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The report also shows that professionals in Latin America and the Caribbean are showing the greatest interest in finding a virtual mobility opportunity globally and that openness to teleworking remains very high in the region.
Chilean engineer Cristian Carafí, Managing Director and Partner at BCG, highlights the universe of possibilities that this offers and also analyses the impact of the arrival of Artificial Intelligence in the global working world.
–Amid concerns about geopolitics and automation, there are 800 million professionals worldwide looking for work abroad. Is this good or bad news?
Cross-border migration plays a key role in addressing the global talent shortage. For example, according to The Stepstone Group, demand for talent outstrips supply in the United States and Germany by 2.74 million and 545,000 people, respectively. Meanwhile, BCG found that labor shortages currently cost economies more than $1 trillion a year.
Furthermore, contrary to the belief that the countries of origin of people who decide to leave are harmed by the “brain drain,” the Center for Global Development gives us a different perspective: departures can promote the diffusion of knowledge and technologies in the countries of origin and can help them better connect with the world.
Additionally, according to the World Bank, in 2023, emigrants sent US$ 669 billion to family and friends, reducing poverty and improving economic stability in their countries of origin.
Many workers still prefer teleworking.
–Do you think this trend of labour mobility will increase? Will more and more people look for work outside their countries?
According to BCG’s “Decoding Global Talent” study, in 2023 this trend increased by two percentage points, to 23%, compared to the last time we did it in 2021, when 21% of people surveyed said they were actively looking for work abroad.
Working in a different country can offer unique experiences and opportunities, and open doors to new possibilities for professional growth, making it attractive to workers, especially young people and those from countries with rapidly growing populations.
Looking ahead, we believe this trend will continue to increase: given the rise of the digital economy, we can expect an increasing mobility of skilled talent to meet this demand.
–The study reveals that the decision to seek work abroad is most strongly felt in regions with a labour surplus, such as the Middle East and Africa. What difficulties do these populations face, considering factors such as long commutes and discrimination?
According to this report, people consider moving primarily for opportunities for economic and professional growth. They want to build their professional future through higher income, expanded work experience and career advancement.
Motivations for migrating for work differ by age and region of origin. Differences in the latter suggest that cultural factors are important. For example, respondents from South Asia and sub-Saharan Africa prioritize career development the most, followed by educational and training opportunities.
At a global level, this study also investigates the reasons why workers do not consider moving abroad, mainly due to personal considerations. The reasons for staying include not being able to take their family or partner with them when moving, a strong emotional attachment to their current country, and the cost of relocation and moving.
– What findings surprise you most about Latin America?
At a regional level, there are several findings that we can highlight. Regarding the destinations chosen for migration, the United States and Canada appear as the two first options. However, unlike what happens at a global level, Spain appears as the third favorite place for Latinos, mainly due to the shared language.
As for the reasons for migrating, financial and economic reasons, a better quality of life in general, personal growth and cultural experience, career considerations and a specific job offer are the five most cited by people in our region.
It is also interesting to note that people from Latin America and the Caribbean are showing the greatest interest in finding a virtual mobility opportunity globally. Specifically, 82% of Latin respondents said they were willing to work for a foreign employer without a physical presence in their country.
Chilean engineer Cristian Carafí, Managing Director and Partner at BCG.
-The world’s major economies are facing a severe shortage of people. How can labour mobility be leveraged to reduce this gap?
The rise of business models based on data, technology and digital has created a need for employees with new capabilities to address these challenges. Given the changing and rapid growth, this talent shortage is becoming more acute.
Job mobility is a great opportunity for people with these skills to find very attractive opportunities, which creates a win-win for the worker and the company.
– Should labour mobility be encouraged? Why?
At BCG, we believe that people’s talent and opportunities for development should be encouraged. Job mobility is one of the factors that can influence the development of new skills, as well as the enrichment of diversity and inclusion in companies.
– What role should companies and organizations adopt in the face of this reality?
At BCG, we recommend adopting a comprehensive global talent strategy to actively attract, support, and integrate job seekers. This involves several areas. First, in the planning area, talent needs must be anticipated and an international placement strategy developed. Second, in attraction and recruitment, companies must refine their value proposition to reach new audiences and promote international recruitment channels. Third, in terms of the immigration process, it is important to offer extensive support for relocation and to integrate new employees and their families. Finally, during onboarding, it is crucial to ensure an inclusive and international work environment.
– To what extent should companies question their own prejudices and look for talent in markets and regions they had not previously considered?
Rather than questioning prejudices, I would talk about opportunities. An overwhelming majority (92%) of global employer leaders indicated that attracting and retaining talent is among their top three priorities.
Organizations need to identify what talent profiles they need, how many, and when. They should forecast talent gaps two to three years in advance. Gaps that are difficult to fill with the local workforce are the best candidates for international recruitment.
The next challenge is determining where to find the necessary talent. The availability of the necessary talent profiles is, of course, a key factor. But employers must also consider how motivated that talent is to move to a particular market and why. Other countries can be a great source of talent.
– What does the current reality of labour mobility tell us about how the future of work could evolve?
Beyond labor mobility, we believe that the biggest impact on the future of work is the entry of a new competitor: generative artificial intelligence. This requires both workers and companies to reconsider their role and the capabilities they must develop to remain competitive in this new context.
This new scenario presents a major challenge, as it implies a significant change in the way companies must approach their development and training programs. In addition, educational institutions must also adapt to this reality, reviewing and updating their curricula to ensure that students are prepared for the future of work. Collaboration between the educational sector and companies is crucial to align training with market needs. All actors must reflect on these changes and proactively adapt to ensure a workforce prepared for future challenges.
– Does this trend towards job mobility mean that professionals no longer prefer teleworking? How are the two concepts related?
No, on the one hand, we detected a trend towards labour mobility. However, the report also highlights an openness of 82% of people surveyed in Latin America to work for a foreign employer without a physical presence in the country. This percentage has only increased from 57% during the pandemic, to 66% during 2021 and 82% in the last study. Therefore, we can affirm that in our region there is still a very high openness to teleworking.
– There is a lot of talk these days about the advancement of artificial intelligence and its impact on jobs. How much weight does it have in the debate about the future of work?
The advancement of artificial intelligence (AI) is generating significant debate about the future of work. This topic is crucial for workers looking to adapt their skills, either to protect their current position or to better position themselves in the labor market. AI and other emerging technologies are rapidly changing the skills and competencies required by companies, leading employees to want to learn new skills that respond to these needs. Thus, in the second part of the study “Decoding Global Talent” it was found that 57% of workers globally would be willing to retrain (reskilling).
Adapting to new technologies is not only a response to a personal interest in professional development, but also a business demand. Companies are looking for workers who can manage and complement these technologies, which is redefining what skills are considered valuable.
Companies need to reconsider their development and training programs to prepare for this new competitor in the labor market: artificial intelligence. This implies a deep reflection on what skills to develop and invest in to maximize the use of these technologies. Educational programs must also evolve to prepare students and workers for this new competitive context.
In short, the impact of artificial intelligence on work is a central theme in the debate on the future of work. The need to continuously learn and adapt to new technologies is essential for both employees and companies, which must embrace this change to remain competitive and attractive to future talent.
