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“More part-time work leads to more immigration”

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Population growth“More part-time work leads to more immigration”

Is the local population the big loser from increasing immigration? It depends, say economists. Some profit from it, but others feel the pressure of competition.

Switzerland will pass the bar of 9 million inhabitants in 2023.

20min/Matthias Spicher

Switzerland should cross the bar of nine million inhabitants This year. In the face of rapid population growth, many are asking – once again – the question: is immigration really worth it? In other words: does the local population benefit if around 74,000 people arrive in the country each year? It depends, say the economists in the “SonntagsBlick”. Anyone who owns land or a house is among the winners. “Due to the increase in demand, the value of land and real estate has multiplied,” explains Michael Siegenthaler, labor market expert at the Swiss Economic Institute (KOF) of ETH. Companies that have hired immigrants and thus been able to develop new products have also benefited. This also benefits the employees of these companies, for example in the form of salary increases. In the end, the winners are
the immigrants themselves, whose incomes have increased.

The flip side

The losers mostly live across the border. “A study shows that the emigration of nurses and doctors has had a negative impact on the quality of care in hospitals in southern Germany,” notes Michael Siegenthaler. Another loser – silent this one – is land in Switzerland: immigration is indeed accompanied by a loss of land. Added to this is the pressure on rents. Those who do not own a home face rising rents. There are also losers in the labor market, according to the Zurich economist. “A study in Ticino has shown that wages are under pressure
because of competition from Italian cross-border workers.”

Our prosperity, one of the drivers of immigration

And what does immigration mean for the general population? “We have gained in free time in recent years. We work less, but we produce as much,” analyzes Michael Siegenthaler, referring to gross domestic product (GDP) per capita. Indeed, the number of hours worked per inhabitant has fallen markedly over the past 30 years: the Swiss work more part-time, have more holidays – and the number of pensioners in the total population is increasing. Our prosperity is therefore one of the engines of
immigration. “Because we work less, we need more employees,” continues the Zurich economist. To put it bluntly: more part-time work leads to more immigration.”

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