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Mobile Talent?

The Staying Intentions of International Studentsin Five EU Countries

FORSCHUNGSBEREICH

The Expert Council is an initiative of:Stiftung Mercator, VolkswagenStiftung, Bertelsmann Stiftung, Freudenberg Stiftung, Gemeinntzige Hertie-Stiftung, Krber Foundation,Vodafone Foundation Germany and ZEIT-Stiftung Ebelin und Gerd Bucerius

The study was funded by Stiftung Mercator


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Table of contents

Executive summary .............................................................................................................................................................. 4

1. New interest in international students as prospective migrants...................................................... 8 1.1 International student migration: Measures to attract and retain students and graduates.......................... 8 1.2 International student stay rates: Three quarters leave after graduation......................................................... 10 1.3 Higher education in Germany, France, the Netherlands, the UK and Sweden:

Differences in international students....................................................................................................................... 11

2. The legal frameworks for international students and graduates in five countries................ 13 2.1 EU level: Policies and regulations for international students and scholars...................................................... 13 2.2 National level: Legal frameworks for international students.............................................................................. 13 2.3 Comparing the frameworks: Opposing trends in a dynamic field...................................................................... 14 Prior to studying.................................................................................................................................................. 15 During studies ...................................................................................................................................................... 15 Post-study employment ..................................................................................................................................... 18

3. Country reports ................................................................................................................................................................ 20 3.1 Germany: A non-immigration country undergoing liberalisation.................................................................... 20 3.2 France: Mixed messages for international students ............................................................................................. 22 3.3 Netherlands: Generous regulations for high-performing students.................................................................... 24 3.4 UK: The tightening of a relatively liberal regime ................................................................................................... 27 3.5 Sweden: Slow mover in supporting the study-to-work transition..................................................................... 30

4. Results of the online survey of international students ........................................................................... 32 4.1 The respondents: Sample size and background characteristics.......................................................................... 33 Regions of origin .................................................................................................................................................. 33 Students language skills (self-assessment) ................................................................................................... 35 4.2 Motivating factors when choosing a study destination: Educational quality and reputation .................... 35 4.3 Staying on after graduation: Strong interest in gathering career experience................................................. 37 Intended length of stay in the study destination........................................................................................... 38 Reasons for planning to stay on ........................................................................................................................ 38 Characteristics of the stayers ........................................................................................................................... 40 Predicting students intentions to stay............................................................................................................ 40 4.4 Reasons for planning to leave after graduation: Family and personal relationships.................................... 41

4.5 International student perceptions: Diverse assessments of job prospects and the opennessof the labour market to non-EU graduates .............................................................................................................. 43

4.6 Awareness and assessment of legal rules and regulations: Few feel well informed.................................... 45 4.7 Summary: Strong interest in staying on, but international students still require support .......................... 47 Staying on, for a while........................................................................................................................................ 47 Career-related factors the main motivation for staying on.......................................................................... 47 Low awareness of legal rules among international students...................................................................... 48 Challenges faced by international students .................................................................................................... 48 Links between the legal frameworks and the survey results...................................................................... 49

5. Conclusion ........................................................................................................................................................................... 50

Bibliography ............................................................................................................................................................................. 53


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Executive summary

Since the beginning of the last decade, policy-makersin Europe have increasingly turned their attention tointernational students as a source of prospective skilledmigrants. Against the backdrop of an ageing society,projected labour market shortages and increased com-petition in the globalised knowledge economy, manycountries have introduced significant policy changes oradapted existing policies and laws in order to facilitateinternational students entry into the labour marketafter graduation. Promoting study-to-work pathways,

or a train and retain approach, is viewed as a practicalpolicy goal from several perspectives. Most signifi cant-ly, international students possess a number of charac-teristics that differentiate them from regular economicmigrants: fully recognised credentials, locally relevanteducation and often work experience, and a demon-strated familiarity with the host countrys culture, lan-guage, practices and regulations.

This report deals centrally with the question of thestaying intentions of international students in five Eu-ropean Union (EU) Member States: France, Germany,Sweden, the Netherlands and the United Kingdom. Itis based on the 14-month project Value Migration

carried out by the Research Unit of the Expert Councilof German Foundations on Integration and Migration(SVR) in cooperation with the Migration Policy Group(MPG) and funded by the Stiftung Mercator. Although anumber of studies have examined the increasing flowsof international students and students motivations forstudying abroad and choosing a particular destination,less is known about the factors that shape their post-study migration plans, particularly in the Europeancontext. This report covers new ground by providinginsight into the post-study migration plans of inter-national masters and PhD students, as well as theirawareness and assessment of the legal frameworks

enabling them to stay and work in the country in whichthey studied after graduation.

International students and graduates have bene-fited from many EU and national immigration policydevelopments in recent years, with increased legalcertainty in the regimes governing their status andimproved opportunities to access the workforce bothduring and after their studies. A key pathway for in-ternational students to access the labour market af-ter graduation is through a post-study job-seeking

scheme, in place in all of the countries surveyed exceptfor Sweden. In France, the Netherlands, Germany andthe UK, such post-study schemes allow students to stayon for six months, one year and two years respectivelyfor the purpose of finding a job.

Although the general trend in the legal regimesrelating to international students in EU Member Stateshas been one of liberalisation, international studentsare by no means immune from measures that seek toselect and limit who enters and stays on a countrysterritory. Indeed, international students have been tar-geted in countries where there is political or publicpressure to reduce net levels of immigration. Restric-

tive measures applicable to international students andgraduates in the five countries surveyed include labourmarket tests and/or wage conditions to access certainsectors of the labour market, the requirement to havea job upon graduation in order to stay (in Sweden),the roll-out of more rigorous procedures relating touniversity access and the monitoring of internationalstudents progress during their stays (in the Nether-lands and the UK), and stricter control on status changerequests from student to worker (in France).

A broad distinction can be made between the re-gimes relating to international students in the UnitedKingdom and the Netherlands and those in France and

Executive summary


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Germany. The former apply stricter selection criteria atpoint of entry, and, particularly in the Dutch case, un-dertake more rigorous monitoring throughout the studyperiod (e.g. educational institutions will soon need tobecome recognised sponsors of international students,obliged to monitor their immigration status and aca-demic progression; employers of international studentsmust obtain a work permit). These countries, however,offer students comparatively more generous and flex-ible post-study schemes. This means that, although the

selection criteria are restrictive, students can take ad-vantage of relatively generous conditions for staying onif they successfully complete their studies. The regimewill soon change in the UK, however, as the governmentaims to reduce net immigration numbers. In France andGermany, on the other hand, the nature of the respec-tive legal regimes and higher education sectors meansthat it is easier for students to gain entry (e.g. muchlower tuition fees, no requirement for universities to actas sponsors or to register with the immigration authori-ties in order to host students). In terms of post-study op-portunities, however, students wishing to prolong theirstay after graduation are currently faced with stricter

limits on working than those in the Netherlands andthe UK although changes are expected to come intoeffect in Germany. Students in France and Germany alsohave a shorter time period in which they are eligibleto apply for the scheme. In comparison with the otherfour countries, Sweden is a slow mover in providing le-gal opportunities or special regulations for internationalstudents who wish to stay on. The dynamic nature ofimmigration policy means that the legal frameworks inthese countries will continue to change and are likelyto fluctuate according to trends in political and publicopinion on immigration and specifically the need forcontrols to be increased or lessened.

The report covers the results of a large-scale surveyof over 6,200 international students at 25 universi-ties in the countries studied. The findings reveal thatalmost two-thirds of the respondents are interested inremaining in their country of study after graduation,and plan to do so for a relatively limited time period(one to two years). Employment opportunities andthe desire to gain international work experience arethe main reasons for wishing to stay on, supportingthe idea that professional experience is increasingly

regarded by students as a key aspect of the studyabroad package. While career-related factors providethe main motivation for staying on, family and per-sonal relationships were most commonly cited as thereason for planning to leave after graduation. Perma-nent migration is clearly not the intention of the bulk ofrespondents, as only around ten per cent indicated, atthis stage in their studies at least, that they plan to stayon for more than five years. International students whointended from the outset to use their study abroadexperience as a stepping stone to permanent migra-tion appear to be the exception rather than the rule.Overall, the main tendency among respondents is the

desire to stay on for a few years to gain internationalwork experience before eventually returning to theirhome countries or moving elsewhere.

A number of characteristics are associated with theintention to stay on after graduation. Those who areinterested in doing so tend to be younger; they also of-ten have prior work experience in the country of studyand are less likely to have children. Clear differencesbetween fields of study are also apparent, with thosepersuing degrees in science- and technology-relatedfields (i.e. engineering, mathematics and natural sci-ences) more likely to express the desire to stay on thansocial science, art or humanities students. Respondents


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Executive summary

from countries in Asia (e.g. China, India, Iran and SriLanka) and Eastern Europe (e.g. Ukraine and Serbia)are generally keener to stay on than those from NorthAmerica, Latin America and Africa. As could be expect-ed, those who plan to stay on are also better informedabout the legal opportunities for prolonging their stayafter graduation.

The results of the survey show that several fac-tors related to the propensity to stay are directly orindirectly influenced by actors in the higher education

sector. For example, the responses from internationalstudents in Germany reveal that the intention to stayon is associated with better German language skills,work experience in Germany, higher levels of satisfac-tion with the study experience, familiarity with thelegal regulations for international students, and beingof the opinion that international students are welcometo stay and look for work after graduation. These areall areas which could theoretically be supported byhigher education actors (e.g. running courses to sup-port language acquisition, facilitating work experience,providing career services for international students,distributing information about immigration law and

visa access, and improving the overall study experi-ence). In admitting students, the state also of courseplays a role, for example in the language requirementsit sets and the general conditions that applicants haveto meet. The relationship between policies and prac-tices in the higher education sector and in the realm ofimmigration is likely to become increasingly relevant.

The survey results indicate a problematic situationwith regard to the level of knowledge on post-studywork and visa options and the ease of accessing in-formation on these topics. Overall, students do notfeel very well informed about the legal opportunitiesfor obtaining a post-study work or residence visa. Re-

spondents in the Netherlands and the UK are mostaware of the existence of regulations for internationalstudents to transition to work after graduation, andrespondents in these countries also find it easiest toaccess information on legal procedures for post-studyvisas. Respondents in Germany feel the most poorlyinformed about their legal options for staying on af-ter graduation (only 14.7 % feel well or very well in-formed) and some complained about the lack of legalinformation available in English and therefore the dif-

ficulty of navigating the legal framework. Across theboard, between 37.0 per cent (UK) and 45.9 per cent(Germany) of respondents feel poorly or not at all in-formed and less than one quarter in each country feelthat it is easy to access such information, suggestingthat there is much room for improvement in relation tothe availability of clear information about internationalstudents post-study options. Students who are betterinformed about the legal procedures for prolongingtheir stay were more likely to rate the legal opportuni-ties for international students positively.

Respondents perceptions of their employmentprospects in their country of study and of the extent

to which the labour market welcomes non-EU gradu-ates are broadly positive in the Netherlands and Ger-many and relatively critical in France and the UK. Re-spondents in France and the UK expressed frustrationat recent changes in the regulations or administrativepractices for international students and graduates andwere less likely to agree that international studentsare welcome to stay and look for work after gradua-tion compared to respondents in the other countries.The results reveal that many international students areaware of and responsive to changes in the legal frame-work governing their stays, as well as the general pub-lic debate on immigration. Improving the clarity of and


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access to legal information and building a more stablelegal framework would be to the benefit of interna-tional students who may wish to stay on. Clearer ormore accessible information for students is needed onthe changes taking place in the UK and France, and thewider availability of information and services offeredin English would be beneficial for international stu-dents in Germany. In Germany in particular, it would beworthwhile to better prepare international students forwhat to expect in terms of both the language compe-

tencies required for university and the labour market,and the conditions realistically needed to acquire theGerman language. Because students can study and re-ceive a student permit without a very high level of Ger-man language proficiency, many expect that they willbe able to navigate university and the world of workwithout knowledge of the language. Better preparingstudents for what to expect can have an importantimpact on their satisfaction levels later in the process.

International students are often praised for theirproficiency in the language of the host country andtheir high levels of acculturation. It is therefore ex-pected that they will be able to avoid a number of the

sociocultural, political and economic barriers that otherimmigrants face in integrating into the labour marketand society. Although international students do pos-sess a number of qualities that make them an attrac-tive group of skilled migrants, they still require servicesand support to guarantee their integration. Emergingresearch findings and the results of this report indicatethat simply studying in a country is not sufficient toovercome many of the difficulties migrants face, suchas gaps in language proficiency, acculturation, visa in-security and concerns about family migration and dis-crimination. Because international students are gener-ally regarded as temporary migrants, there is a danger

that the state will not directly support their integration,which could have implications for their future successin the country. Crucial for the development of policiesand services to support the successful transition of in-ternational students from study to work is the bettertracking of international students in order to monitortheir labour market performance, social integrationand other outcomes. Investigating the employabilityand employment outcomes of international studentsand graduates and gaining a better understanding of

the barriers and opportunities that students encounterin the study destination after graduation are importantfocuses for future research.

In all of the countries surveyed, the share of sur-vey respondents that expressed the desire to stay on isclearly higher than the share that actually do, pointingto a discrepancy between the intentions or aspirationsof students and what occurs in reality. Identifying thefactors that contribute to this discrepancy for instance,the extent to which they are related to individual, struc-tural or push/pull factors is also an important topic forfuture research. This report points to a number of op-portunities for better supporting international students

and graduates and suggests that the five countries stud-ied are not making full use of the skills and potentialof their international students. Given that family andpersonal relationship factors were among the most im-portant reasons cited for leaving, and as many studentsexpressed concern about the insecurity of their statusin the country, improving access to long-term residencyand family reunification for international students couldsend a positive signal to current or prospective students.If countries are keen to encourage international stu-dents to stay on after graduation, policies on these andother issues will have to become more inclusive of stu-dents and better tailored to their needs.


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New interest in international students as prospective migrants

1. New interest in international studentsas prospective migrants

International students have come into the spotlight

as an attractive group of prospective skilled migrants.They are young, highly educated and already equippedwith host country credentials. Against the backdrop ofan ageing society, projected labour market shortagesand increased competition in the globalised know-ledge economy, more and more countries are intro-ducing measures to facilitate international studentsstay and entry into the labour market after graduation.

Promoting study-to-work pathways for internation-al students, or a train and retain approach, is viewedas a practical policy goal from several perspectives.Most significantly, international students possess anumber of characteristics that differentiate them from

regular economic migrants: they have fully recognisedcredentials, locally relevant education and often workexperience, and are familiar with the culture, lan-guage, practices and regulations of the host country(Suter/Jandl 2008). Moreover, in countries with pub-licly funded university systems such as Germany andFrance, the state has already invested in their educa-tion. The transition of international students into thelabour markets of these countries enables the state,therefore, to recoup some of its investment.

Although a number of studies especially those car-ried out in the traditional immigration countries haveexamined the increasing flows of international students

and their motivations for studying abroad and choosinga destination (Altbach 2004; King/Ruiz-Gelices 2003),less is known about the factors that shape their post-study plans, particularly in the European context. Thecentral theme of this report1 is the question of thestaying intentions of international students2in five EUMember States: France, Germany, Sweden, the Neth-erlands and the United Kingdom. The report is basedon the 14-month project Value Migration carried outby the Research Unit of the Expert Council of GermanFoundations on Integration and Migration (SVR) in co-operation with the Migration Policy Group (MPG).

Key factors in whether international students stay

on after graduation include the legal framework gov-erning their stay and their ability to obtain post-studyemployment and residence. The first aspect of this pro-

ject is therefore a comparison of the legal framework

for international students and graduates in the fivecountries under study, focusing on laws relevant to theperiod before, during and after their studies. The sec-ond component is a survey of over 6,200 international

students at 25 universities. By surveying internationalstudents in the final stages of their studies, the pro-ject investigates students propensity to stay on aftergraduation and the factors that originally motivatedthem to choose a study destination, as well as theirawareness and assessment of the special legal rulesthat enable them to remain and work in the EU countryin which they studied after graduation.

The legal review shows that there is considerablevariation between the countries studied with regardto the entry criteria for international students and thelength and nature of the post-study schemes availableto them, but also identifies similarities in the legal

frameworks, reflecting different and converging poli-cies for international students. The empirical results ofthe online survey show that a high number of studentsare interested in prolonging their stay after graduation,mainly in order to gain international work experiencebefore eventually returning home or moving onwards.While the staying intentions of international studentsare high in each of the countries studied, the surveyresults suggest that students are aware of and respon-sive to shifts towards more restrictive legal regimesand suggest that this is reflected in their post-studystaying intentions. The report also highlights differ-ences in the characteristics of the groups that plan

to stay and those that plan to leave after graduation:the former are motivated primarily by career-relatedfactors, while the latter cite family and personal rela-tionship factors as important in their plans to leave.Differences according to region of origin and field ofstudy are also noted.

1.1 International student migration:Measures to attract and retain studentsand graduates

The rapid growth and expansion of international stu-

dent migration has been well documented (OECD2011a; Teichler et al. 2011; Hawthorne 2008; Nuffic2011; De Wit et al. 2008; UNESCO 2010). The Organi-sation for Economic Co-operation and Development

1 This study was supervised by Prof. Yasemin Karakaolu, member of the Expert Council of German Foundations on Integration andMigration (SVR). The responsibility for the study lies with the Expert Councils Research Unit. The arguments and conclusions contai-ned herein do not necessarily reflect the opinion of the Expert Council of German Foundations on Integration and Migration (SVR).

2 For the purposes of this report, international students are defined as those who have crossed borders for the main purpose ofstudying. Foreign residents who live in the country as result of their prior (non-study related) migration or that of their familiesare therefore outside of the scope of this report. When the report turns to the results of the survey of international students infive EU countries, the focus is specifically on non-EU nationals.


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(OECD) reports that the number of students studyingabroad increased by 77 per cent over the last decade,reaching nearly 3.7 million in 2009. Almost half ofthese students are enrolled in just five countries: the

US (18 %), the UK (10 %), Australia (7 %), Germany(7 %), and France (7 %). Internationally, China is theleading source country for international students, fol-lowed by India. Fifty-three per cent of internationalstudents worldwide come from Asia, which has quicklybecome the most prominent sending region.

In recent years, countries in the EU and elsewherehave introduced significant policy changes or adaptedexisting policies and laws in order to provide interna-tional students with options for transitioning to workand residence after graduating. Policy measures thatpromote the retention of international students in-clude:

post-study job-search schemes that allow interna-tional students to stay in the country after graduationfor the purpose of job seeking;

the general streamlining of procedures for obtainingstudent visas and highly skilled work permits;

amended naturalisation and permanent residencylaws that take years of residence as an internationalstudent into account when assessing eligibility foracquiring citizenship/long-term residence status;

the easing of work restrictions during the study andpost-study periods;

new visa categories specifically designed to attractand retain international students;

privileges for international graduates when accessingcertain visa schemes, e. g. lower minimum incomerequirements and the waiver of labour market tests(priority examination).

The policy goal of attracting and retaining highlyskilled3migrants has therefore grown to encompassinternational students and graduates. While the tradi-tional immigration countries of Canada, Australia, NewZealand and the US have for quite some time had path-ways in place for international students to transition to

work and sometimes permanent residence, EU coun-tries have taken a less assertive approach4(Merwood2007; Wilkinson et al. 2010). Indeed, retention policiesin EU countries differ from those in the traditional im-

migration countries in that they generally promote theinitial entry of international graduates into the labourmarket but not necessarily their permanent settle-ment. The introduction of the Blue Card in some EUMember States may facilitate the longer-term settle-ment of former international students, although theoutcomes are yet to be seen.5

Although the general trend in the legal proceduresfor international students in EU Member States hasbeen one of liberalisation, international students arenot exempt from measures to control and limit whoenters and stays on a countrys territory. Indeed, inter-national students can be targeted in countries where

there is political or public pressure to reduce net lev-els of immigration. This reaction, most explicit in thenew reforms to the UKs student system but also gain-ing currency in the Netherlands and France, stressesthe inherently temporary nature of an internationalstudents stay. The UK Border Agency,6for example,recently announced that it aims to reduce the allo-cation of student visas for non-EU residents as partof its broader plan to reduce net migration to the UKand tackle abuse of student visa procedures7(Mulley/Sachrajda 2011; Easton 2011). In line with this aim, amajor reform of the student visa regime, with tougherregulations for international students and graduates,

will take effect in April 2012, including more stringentlanguage requirements and time limits for the comple-tion of programmes of study. Significantly, the currentPost-Study Work scheme, which allows internationalgraduates to remain in the UK for up to two years andundertake employment without a sponsor, will alsocome to an end.

Shifts in the policies and practices of the highereducation sector have also lent themselves to theincreased attraction and retention of internationalstudents. With unprecedented competition for inter-

3 There is no universal definition of highly skilled or highly qualified; rather, varying definitions are used, typically based on edu-cational qualification levels, and/or specific occupation or sector, and/or salary level (EMN 2007).

4 For example, the Canadian Experience Class programme has been developed with a specific focus on retaining international stu-dents as permanent residents, and enables students to obtain permanent residency and then citizenship after two years of studyand one year of work experience (Gates-Gasse 2010).

5 The EU Blue Card allows highly skilled non-EU nationals to work and live in the EU if they meet certain conditions, includingbeing able to present a binding job offer specifying a gross salary of at least 1.5 times the national average. The Blue Card Directive(Directive 2009/50/EC) has been implemented in the Netherlands and France and will soon be implemented in Sweden andGermany. It will not be implemented in the UK.

6 The UK Border Agency is an agency of the Home Office, which is the lead UK department for immigration. The Agency is respon-sible, inter alia, for controlling migration and considers applications to enter or stay in the UK.

7 Proponents of the tightening of the visa procedures for international students in the UK argue that there was significant abuseand misuse of the relatively liberal visa procedures, with students enrolled at bogus universities and using the post-study workopportunities to access low-skilled jobs rather than those commensurate with their qualifications.


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national students, higher education providers havebecome more consumer-oriented, providing servicesgeared specifically towards international students andscholars such as academic counselling, career servic-

es, accommodation assistance, multilingual websitesand language courses. There has also been a rapidgrowth in the marketisation of higher education andrecruitment campaigns for international students,expansion in the provision of programmes taught inEnglish, growth in branch campuses and cross-bordercollaborations and efforts to make degrees and qualifi-cations more compatible and comparable internation-ally (Altbach/Knight 2007; Verbik/Lasanowski 2007;Robertson 2006; Waters/Brooks 2011). Internationalbenchmarking studies such as the International Stu-dent Barometer (ISB), as well as other research (e.g.BMBF 2010), show that there is still much to be done

on the part of the higher education sector in order tosufficiently meet the needs and expectations of inter-national students and to remain competitive in theinternational student market. The results from the ISBin Germany point to, for instance, the need to improvecareer advice services, learning and language supportand visa advice for international students (Ripmeester/Pollock 2011). Given current trends, meeting the needsof international students and acting as a competitiveplayer in the international market is likely to remainhigh on the agenda of the higher education sector.

1.2 International student stay rates:Three quarters leave after graduation

Direct comparisons of the number of internationalstudents that stay on after graduation in differentcountries are limited, as there is significant variationin how countries define international students as wellas in what it means to stay on. Nevertheless, the stayrates published by the OECD give an indication of howmany students remain in the country after graduation(Fig. 1). The stay rate is defined as the proportion ofinternational students changing to a status other thanstudent, to the amount of international students not

renewing their student permits in the same year. Assuch, it represents the share of students staying on forany reason, not necessarily those who enter the labourmarket or stay on a longer-term basis.

On average, across OECD countries, one quarter ofinternational students stay on after graduation. Canada,France, the Czech Republic, Australia, the Netherlandsand Germany all have above-average stay rates. Thestay rate is highest in Canada, with nearly one third ofinternational students staying on significantly, 42 percent transition directly to permanent residence status.It is important to note that stay rates are not gener-ally disaggregated by length of stay, and thus do not

allow a differentiation to be made between studentswho may have stayed on for only a few months aftergraduation and those who stay for a longer period oftime or settle permanently. Moreover, the OECD rates

include students at all levels of study, while stay ratesare known to differ by study level, with those pursuingmore advanced degrees more likely to stay on thanthose at the bachelor level (Finn 2010).

Other sources (e.g. Finn 2010; Wolfeil 2010; Soon2012) also provide information on the longer-term re-tention of international students. According to Wilkin-son et al. (2010), between 1997 and 2006, 21 percent of fee-paying international students in New Zea-land transitioned to permanent residence, on averagewithin four years of their first student permit. Merwood(2007) reports that approximately 24 per cent of in-ternational students in Australia who completed their

course in 2002 gained permanent residence. On thebasis of UK Home Office data, Mulley and Sachrajda(2011) estimate that no more than ten per cent ofnon-EEA (European Economic Area) students settle inthe UK permanently. Finn (2010) computed the stayrates of international scholars receiving a science andengineering doctorate in the US one, two, five, and tenyears previously and found them to be consistentlyhigh, ranging from 60 per cent (ten-year stay rate) to73 per cent (one-year stay rate). He also finds clearvariation in the stay rates across disciplines, with stu-dents in the fields of science and engineering havingthe highest propensity to stay, and those in the agricul-

tural and social sciences having the lowest propensity.His findings suggest that a negative event such as arecession or a terrorist attack does affect the stay rateof doctorate recipients, mainly by affecting those grad-uating and looking for jobs at the time it takes place.

Although much attention has been directed at in-ternational students as a valuable group of potentialqualified migrants, the OECD points out that even if allinternational students were to stay on, the addition tothe youth population as a result of this would not ap-pear to be especially high (2011b: 65). Given that in-ternational students make up, on average, 3.3 per centof those in the 20 to 24 age cohort in OECD countries

(in only two countries Australia and New Zealand do they make up more than ten per cent), they donot represent a sizeable group of potential longer-termmigrants in their current numbers. Moreover, interna-tional student flows can be volatile, changing witheconomic circumstances, developments in the inter-national marketplace and expansions in home countryeducational provision. Thus, as Hawthorne (2008: 1)writes, international students are not a skilled-migra-tion panacea. Research findings have also questionedthe assumption that international students have betteremployment outcomes and a higher degree of workreadiness than regular economic migrants (Hawthorne


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2010; Sidhu 2011). Nevertheless, from an economicperspective, the added value brought by international

students is expected to be high, as their age and edu-cation level mean a relatively low level of exposure tounemployment and welfare dependency and a highlikelihood that they will become net contributors to thenational economy. Combined with other initiatives, theretention of international students is therefore likely tohelp offset labour shortages and mitigate the impactsof an ageing workforce. In addition, it is thought to bevaluable for strengthening economic and socioculturalrelationships and exchange between countries.

1.3 Higher education in Germany, France,

the Netherlands, the UK and Sweden:Differences in international students

The five EU Member States which are the focus of thisstudy have all witnessed rapid growth in the numberof international students and graduates, but vary withregard to the structural characteristics of their highereducation systems, their stock of international studentsand the legal framework governing international stu-dents and highly skilled migration (Tab. 1).

The UK is the only European country that is consid-ered to be one of the major players in internationalhigher education, along with the US and Australia

(Verbik/Lasanowski 2007). English-speaking countriesattract the greatest number of international students

worldwide, reflecting the widespread use of Englishacross the globe. The UK therefore has a competitiveadvantage in the international market over other EUcountries (Perkins/Neumayer 2011). Educational in-stitutions in non-English speaking countries, however,increasingly offer programmes taught fully in Englishin order increase their attractiveness to internationalstudents. Dutch universities are the current unchal-lenged front runner in continental Europe with regardto the share of English-taught programmes. Currently,over half of all bachelors and masters programmesat Dutch universities are taught in English.

The cost of international student tuition fees varies

widely across the five countries surveyed. In most EUcountries, tuition fees are different for EU and non-EUstudents, though this is not the case for Germany orFrance. International students pay the highest fees inthe UK (around EUR 18,000 a year for masters courses),followed by the Netherlands (between EUR 14,000 andEUR 19,700), Sweden (between EUR 8,500 and EUR15,000), Germany (up to EUR 1,000, but non-existentin many Lnder) and France (up to EUR 750 a year).However, the more elitegrandes coles in France cancharge tuition fees of up to around EUR 16,000 a year.Sweden only recently introduced tuition fees for inter-national students, and has thus transitioned from the

Note: For European countries, only students from outside the EEA were included.

Source: OECD 2011b: 67; own calculation

0%

10%

20%

30%

40%

Austr

iaSp

ain

Irelan

dJap

an

New

Zeala

nd

Finlan

d

Norw

ay UK

Germ

any

Neth

erlan

ds

Austr

alia

Cze

chRep.

Franc

e

Cana

da

Fig. 1 Percentage of international students changing status and staying on in selected OECD countries(stay rate), 2008 or 2009

Percent changing status

Average


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German/French model of state-subsidised educationfor EU and non-EU citizens alike to the UK/Dutch modelof cost recovery for international students. Among thefive countries, then, the state most heavily subsidisesthe education of international students in France and

Germany. The more market-based approach pursuedin the other three countries means that universitiesare much more dependent on the fees paid by inter-national students as a source of revenue.

The UK attracts the greatest number of interna-tional students across the five countries surveyed, fol-lowed by Germany and France. The UK also has thelargest share of foreign students among tertiary en-rolments (20.7 %), followed by France (11.5 %), Ger-many (10.5 %), Sweden (9.4 %), and the Netherlands(7.2 %) (OECD 2011a). China is the first or second mostpredominant country of origin of international studentsin all of the countries surveyed, reflecting trends on the

global scale. The importance of geographical proximity,language and historical and colonial ties in shaping theflow of international student migration is also apparentwhen looking at the stock of international students ineach country. For example, four of the top five coun-

tries of origin of international students in France arepart of the countrys former colonial empire, as arethree of the main sending countries in the UK. TheNetherlands stands out as hosting a large number ofstudents from the EU a full two thirds of its interna-tional students are citizens of an EU country, mainlyGermany and Belgium (Nuffic 2011).

There is both considerable variation and a numberof similarities between the countries surveyed in termsof the legal frameworks for international students andgraduates and the schemes that enable students tostay on after graduation; this reflects different andconverging policies as regards international students.

Tab.1 Key characteristics of the five countries surveyed

Germany France Netherlands UK Sweden

Tuition fees* Low

No variationfor domes-tic/inter-nationalstudents

Up to 1,000but non-existentin severalLnder

Low

No variationfor domestic/internationalstudents, butfees atgrandescoles vary

750 at publicuniversities, butup to 16,000at thegrandescoles

High

Higher fees forinternationalstudents

15,000

High

Higher fees forinternationalstudents

18,000

High

No fees fordomestic stu-dents, but feesfor internation-al students

12,000

Share offoreignstudents** intertiary stock

10.5 % 11.5 % 7.2 % 20.7 % 9.4 %

Main countriesof origin ofinternationalstudents

1. China2. Russia3. Poland4. Bulgaria5. Turkey

1. Morocco2. China3. Algeria4. Tunisia5. Senegal

1. Germany2. China3. Belgium4. Spain5. France

1. China2. India3. Nigeria4. Ireland5. Germany

1. China2. Pakistan3. Finland4. Iran5. India

* Approximate annual non-EU student tuition fees at the masters level. Fees do however often vary considerably by discipline and institution.** These figures originate from the OECD (2011a: 333) and include both EU and non-EU foreign students, defined as those who do not hold the

citizenship of these countries. Comparable figures across the five countries were available for only this group.

Sources: Hgskoleverket 2010: 57; Nuffic 2011:15; DAAD/HIS 2011a; Ministre de lducation nationale 2011; HESA 2011; OECD 2011a: 333


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14

The legal frameworks for international students and graduates in five countries

tion was introduced in the UK with a new post-studyroute for international graduates to access the labourmarket.12France adopted its policy of chosen immigra-tion (politiquedimmigration choisie)in 2006, again

to accommodate its economic needs, while Germanyhad the same intention when it switched to a morelabour market-oriented management of migration in2005. The respective new provisions in both countriesallow international graduates to stay and look for a job for six months in France and for one year in Germany.Finally, the Netherlands adopted the Skilled WorkersRegulation in 2004 and introduced two new schemesin 2007 allowing international graduates to look forwork or directly enter the labour market. Once imple-mented, the Modern Migration Policy Law13will furtherconsolidate the Netherlands selective approach to themigration of students, graduates and workers.

International graduates have largely benefitedfrom these developments at EU and national level,with increased legal certainty in the regime govern-ing their status and improved opportunities to accessthe workforce. However, international students andgraduates are by no means immune from measuresto restrict and limit who enters and stays on a countrysterritory. Restrictive measures applicable to interna-tional students include: labour market tests and/or minimum wages neces-

sary in order to access certain sectors of the labourmarket;

the requirement to have a job on graduating (Swe-

den); the implementation of a more rigorous university

selection procedure (including the requirement foruniversities to be registered with the relevant im-migration authorities);

active monitoring of international students duringtheir stay (the Netherlands, the UK);

the introduction of stricter controls on status changerequests from student to worker (France);

the obligation for the graduate to return home if heor she does not manage to find a suitable job withinthe given timeframe.

More fundamentally, time spent on a student permitin France, Sweden or the UK14cannot be counted to-wards the time period needed to apply for permanentresidence, highlighting the fact that students continueto be considered by these countries as temporary mi-grants. A different vision is adopted in Dutch and tosome extent German policy,15as well as in a growingnumber of other EU countries.16International research-ers (which can include PhD students) fare better, astime spent on a researcher permit in all countries apartfrom the UK can be counted when applying for perma-nent residency.

The following section briefly summarises a selec-

tion of general legal rules that apply to internationalstudents and graduates in the five countries sur-veyed.17More details are given in the country reportsbelow. It should be noted that international studentsfrom specific countries may enjoy a more beneficialstatus to the ones outlined in this report under inter-national or bilateral agreements. For example, Turkishstudents who work part-time during their studies aretreated as workers under the Association Agreementbetween the EC and Turkey according to a 2008 judg-ment of the European Court of Justice.18These studentsare not subject to the general legal regime for studentsbut instead enjoy a privileged residence status and ac-

cess to the labour market.

2.3 Comparing the frameworks: Opposingtrends in a dynamic field

This paper focuses specifically on the transition fromstudent to worker and in general only considers theconditions applicable to student permits, although

12 This route will close in April 2012 see the UK country report below.

13 The Modern Migration Policy Law was adopted in July 2010. While it should have been implemented on 1 January 2011, thishas not yet happened due to technical difficulties. The new law overhauls the Aliens Act with regard to employment, study andfamily reunification and moves towards a more selective entry policy.

14 International students in the UK may, however, be able to benefit from provisions allowing applications for settlement on thebasis of ten years of lawful residence.

15 International students in the Netherlands and Germany cannot actually apply for long-term residence while on a student permit,although the years spent there as a student can be counted at a later stage when applying for long-term residence.

16 Austria, Denmark, Portugal and Spain recently changed their laws to allow student years to be counted when applying for per-manent residency (MIPEX 2012).

17 The comparative legal information and country reports were compiled and written by Eadaoin Ni Chaoimh, Associate Legal PolicyAnalyst at MPG, and a review was carried out by a legal expert in each of the countries surveyed. Given the dynamic nature ofmigration law, the information here reflects the situation, to the best of our knowledge, as of 1 December 2011. Changes thatmay have occurred after this date have not been taken into account, but are noted where possible. All currency conversions inthis report reflect conversion rates in December 2011.

18 See European Commission Legal Services(2008).


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some PhD students could in fact hold research per-mits; they would therefore be subject to a differentlegal regime.19The EC Students Directive is particularlyimportant in this context as it has been adopted by

all of the countries surveyed except for the UK. Thisdirective aims to make the EU more visible, attractiveand accessible to international students by institutinga coordinated and transparent legal framework to fa-cilitate their entry to and residence in a Member State.It harmonises conditions such as administrative fees,duration of stay and grounds and procedures for the re-fusal to renew student permits if insufficient progressin studies is made. It also sets out minimum rules onpart-time work for students which may influence theiropportunities for finding work in their country of studyafter graduation. It does not contain preferential rulesfor family reunification; international students must

comply with the general rules if they wish to be joinedby a spouse or partner and minor children.20Nor doesit regulate the transition from international student tomigrant worker status.

Prior to studying

International students who meet the required admis-sion criteria to study at a higher education institutionare eligible to do so if they fulfil the conditions neces-sary to obtain a residence permit for study and/or avisa to enter and stay in the country concerned. The

administrative fee for a student permit varies widelyacross the countries surveyed: EUR 74 in France, EUR 100to EUR 110 in Germany, approximately EUR 110 in Swe-den, EUR 900 in the Netherlands21and approximatelyEUR 292 to EUR 807 in the UK, depending on whetherthe applicant is applying from inside or outside of theUK (Tab. 2). In all of the countries, prospective studentsmust prove sufficient financial means to cover living

costs while studying, although the monthly amount dif-fers from country to country (from EUR 430 per monthin France to approximately EUR 685 to EUR 915 permonth in the UK). Students in the UK and France are

obliged to prove their language skills, and in Germanylanguage proficiency may be examined by the Foreign-ers Authority if this is not a criterion for university entry.Language skills may also be tested in Sweden and theNetherlands, but as an admission criterion at the discre-tion of the university as opposed to a state requirementin order to receive a student permit.

In France, Sweden and Germany there are few re-strictions on which higher education institutions canhost international students, while in the UK and theNetherlands hosting institutions must be registeredwith the relevant immigration authorities. In the UKand the Netherlands, additional selective criteria for

institutions to fulfil, as well as provisions to monitorthe academic progress of international students, haveeither been recently introduced, or will soon be.22Theimmigration authorities in the UK and, as of recentlyalso in Sweden, additionally require students to provethat they can pay or have paid the course fees, unlikein Germany or France (where the fees are in any caselow or non-existent) or in the Netherlands.

During studies

In France, Sweden and the Netherlands, international

students receive a one-year permit, renewable duringthe study period.23In Germany this can be increased totwo years, while in the UK permits are granted for theduration of a degree course.24International studentsare able to work at least part-time in all countries, aslong as this does not interfere with their studies. Onlythe Netherlands requires employers of internationalstudents to obtain a work permit (although without

19 France, Germany, the Netherlands and Sweden have each implemented the Researchers Directive, which harmonises the rulesfor international researchers wanting to obtain a researcher permit. This permit may provide favourable conditions for familyreunification and time spent on it can count in all four countries when applying for long-term residence. Whether it is possible toteach while on such a permit depends on the country, as do the options for looking for employment once the permit expires.

20 For details on how the Students Directive has been implemented in the Member States, see the Commission 2011 Report on itsapplication (COM(2011) 587 Final).

21 The high administrative fee payable in the Netherlands could be in breach of the Students Directive according to EuropeanCommission Report COM(2011) 587, page 9.

22 If a UK education provider wants to teach international students, it must apply to the UK Border Agency for a Tier 4 sponsor li-cence. If the application is approved, the education provider will receive a licence and will be added to the register of Tier 4 sponsors.The more trusted the sponsor, the more classes it can offer. The duties of the sponsor include monitoring the student , for examplereporting to the immigration authorities if he/she misses more than a certain percentage of classes without permission.

23 Under the Dutch Modern Migration Policy Law, student permits will be valid for the duration of the course.24 The UK plans to introduce a five-year limit for studies on graduate courses in addition to the current three-year limit for studies

below degree level.


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Tab. 2 Key characteristics of the legal frameworks for international students


Prior to studying

Fee for studentpermit

100110 74 900 292807 110

Language re-quirements forstudent permit

Yes, admis-sion criterionfor universityor state as-sessment

Yes, obligato-ry state test

No (but maybe an admis-sion criterion foruniversity)

Yes, obligatoryrequirement foruniversity

No (but maybe an admis-sion criterionfor university)

Monthly finan-cial requirementto be proved forstudent permit

670 430 795 685915,depending onlocation

800

During studies

Permitted work-ing hours

90 full daysor 180 halfdays (approx.14 hours perweek), inaddition touniversitystudent jobs

An increaseto 120 full

days or 240half daysplanned*

964 hours ayear (approx.18.5 hoursper week)

10 hours perweek in termtime and full-time duringvacation periods

Up to 20 hoursper week interm time andfull-time duringvacation periods

No restrictionon hours, solong as no in-terference withstudies

Security ofstudent permitstatus

Valid for12 years;renewable

Valid for 1year; renew-able

Valid for 1 year;renewable

Valid for durationof studies

Valid for 1year; renew-able

Do student yearscount towardslong-term resi-dence?

Yes, halfof studentyears count

No Yes, in full No No

Post-study period

Length andnature of post-study scheme

One-yearscheme for

job seeking

An increaseto 18 monthsplanned*

Six-monthscheme for

job seeking

One-yearscheme forworking/jobseeking

Two-year schemefor working/jobseeking, but thiswill close in April2012

No scheme atpresent; a six-month schemeis proposed


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Post-study periodWho qualifies forthe post-studyscheme?

All graduates Graduateswith a mas-ters degreeor higher

Two schemes: forone, all gradu-ates with bach-elors or mastersdegrees; forthe second,graduates withmasters or PhDdegrees whomust also passa points-basedassessment

Graduates witha bachelors ormasters degreewho must alsopass a points-based assess-ment

Not applicable

Eligibility periodfor applying topost-studyscheme

Must applyon gradua-tion

Must apply4 monthsbefore stu-dent permitexpires

Must apply ongraduation forfirst schemeand within 3years for secondscheme

12 months fromthe date thedegree wasawarded

Not applicable

Permitted work-ing hours duringthe post-studyscheme

90 full daysor 180half days,fulltimeplanned*

Approx. 18.5hours perweek

Full-time em-ployment

Full-time em-ployment

Not applicable

Conditions forworking dur-ing Post-studyscheme

If workexceeds 90days, gradu-ates mustapply for awork permit,open accessto labourmarketplanned*

If workexceeds 18.5hours perweek, gradu-ates mustapply for awork permit

May require alabour markettest. If the jobis highly skilled,it must attract asalary of at least 26,931 grossa year

No labour mar-ket test or otherrestrictions onemployment

Not applicable

Special privileg-es for interna-tional students

entering thelabour marketafter the post-study scheme

No labourmarket testif the job

matchestheir qualifi-cations

No labourmarket testif job attracts

a salary 1.5times theminimumwage andcorrespondsto studies

Lower incomethreshold appliesfor the highly

skilled migrantscheme

No labour markettest if workerhas held the

job for at leastsix months andcontinues work-ing for same em-ployer. Automati-cally consideredto fulfil Englishlanguage re-quirement. Maybe exempt frommaintenancerequirement

None


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having to conduct a labour market test). Internationalstudents also enjoy the right, in theory, to be reunitedwith family members. This could be difficult in prac-tice, however, as international students must generally

demonstrate sufficient financial resources to supporttheir families. Moreover, family members will often notbe able to work unless they themselves switch to theworker category. As mentioned, in France, Sweden andthe UK it is not possible to count the time spent on astudent permit when applying for long-term residencein France, Sweden or the UK. In the Netherlands andGermany, on the other hand, it can (the whole periodand half of the period respectively).

Post-study employment

All countries allow graduates who succeed in finding ajob before their student permit expires to switch to ageneral worker category and stay in the country, pro-vided they fulfil the necessary conditions. For graduateswho have not yet found a job but who wish to stayin the country to look for work, a special post-study

scheme to facilitate their search is in place in all coun-tries but Sweden. The UK will, however, close this routefrom April 2012, while Sweden has recently proposedthe establishment of such a scheme. The length of the

post-study schemes varies from six months (France,Swedens proposed scheme) to 12 months (Germany,Netherlands) to two years (UKs current scheme), and isin all cases non-renewable. This means that graduateson the scheme that have not succeeded in changing sta-tus by the time the term ends must leave the country.

An important differentiation can be made betweenthe post-study schemes in the UK and the Netherlandsand those in France and Germany. In the UK and to acertain extent in the Netherlands, the schemes in placecan also be regarded as working schemes; in Franceand Germany, on the other hand, they are principally

job-seeking schemes.26Accordingly, under the UK and

Dutch schemes, international graduates are encour-aged to find employment but are also free to work full-time for the duration of the scheme without having toswitch to another worker category to do so. Neither alabour market test nor any additional limitations ap-ply in the UK, while the only limitation in the Dutch

25 It is expected that some special privileges will apply to Tier 4 students who switch directly to the Tier 2 General category afterthe closure of the post-study worker scheme in April 2012. These include exemptions from the labour market test and the annualimmigration quota.

26 New German regulations expected to come into force will, however, allow graduates to work full-time and have open access tothe labour market during the post-study scheme, thus moving in the direction of the current UK and Dutch schemes.


Post-study period

Conditions for

entering labourmarket directlyupon graduation

For the main

pathway, nolabour mar-ket test if

job matchesqualifica-tions and/oris in highlyqualifiedcategory

Depends on

the scheme.No labourmarket testif job is indemand,is for an EUBlue Card oris for Skillsand Talentspermit

Depends on the

scheme. Labourmarket test orincome thresh-old may apply

Normal condi-

tions apply, i.e.labour markettest required,

job must beat a graduatelevel/sufficientlyskilled, sponsor-ship required25

No labour

market test

Is there a specialscheme forhighly skilled

workers?

Yes Yes Yes Yes, but limited No

*The draft bill implementing the EU Blue Card Directive liberalizes the regulations for international students. The draft bill (BT-17/8682) would allowinternational graduates to work full time and have open access to the labour market during the post-study period. An amendment proposed by thegoverning parliamentary groups (CDU/CSU and FDP) in March 2012 would further increase the period international graduates have to look for aqualified job from 12 to 18 month. In addition, international students would be allowed to work 120 full or 240 half days a year during their studies.The bill is supposed to be passed before parliamentary summer recess.

Source: MPG; own compilation


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FORSCHUNGSBEREICH

Seeking Work after Graduation scheme is that a highlyskilled job must attract a salary of at least EUR 26,931gross a year. Graduates under the Dutch Highly Edu-cated Persons scheme will, however, also be subject to

the labour market test. Furthermore, neither this latterscheme nor the UK scheme require applicants to applyimmediately upon graduation (unlike the French andGerman schemes), but instead offer graduates a timeperiod of, respectively, three years and 12 months fromgraduation to do so. These schemes could, however,be seen as being more selective at point of entry sincegraduate access is subject to passing a points-basedassessment. International students also face more con-trols when initially accessing UK and Dutch universitiesand during their studies, which could act as an addi-tional, albeit indirect, filter.

In contrast to the Dutch and UK schemes, those in

France and Germany allow individuals to look for workbut require that they apply for permission and fulfil thenecessary conditions to switch to a worker category ifthey wish to undertake full-time employment. Duringthis interim period between graduation and employ-ment, which must be accessed either prior to or upongraduation, graduates can work on a limited basis only(under the same conditions as students) until they suc-cessfully switch categories by taking up a position cor-responding to their qualifications.27Graduates are notsubject to a points-based assessment to access theseschemes, although in France it is necessary to hold atleast a masters degree in order to qualify. If they are

successful in finding a job, international graduates mustchange to worker status but will be exempt from a la-bour market test if the job corresponds to their studiesand/or is in the highly qualified category. Under theFrench scheme, the job must also attract a salary of atleast 1.5 times the minimum wage. Graduates who can-not meet these criteria may or may not be subject to alabour market test in order to work full-time, dependingon the category of worker they wish to switch to.

The post-study schemes in France and Germanycan therefore be viewed as largely a prolongation ofthe student permit which allow individuals to look forwork directly after their studies, while the schemes

in the Netherlands and in particular the UK in effectprovide non-renewable working permits for a categoryof migrant worker seen as being in transition. Thenon-renewable nature of the Dutch and UK schemes,however, means that participants who wish to stayafter the end of the post-study period will use this timeto find a job that will enable them to switch to anothercategory of worker. In this way, the schemes in all fourcountries are comparable, with each making it easierfor participants to switch to a worker category beforeits term ends than for economic migrants who applythrough a general route.

All countries surveyed except Sweden currently

have at least one special scheme in place for highlyqualified/skilled workers which may allow exemptionfrom labour market tests and which offers better se-curity of status and rights (such as family reunifica-tion) for those who can meet the more rigorous re-quirements such as higher wages and qualifications.28These schemes respond to the selective needs-basedapproach adopted by the EU and its Member States,under which the EU Blue Card scheme has been (orwill shortly be) introduced in four of the five countriessurveyed.29International graduates who do not qualifyfor a post-study scheme or who cannot meet the crite-ria for employment under the scheme must switch to

another category of worker (including self-employed)and fulfil the conditions that generally apply to othernon-EU migrants. In all countries, those who can nei-ther find a suitable job nor successfully switch catego-ries must leave the country. More detailed informationon the options for international students to stay onafter graduation in each of the countries is provided inthe individual country reports below.

27 The graduate job-seeker can work 964 hours a year (approximately 18.5 hours per week) in France, and 90 days or 180 half-daysa year in Germany (as noted above, proposed changes to the regulations in Germany would allow graduates to work full-time).

28 In April 2011 the UK ended a scheme which was specifically designed for highly skilled workers and did not require employersponsorship or a resident labour market test (Tier 1 General scheme). Since the closure of that scheme, skilled workers must besponsored by their employer and are generally subject to a resident labour market test, with few exemptions.

29 The extent to which the EU Blue Card will open up new opportunities for international students to enter the labour marketin the different countries where it has been or is being implemented is difficult to predict. For example, while the Blue Cardincome threshold in Germany is generally EUR 44,800 and therefore relatively accessible for some international graduates, theconsiderably higher income threshold in the Netherlands (EUR 60,000) and the existence of the comparatively assessable highly-qualified migrant scheme (with an income threshold of EUR 26,931 for international graduates) casts doubt on the degree towhich the Blue Card will be pursued by international graduates there.


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Country reports

3. Country reports

In this section, the legal frameworks governing thepost-study period of international graduates in the

five countries surveyed are reviewed in more detail.While section 2 summarises the pre-study, study andpost-study periods, this section focuses primarily onthe study-to-work pathways in place for internationalstudents. The country reports show that Germany ismoving towards a more liberal regime for internationalstudents, while the UK is taking a number of stepsto make their existing relatively liberal regime morerestrictive. The Dutch framework offers successful inter-national students a comparatively generous regime forprolonging their stay in the country; there are, howev-er, comparatively stringent measures for internationalstudents at point of entry as well as during their stud-

ies. Sweden stands alone as the only country reviewedhere which does not have a post-study scheme or aspecial scheme for highly skilled migrants in place, al-though if students receive a job offer before graduatingthey are not subject to a burdensome labour markettest or skilled job requirement.

3.1 Germany: A non-immigration countryundergoing liberalisation

German policy-makers regularly underline the need forGermany to attract skilled labour and improve its posi-

tion in the international competition for highly quali-fied labour. As a result, policies are being developedthat allow highly qualified migrant workers to enjoy amore favourable regime for entry into and staying inGermany, such as better security of residence and, insome cases, exemption from the labour market testwhen applying for a job. Some of these rules specifi-cally target international graduates from German andforeign universities and aim to encourage them towork in Germany after graduation.

The Immigration Act which came into force in 2005provided a legal framework for the labour market-oriented management of immigration. This included

the introduction of a one-year job-seeking schemefor international graduates of German universities toease their transition into the German labour market.Further changes were introduced in 2007, allowinggraduates of German universities to take up employ-ment in Germany without a labour market test beingapplied. In 2009, the Government implemented theAction Programme Labour migrations contribution tosecuring the skilled labour base in Germany, which

aims to attract more highly skilled/qualified workersfrom abroad to offset the lack of specialists in a num-ber of sectors. This change brought about a reductionin the income requirement for certain highly qualified

specialists. These more favourable rules for enteringthe labour market therefore relate to internationalgraduates; regular migrant workers still ordinarily facea labour market test unless the type of work falls intothe highly qualified category.

Once the entrance requirements are satisfied, non-EU citizens wishing to study in Germany have access toall higher education courses, as well as to courses toprepare for higher studies, such as language classes. Inorder to take advantage of such courses, they must beregistered or have an invitation to register as a studentat the relevant institution. There is no formal contactbetween the immigration authorities and universities

with regard to the acceptance of non-EU students.

Post-study scheme

The post-study job-seeking scheme allows internation-al graduates to stay on in Germany for up to one yearto look for highly qualified employment. Upon gradu-ation, individuals can apply to extend their residencepermits within the framework of this scheme. Thisscheme is intended to be for job-seeking purposes,and graduates are therefore only permitted to worka limited number of hours (the same regulations that

apply to students 90 full days a year).30Graduateswho find a job corresponding to their qualificationsduring the job-seeking period can be granted a changeof status by the Foreigners Authority. If necessary, theForeigners Authority will obtain the approval of theFederal Employment Agency. A labour market test willnot be conducted if the job matches the individualsqualifications, which is a special privilege for interna-tional graduates.

Entering the workforce as an employee

Graduates with a job offer may also enter the labourmarket directly upon graduation. As above, a labourmarket test will not be conducted if the job matchestheir qualifications. However other general pre-con-ditions to obtain a residence permit must be fulfilled,such as proof of a secure livelihood, a valid passportand the same work and pay conditions as compara-ble German employees. Residence permits for workpurposes are generally limited to the duration of the

30 As noted above, new regulations are expected to come into force later in 2012 which would allow graduates to work full-time

and have open access to the labour market during the one-year post-study period (see page 18).


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Legislative timeline in Germany

January 2005 Immigration Act comes into force providing a legal framework for the labour market-

oriented management of immigration and integration measures. Includes a provi-sion allowing international graduates of German universities to remain in Germanyfor one year to find appropriate employment.

August 2007 Implementation of the Students Directive and the Researchers Directive

October 2007 Decree on the Admission of Foreign Graduates to the Labour Market comes into force,abandoning the labour market test for international graduates of German universities.

July 2008 Federal Government Action Programme Labour migrations contribution to secur-ing the skilled labour base in Germany introduced with the aim of attracting morehighly skilled/qualified workers from abroad to counteract a lack of specialists.

January 2009 Labour Migration Control Act implements the Governments 2008 Action Programme,lowering the income limit for certain highly qualified specialists, granting access tothe labour market to graduates of foreign universities and allowing graduates ofGerman universities to work in Germany.

December 2011 Federal Government adopts draft bill to implement the EU Blue Card Directive andease the restrictions on the employment of international graduates during the post-study period (Hochqualifiziertenrichtlinie). Changes in the bill would improve thework and residence opportunities for international students in Germany (full-timeemployment during the post-study period permitted; eligibility to apply for a per-manent residence permit after two years of (qualified) employment (previously fiveyears); no review of employment conditions by Federal Employment Agency).

March 2012 The amendment proposed by the governing parliamentary groups (CDU/CSU andFDP) would further increase the period international graduates have to look for aqualified job from 12 to 18 moths. In addition, international students would be al-lowed to work 120 full or 240 half days a year during their studies.

Overview of study-to-work options in Germany

Post-study scheme(student specific) One year in lengthEssentially a job-seeking scheme

Only a limited amount of work allowed under the schemeMust switch categories in order to take up full-time employment

Entering the workforce asan employee

No labour market test applies if students find a job matching their qualifi-cations, otherwise general conditions apply

Highly qualified scheme No special regulations for international students; they must meet thegeneral conditions (outlined below)Income threshold of 67,200Permanent residence permit granted

Further avenues(not covered)

Residence permit for research purposes; starting up a business;freelancer visa


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Country reports

employment, although a worker who loses his/herjob can stay in Germany until the residence permit ex-pires, unless otherwise stated. If the residence permitis tied to a specific employer or to a specific position,

the worker will need permission from the ForeignersAuthority to change jobs, who must in turn ask theFederal Employment Service for its consent (where ap-propriate). After five years of residence in Germany,the worker may apply for a settlement permit or EClong-term residence permit. He/she can count half thetime spent as a student towards the five-year eligibilityrequirement. The bill to implement the EU Blue CardDirective in Germany (Hochqualifiziertenrichtlinie)would also allow international graduates to be eligiblefor a permanent residence permit after two years ofqualified employment in which they have paid contri-butions to statutory pension insurance.

Entering the workforce as a highly qualifiedemployee

Individuals who secure highly qualified work can ob-tain permanent residence immediately through thegranting of a settlement permit, unlike general work-ers who must wait five years before applying. Whilethis status is ordinarily only available to migrants with

jobs attracting a minimum salary of EUR 67,200 ayear,31the threshold can be lowered for scientists withspecialist knowledge, teaching personnel or outstand-

ing researchers. It is not necessary for a labour markettest to be conducted. Settlement permits for the pur-pose of employment as a highly qualified worker aregranted for an indefinite period of time. In the eventof unemployment, the highly qualified employee canstay in Germany unless otherwise stated. Special regu-lations do not exist for international graduates wishingto transfer directly to this category upon graduation orduring the job-seeking period. If implemented, the EUBlue Card Directive would require a minimum incomeof EUR 44,800 a year and holders of the card can ap-ply for a permanent residence permit after paying twoyears of statutory pension insurance.

3.2 France: Mixed messages forinternational students

The French university registration procedure aims toattract high quality students residing abroad to followhigher education courses in France. To meet this goal,Campus France (formerly Edu France) was created in

March 2007. It aims to promote French higher educa-tion and training throughout the world, and has morethan 100 offices in 75 countries.

More and more international students are staying

on in France after they graduate, with the percentagerising from 21.7 per cent in 2002 to approximately32 per cent in 2008. This trend has been facilitatedto a certain extent by the introduction of a post-study

job-seeking scheme in 2008, which allows graduateswith a degree at masters level or higher to stay for sixmonths to look for full-time employment. No labourmarket test applies on the condition that the graduatereceives a salary greater than 1.5 times the nationalminimum wage and chooses a profession related tothe studies pursued. Graduates can also remain inFrance by switching immediately to another categoryof migrant and obtaining the necessary permit; these

include the Skills and Talents residence permit, theresidence permit for researchers or a regular temporaryresidence permit for employees.

Notwithstanding these options in law, a ministerialdecree issued in May 2011 (thecirculaire du 31 mai,commonly referred to as the circulaire Guant, afterthe French Minister of the Interior) directs relevant im-migration authorities (the prfectures) to rigorouslycheck status change requests from student to employ-ee, particularly when looking at the requirement thatthe job be appropriate to the studies undertaken. It alsoemphasises that the main aim of international studentsshould be to return home and use their skills to the

benefit of their countries. However, following large-scale student protests against the Decree, the Ministerpromised to clarify its scope by way of regulation.

International students can come to France to studyin any public or private higher education institution.Those that need to pass an entrance exam can get ashort-term visa for this purpose and, if successful, donot have to return home to complete their application.In order to receive the necessary permit, internationalstudents must prove admission (or pre-admission) tothe relevant institution; there are then two differentprocedures depending on student situation and studylevel. International students do not need to show pay-

ment of tuition fees, which in any case are relativelylow for public institutions.

Post-study scheme

International graduates with a degree at masters levelor higher from a university in France can remain onFrench territory for six months to look for employment.

31 The amendment to the draft bill proposed by the governing parliamentary groups (CDU/CSU and FDP) would abolish this provisi-on. Instead, holders of a Blue Card would be given permanent residency after three years (or two years with proof of proficiency

in German at the B1-level).


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FORSCHUNGSBEREICH

Legislative timeline in France

March 2005 Code on the Entry and Residence of Foreigners and the Right of Asylum (CESEDA)

comes into force. It has been amended three times since its adoption.

July 2006 First amendment of CESEDA incorporated the idea of selective immigration to takeaccount of Frances socio-economic needs. International graduates with a degreeat masters level or higher can stay in France for up to six months to look for a job.Adoption of the Students Directive and the Researchers Directive

July 2007 International students can work while studying in France without having to requestpermission from relevant authorities.

Nov 2007 Second amendment of CESEDA: stricter family reunification and integration rules

May 2011 Ministerial Decree: stricter control on the appropriateness of the job to the studiesundertaken when assessing change of status requests from student to employee

July 2011 Third amendment of CESEDA implements the EU Blue Card Directive

Overview of study-to-work options in France

Post-study scheme

(student specific)

Six months in duration

Must have a masters degree or higher to applyEssentially a job-seeking schemeOnly a limited amount of work allowed under the schemeGraduates must switch categories to take up full-time employment

Entering the workforce asan employee

If switching from post-study scheme, no labour market test will apply if thejob matches their studies and attracts a salary 1.5 times the minimum wage;otherwise general conditions applyNo labour market test is applied if job is on the in demand list.

Highly qualified schemeSkills and Talents

No special regulations for international students; they must meet the gen-eral conditions which include the presentation of career plan, documenta-

tion showing its beneficial effect for France and the country of origin, andsufficient proficiency in French or the commitment to learn it over a periodof two years.Labour market test does not applyPermit granted for three years and is renewable

Further avenues(not covered)

Research/scientific permit; EU Blue Card


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Country reports

In order to do so, they must apply for a temporarypermit four months before their student residencepermit expires. They are permitted to work during thissix-month period; the same conditions apply as those

that apply to employment during studies, that is, amaximum of 964 hours a year. Graduate job-seekersare authorised to start working full-time if they find a

job that fits with their studies and the salary is at leastequivalent to 1.5 times the minimum wage. Within 15days of signing the employment contract, a requestfor change of status from student to employee mustbe submitted at the prefecture with jurisdiction overtheir place of residence. It is not necessary to conduct alabour market test. The temporary residence permit foremployment purposes issued to international gradu-ates is only valid for their first job and can be reneweduntil this comes to an end. International graduates who

subsequently wish to change jobs will be subject tothe same procedure as usually applies to other non-EUnationals, which may include a labour market test. TheMinisterial Decree of 31 May 2011 specifies that thesegraduates should not enjoy more favourable treatmentthan other migrants when applying to change jobs.

Entering the workforce as an employee

An international graduate wishing to continue work-ing in France as a temporary employee or to obtaina Skills and Talents permit without passing through

the six-month graduate scheme outlined above willbe subject to the same procedure as usually appliesto non-EU nationals looking for an equivalent workerstatus. This may arise in the event that the graduateis ineligible for the post-study scheme (i.e. does nothave a degree at masters level or higher) or cannotfulfil the required conditions (i.e. is unable to find a joboffering 1.5 times the minimum wage that is relevantto his/her studies).

International graduates can submit a request tochange status from student to temporary employeeupon graduating if they have a job contract or an offerof a job in France. When considering the application,

the government will assess a number of factors in-cluding the graduates background and the durationof their studies in France. A labour market test will beconducted if the job is not on the in demand list. Ifthe graduate succeeds in obtaining authorisation towork, eithe

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