The 2nd Global Forum on Migration and Development (GFMD) comes at a time when world economies are facing financial meltdown which threatens the employment of millions of migrant workers overseas, a Philippine business leader said.

“There is disturbing news of countries closing their doors to migrants in order to reduce domestic unemployment. This may lead to another era of protectionism and extreme nationalism which, in turn, may often degenerate into intolerance of differences in race, color, or religion. Any downturn in the important economies around the world will result in dislocations which will reverberate throughout the world and will impact the lives of migrants,” said Jaime Augusto Zobel de Ayala, chairman and chief executive order (CEO) of the Ayala Corporation.

Ayala said the forum is an opportunity to review past achievements and analyze present issues to find “the ideal world order that we all seek—voluntary migration fosters global development and global development reduces the factors that impel forced migration.”

Ayala is also the co-vice chairman of the Ayala Foundation, which is hosting the 2nd GFMD’s Civil Society Days from October 27 to 28.

Representatives from more than 170 United Nations (UN) member-countries convened in Manila for the two-day Civil Society Days forum to discuss a wide range of topics on “Protecting and Empowering Migrants for Development.”

Ayala is confident that the delegates’ understanding and global and local perspectives will generate suggestions and recommendations for the inter-governmental forum on Wednesday.

A big factor in RP

Migration, he said, is an important issue to the country and its people since millions of Filipinos have gone overseas to seek employment.

“Today, it is estimated that around 8-10 million Filipinos or about 10 percent of our population, live outside our country,” he said.

The issue of migration poses several challenges to the country in terms of balancing the positive effect of migration with its social and economic costs.  Positive effects refers to remittances, mitigation of unemployment, the inflow of new ideas, and the expansion of the middle class, while the social and economic costs are about the children left behind, the loss of family values and the brain drain," Ayala said.

“We therefore look forward to engaging all of you in searching for our own country’s long term plan to maximize the benefits of migration while at the same time minimizing its social and economic costs,” he said.

He cited that last year’s remittances reached US$15 billion and provided significant stimulus to our economy.

“It represents our second-largest foreign exchange inflow after manufactured exports, reflecting both the value and vulnerability of our local economy. It has strengthened the peso, bolstered our international reserves, created a stronger demand for everything from homes and cars to appliances and other consumer goods,” he said.

According to Ayala, migration has made it possible for unemployment and underemployment rates in the country to stay at tolerable levels.

Social costs

He deemed as a “real crisis” the issue of brain drain, one of the social costs of migration that needs to be addressed. He said those who leave the country for jobs abroad are of the most productive age group with training, experience and supervisory skills.

“This has resulted in a diminished capacity and has lowered the quality of service in critical areas such as health care and education. It is estimated for example that about 100,000 nurses left the Philippines between 1994 and 2003,” he said.

Migration also has social effects on those left behind. He said that around 60-70 percent of OFWs are women leaving their children behind. These children suffer neglect, abuse or maltreatment.

“The long periods of separation often result in broken homes. Overseas, the migrants themselves may suffer loneliness, discrimination, or abuse,” added Ayala.

Role of business

The Philippine business community showed interest on the issue of migration and development because they are also the beneficiaries of migration. He said remittances have strengthened the banking system and spurred local consumption as well as helping telecommunications companies and the real estate sector.

“We believe that the private sector—together with civil society and governments and multilateral institutions—has an important role to play in finding solutions to problems that beset the country, and that certainly includes the negative effects of migration. I believe it is in everybody’s best interest to offer specific recommendations for action to all sectors in the business community,” said Ayala.

As the challenge for global corporations is to find the best talent in the world, Ayala said it is in their “best and mutual interest to make sure that this continues to happen in ways which serve global economic development and growth.”

The businessman said the GMFD is a chance in finding a global agenda on migration and development that will be mutually beneficial for all concerned.