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Overview of the Movement of Latin American Talent
Origin Destination
2
Overview of the Movement of Latin American Talent
Movement of LATAM Talent
3
MovementTransfer that does not require change of occupation and in some cases, does not require change of residence
Promotes competitivenessExchanging Know HowFosters innovationInter-cultural experiencesOperational interdependency
Migration Transfer with an intention to stay in the place of destination. Motivated by economic and work-related reasons.
Not associated to an organization sheltering or promoting the transfer.
Movement cannot be understood only as Migration:
Introduction
4
1. Structural Trends at a Global Level
How is the movement of talent evolving worldwide?
Movement of LATAM Talent
5
The structural causes leading to the movement of persons are in motion, and there is no turning back.
This is one more stage of global economic integration.
Global Demographic Structure
Differences in Income and
Standard of Living
Technology Revolution
Global Movement of Talents
Countries with limited young talent vs. countries with abundance
The need to attract talent and the ability to meet that need
Transform into needs or aspirations which groups in movement are trying to meet
Reduces costs and time
of communications and transportation
A wide sector of the population is now able to interact or move effectively and quickly
1. Structural Trends at a Global Level
Movement of LATAM Talent
6
This phenomenon can be explained through:Demographic bonus
Medium-development economies, in the process of opening up and modernizing
A source of talent in economic sectors (as technical staff)
Changes in Population Pyramids in LATAM (2005 – 2025)
50 40 30 20 10 0 10 20 30 40 50
2025
Total Population: 690 million
Average Age: 35 years
47% of the populationunder 30 years old
50 40 30 20 10 0 10 20 30 40 50
Total Population: 551 million
Average Age: 29 years
57% of population under 30 years old
2005Women
Men
Source: Manpower, El Futuro del Trabajo en América Latina, 2006.
LATAM emerges as a large pool of talent worldwide.
1. Structural Trends at a Global Level
7
2. The Global Labor Market
How is our global labor market changing as a result of globalization?
Movement of LATAM Talent
8
Source: Manpower, La Movilidad del Talento de América Latina, 2007.
Manifestations of Labor MovementHistorically, talent moving from one country to another has been perceived as negative.
Circulation of Talent
Movement
Mixed
MigrationTraditional
Ways
Innovative Ways
Exchanging Talent
Globalization of Talent
Exporting Talent
Waste of Education/Training
Brain
Drain
2. The Global Labor Market
Movement of LATAM Talent
9
Labor Movement Schemes in Global Enterprises
Labor movement requires telework.
This includes flexible practices, with work being carried out at a distance through the use of telecommunications tools.
Commuting
Expatriation
International Movement with a Local Scheme
Short-Term Assignment
2. The Global Labor Market
Movement of LATAM Talent
10
A positive element in countries of destinationPromotes the dynamics of local markets
Leverages development in communities of origin Transfer of Know How, technologies, and knowledge
Foreign currency income through remittals
Identifying business opportunities
Reducing unemployment rates, in some cases
Movement of TalentNeed of Globalized Economies
2. The Global Labor Market
3. Academia-Enterprise-Government Linkage
What challenges are our education systems facing as a result of the movement of persons?
12
Movement of LATAM Talent
Global Competence of international students
Pressure to improve the quality of education in LATAM
Academia-Enterprise-Government linkage as a pillar of competitiveness and a catalyst of world-class talent
Key Challenges are
3. Academia-Enterprises-Government Linkage
13
Movement of LATAM Talent
Education levels are unequal in the region
The level of basic education needs to be raised, including learning the English language
Quality of Educational Institutions = Attracting and Keeping local and global talent
Reducing the digital gap
Pressure to Improve the Quality of Education in LATAM
3. Academia-Enterprises-Government Linkage
14
Movement of LATAM Talent
Finland 547 548 563 1658Korea 556 547 522 1625Hong Kong-China 536 547 542 1625
Liechtenstein
527 527 534 1588China-Taipei 496 549 532 1577Canada
521 522 530 1573The Netherlands 507 531 525 1563Australia 513 520 527 1560
New Zealand
510 525 522 1557Japan 498 523 531 1552… … … … …
393 370 390 1153374 381 391 1146
Colombia (53/57) 385 370 388 1143Tunis 380 365 386 1131
NOTE: Peru data are from the PISA 2000 Assessment.
Average Score
Total Score
Student Performance in Reading, Mathematics, and Science (PISA 2006)
Countries from LATAM achieved lower scores
The 10 countries with students’ best performance In the PISA Assessment
442 411 438 1291
Brazil (51/57)
Argentina (52/57)
Chile (40/57)
Uruguay (42/57) 413 427 428 1268410 406 410 1226Mexico (46/57)
Peru* 292 327 333 952
Source: OCDE Assessment, “Program for International Student Assessment”, 2006
Learning Scale for Reading
Learning Scale for Mathematics
Learning Scale for Science
3. Academia-Enterprises-Government Linkage
15
Movement of LATAM Talent
8 Key Competences European Union
1. Autonomy
2. Numerical Skills
3. Scientific Thinking
4. Competences in Technology
5. Self-Learning
6. Cultural Awareness
7. Citizenship
8. Language Skills
3. Academia-Enterprises-Government Linkage
16
Movement of LATAM Talent
Education of human capital in the LATAM region focuses primarily on Administration
but very little on areas with high added value.
Source: Manpower, 2007. Based on information from the 2006 Global Education Digest.
3. Academia-Enterprises-Government Linkage
• Social • Sciences,
• Business & • Law• 53%
• Health and • Wellbeing
• 11%
• Science• 11%
• Arts and • Humanities
• 4%
• Engineering, • Manufacture and
• Construction• 21%
17
Movement of LATAM Talent
The Academia-Enterprises-Government
linkage is a pillar of global
competitiveness.
Establishing mandatory professional
practice and insertion schemes will
reduce the learning curve.
Education of human capital in LATAM needs to respond to labor market demands.
3. Academia-Enterprises-Government Linkage
18
4. The Inertia of Social Networks as the Driving Force of the Movement of Persons
What is the role of transnational communities in building the future?
Movement of LATAM Talent
19
Transnational social bonds facilitate the movement of persons, providing them with a support network that fosters integration.
The Social Bridge, Driving Force of the Movement
4. The Inertia of Social Networks as the Driving Force of the Movement of Persons
Movement of LATAM Talent
20
The power of organized communities abroad is of an economic nature, but also of a political nature.
Increasing importance of Latinos in US elections
Self-Awareness and organization of transnational communities LATAM characterizes by maintaining strong and intense social bonds:
600 Latin American clubs or associations in 30 cities in the US
Knowledge networks of the diaspora (UNESCO Project)Network of Argentinian Researchers and Scientists Abroad (RAICES)Network of Global Chile TalentNetwork of Salvadoran Talent AbroadNetwork of Mexican Talent Abroad
4. The Inertia of Social Networks as the Driving Force of the Movement of Persons
21
5. Development of Communications and Transportation
What new labor schemes are emerging in view of the lower relevance of geographical location?
Movement of LATAM Talent
22
Taking advantage of opportunities beyond the local sphere
Web-based recruiting, temporary assignments, commuting, telework
A higher level of effectiveness and efficiencyOperational interdependency
Reducing distances (less time and lower costs)
Expanding access
5. Development of Communications and Transportation
23Internet Access in LATAM (%), 2007
Source: Manpower MECARD based on Internet World Statistics 2007 and Fundación Telefónica (DigiWorld América Latina 2007).
More than 30 20 - 30
10 - 20 5 - 10
Less than 5
• 2,5%• 3,5%• 3,8%
• 5,1%
• 7,6%• 8%• 9,5%• 9,5%
• 12,2%• 13%
• 15,8%• 16,2%
• 20,5%• 21%• 21,1%• 21,3%
• 25%
• 33,6%• 34%
• 42,45%
•
Chile
•
Argen
tina
•
Urugu
ay
•
Puerto
Rico
•
Mex
ico
•
Peru
•
Brazil
•
Costa
Rica
•
Domini
can
Repub
lic
•
Colom
bia
•
Venez
uela
•
Belize
•
El Salv
ador
•
Panam
a
•
Ecuad
or
•
Guate
mala
•
Bolivia
•
Hondu
ras
•
Parag
uay
•
Nicara
gua
Movement of LATAM Talent
24
Commercial air transport is an integral part of the global economy influencing and being influenced by economic development.
By May 2007 over 2.5 million flights worldwide; 5% more than the previous year
New low-cost business models massify commercial flights competing for costs.
16% of flights worldwide follow a low-cost format (OAG Worldwide Limited,
2007)
The airline that transported the highest number of international passengers (40 million) in 2006 follows a low-cost scheme. (IATA, 2007)
5. Development of Communications and Transportation
25
6. Work-Related Monetary Flows
How is LATAM taking advantage of the savings of its workforce abroad?
Movement of LATAM Talent
26
Help reduce poverty
Most of them (98%) are used for consumer expenditure
The challenge is stimulating productive investment and infrastructure development(“3x1 y 4x1” Program – Mexico, Agreement between Madrid Cooperatives – Ecuador,
Promoting Micro-Enterprise – El Salvador)
Remittances
6. Work-Related Monetary Flows
7. Health, Public Services, and Quality of Life
What is happening with the quality of life in our societies in an increasingly globalized world?
28
Movement of LATAM Talent
Effects of Movements on People
7. Health, Public Services, and Quality of Life
Possible in terms of technology
Desirable in terms of economy
Attractive to individuals
Convenient to enterprises
Enriching to society
Increasing the Legal and Orderly Movement of Latin American Talent Worldwide is