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How did EU Eastern enlargement affect migrant labor supply in Austria?

Author

Listed:
  • Julia Schmieder
  • Andrea Weber

    (University of Mannheim)

Abstract

In this paper, we study the employment of workers from Central, Eastern and Southeastern European (CESEE) EU Member States in Austria after the Eastern enlargement of the European Union. To prevent a sudden rush of immigrants into the labor market, Austria opted for a Transition period during which immigration remained restricted. We will show that these restrictions had the anticipated effect; while the stock of workers from the new CESEE Member States increased slowly in Austria during the transition period, the trend became markedly steeper after the introduction of free labor market access. Between 2003 and 2016, the stock of workers from CESEE EU Member States in Austria increased fourfold by about 185,000 individuals. The largest immigrant groups are from Hungary, Romania and Poland. A large share of migrant workers are employed in seasonal industries and in border regions closest to their home countries.

Suggested Citation

  • Julia Schmieder & Andrea Weber, 2018. "How did EU Eastern enlargement affect migrant labor supply in Austria?," Focus on European Economic Integration, Oesterreichische Nationalbank (Austrian Central Bank), issue Q3-18, pages 113-121.
    • Handle: RePEc:onb:oenbfi:y:2018:i:q3-18:b:10
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    File URL: https://www.oenb.at/dam/jcr:0eae40d5-44b7-41a6-8228-8d56d696fadb/10_How_did_EU_Eastern_enlargement_feei_2018_q3.pdf
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    References listed on IDEAS

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    3. Klaus Prettner & Alfred Stiglbauer, 2007. "Effects of the Full Opening of the Austrian Labor Market to EU-8 Citizens," Monetary Policy & the Economy, Oesterreichische Nationalbank (Austrian Central Bank), issue 4, pages 50-66.
    4. Peter Huber & Herbert Brücker, 2003. "Auswirkungen und Ausnutzung von Übergangsfristen für die Freizügigkeit der Arbeitskräfte nach der EU-Erweiterung," WIFO Studies, WIFO, number 24640.
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      • Josef Zweimüller & Rudolf Winter-Ebmer & Rafael Lalive & Andreas Kuhn & Jean-Philippe Wuellrich & Oliver Ruf & Simon Büchi, 2009. "Austrian Social Security Database," NRN working papers 2009-03, The Austrian Center for Labor Economics and the Analysis of the Welfare State, Johannes Kepler University Linz, Austria.
    6. Christian Dustmann & Tommaso Frattini, 2014. "The Fiscal Effects of Immigration to the UK," Economic Journal, Royal Economic Society, vol. 124(580), pages 593-643, November.
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    Cited by:

    1. Stefan Schiman, 2021. "Labor Supply Shocks and the Beveridge Curve: Empirical Evidence from EU Enlargement," Review of Economic Dynamics, Elsevier for the Society for Economic Dynamics, vol. 40, pages 108-127, April.
    2. Alfred Stiglbauer, 2020. "EU-Mitgliedschaft, EU-Erweiterung und die Auswirkungen auf den österreichischen Arbeitsmarkt," Monetary Policy & the Economy, Oesterreichische Nationalbank (Austrian Central Bank), issue Q1-Q2/20, pages 75-88.
    3. Hannah Illing, 2023. "Crossing Borders: Labor Market Effects of European Integration," ECONtribute Discussion Papers Series 221, University of Bonn and University of Cologne, Germany.
    4. Illing, Hannah, 2023. "Crossing Borders: Labor Market Effects of European Integration," IZA Discussion Papers 15930, Institute of Labor Economics (IZA).

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    More about this item

    Keywords

    EU Eastern enlargement; free movement of labor; Austria;
    All these keywords.

    JEL classification:

    • J61 - Labor and Demographic Economics - - Mobility, Unemployment, Vacancies, and Immigrant Workers - - - Geographic Labor Mobility; Immigrant Workers
    • O52 - Economic Development, Innovation, Technological Change, and Growth - - Economywide Country Studies - - - Europe

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