment1.7% graduated self-employmentEU citizens as labour permit holdersEU citizens as labour permit holders 2% unskilled2% unskilled 20% graduated 20% graduated 23% graduated self-employment23% graduated self-employment

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Statistics Statistics (2005)(2005)

Issued residence Issued residence permits for EEA permits for EEA citizenscitizens

Issued visa for stayIssued visa for stay Issued residence Issued residence

permit for third permit for third country nationalscountry nationals

Issued settlement Issued settlement permits permits

naturalisationnaturalisation

13 05813 058

30 71130 711 46 66646 666

5 0005 000

10 50010 500

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4.1. 4.1. Third country nationalsThird country nationals They form the majority of migrants (90-95%)They form the majority of migrants (90-95%) They face They face

Entry screening (visa, ban, refusal: e.g. visa refusal rate is 2-38%, Entry screening (visa, ban, refusal: e.g. visa refusal rate is 2-38%, requirement for material cover is 1000 HUF/person/entry (4 €)requirement for material cover is 1000 HUF/person/entry (4 €)

Residence screening (permit based on visa, health checking, Residence screening (permit based on visa, health checking, registered address – long term residents’ directive is not registered address – long term residents’ directive is not transposed)transposed)

Expulsion Expulsion Labour authorisation (a) economic need test (b) exclusion from Labour authorisation (a) economic need test (b) exclusion from

certain employment (c) yearly prolongation of permit (d) there is certain employment (c) yearly prolongation of permit (d) there is no dialogue with social partners, chambersno dialogue with social partners, chambers

No accession to unemployment allowancesNo accession to unemployment allowances EqualityEquality

In labour law In labour law In social insurance In social insurance In taxation (e.g. contribution to unemployment fund)In taxation (e.g. contribution to unemployment fund) In public educationIn public education

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4.2.Visa 4.2.Visa

Concerning the direct impact of the visa Concerning the direct impact of the visa introduction on the traveling habits of the introduction on the traveling habits of the UkrainiansUkrainians: : the statistics the statistics may provemay prove the number the number of the of the Ukrainian citizens traveling to HungaryUkrainian citizens traveling to Hungary significantly decreased between 2002 and 2005, significantly decreased between 2002 and 2005, however it cannot be proven that the introduction however it cannot be proven that the introduction of the obligatory short-term visa is the ultimate of the obligatory short-term visa is the ultimate reason for the declinereason for the decline while while after 2004 theafter 2004 theirir number started to increase. number started to increase.

2002: 2600 2002: 2600 2004: 23002004: 23002003: 2500 2003: 2500 2005: 24002005: 2400

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VisaVisa

In case of the In case of the visitors from Serbia-Montenegrovisitors from Serbia-Montenegro it it can be seen from the statistics that after a slight can be seen from the statistics that after a slight decrease between 2002 and 2004, the number decrease between 2002 and 2004, the number of travelers started to decrease in 2005.of travelers started to decrease in 2005.

Number of Serbia-Montenegrins Enetering

Hungary 2002-2005 (in thousand per year)

0

500

1 000

1 500

2 000

2 500

3 000

3 500

2002 2003 2004 2005

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Visa in practiceVisa in practiceThe field-research carried out in the summer of 2006 in Vojvodina and The field-research carried out in the summer of 2006 in Vojvodina and

Trans-Carpathia (Ukraine) shows:Trans-Carpathia (Ukraine) shows:- the obligatory short-term visa is a kind of inconvenience for the the obligatory short-term visa is a kind of inconvenience for the

applicants, who got used to it during the last 2,5 years. It is clearly applicants, who got used to it during the last 2,5 years. It is clearly stated by the consulates that visas are issued according to fairly stated by the consulates that visas are issued according to fairly liberal criteria, and they work as some sort of preparation for the liberal criteria, and they work as some sort of preparation for the Schengen regime. Schengen regime.

- the visa-issuing system of the consulates seems to work properly the visa-issuing system of the consulates seems to work properly and is widely accepted by the applicants. and is widely accepted by the applicants.

- It is obvious for all of the actors that people living in the area near It is obvious for all of the actors that people living in the area near the border, mainly travel because of economical reasons (including the border, mainly travel because of economical reasons (including smuggling of cigarette), the cultural ties play a significantly weaker smuggling of cigarette), the cultural ties play a significantly weaker role. role.

- The institutions, as the Border Guards and the consulates are under The institutions, as the Border Guards and the consulates are under preparation for the Schengen accession, preparation for the Schengen accession,

- Local population has no practically information on the changes in Local population has no practically information on the changes in future, the dominant feeling in connection with Schengen among the future, the dominant feeling in connection with Schengen among the people is fear and doubtfulness. The lack of information on the people is fear and doubtfulness. The lack of information on the Schengen system might cause enormous problems, which can only Schengen system might cause enormous problems, which can only be prevented if effective information campaign is started right awaybe prevented if effective information campaign is started right away..

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5 EU nationals5 EU nationals Directive on EU citizens’ and family members’ Directive on EU citizens’ and family members’

movement (2004) is not transposed into national movement (2004) is not transposed into national regulation (Alien Act & executive decrees shall be regulation (Alien Act & executive decrees shall be fundamentally changed or a separate Act must be fundamentally changed or a separate Act must be prepared)prepared)

No specific regulation on No specific regulation on integration (b) family membersintegration (b) family members HIV as public health risk is targeted HIV as public health risk is targeted workers performing service contract workers performing service contract Turkish employees Turkish employees students (social benefit)students (social benefit)

Non-discrimination rules (Directives 2000/43/EC, Non-discrimination rules (Directives 2000/43/EC, 2000/78/EC) are not properly transposed 2000/78/EC) are not properly transposed

Exclusion from public sector (jobs in the formal Exclusion from public sector (jobs in the formal sphere of public power means discrimination on the sphere of public power means discrimination on the base of nationality in ~10 positions) base of nationality in ~10 positions)

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EU nationalsEU nationals Language requirement (civil servants, certain Language requirement (civil servants, certain

occupations) undefined occupations) undefined Athletes’ movement is blocked by not Athletes’ movement is blocked by not

harmonised, internal racing rules adopted by harmonised, internal racing rules adopted by national sport associations (league, national sport associations (league, federation)federation)

No impacts of ECJ on legal practice but No impacts of ECJ on legal practice but rather on codification (although directive on rather on codification (although directive on working time – law suit at court)working time – law suit at court)

Preference in naturalisation and tolerated Preference in naturalisation and tolerated multiple citizenshipmultiple citizenship

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6 EU approach v. Hungarian 6 EU approach v. Hungarian approachapproach

Added values to labour Added values to labour migration (intervention at the migration (intervention at the EU level is of utmost EU level is of utmost importance):importance):

Democraphic decline Democraphic decline (pension scheme, labour (pension scheme, labour shortage)shortage)

Reduction of irregular Reduction of irregular entry&stay&workentry&stay&work

Tackling the shadow Tackling the shadow economy and undeclared economy and undeclared work (7-16% of the EU’s GDP)work (7-16% of the EU’s GDP)

Equal and fair treatment of Equal and fair treatment of migrant workers, stable migrant workers, stable statusstatus

Green Book on accession for Green Book on accession for employment employment

Liberalised labour market as Liberalised labour market as much as possible during the much as possible during the transition period after transition period after accession (free employment accession (free employment for outfor out--migrants)migrants)

Keeping up the illiberal Keeping up the illiberal labour market system in labour market system in Hungary during in eastward Hungary during in eastward enlargement, too enlargement, too

Kin-state and kin-minority Kin-state and kin-minority relations even in eastward relations even in eastward accessionaccession

Preparatory to the Schengen Preparatory to the Schengen acquisacquis

Stopping the brain drainStopping the brain drain