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Scroll.in
3 days ago
- Business
- Scroll.in
Immigrant labour has made outsize economic contributions to the world's wealthiest countries
As anti-immigration rhetoric surges across Europe and the United States, it is vital that we look beyond the fearmongering and analyse what is really going on. While human mobility is often presented as a burden, the truth is quite the opposite. It is an essential driver of economic growth, demographic resilience and cultural cohesion. Ignoring this fact is not just a miscalculation – it flies in the face of both empirical evidence and the democratic principles that modern societies claim to defend. Migration is also not a 21st century anomaly. From the Mediterranean diasporas of antiquity to the mass migrations of the 20th century, human history has been defined by movement. City-states, colonial empires and modern nation-states have been built – and rebuilt – through the movement of people, languages, knowledge and goods. Presenting human mobility as a threat ignores this historical pattern, and tries to turn the exception – isolation – into the rule. Any political discourse that presents migrants as intruders, rather than as potential citizens or economic agents, is a dangerous distortion, not only in moral but also in strategic terms. Migration drives economies In 2016, an analysis by the McKinsey Global Institute drew some compelling conclusions. While migrants accounted for only 3.3% of the global population in 2015, they generated 9.4% of global gross domestic product that year – about $6.7 trillion. In the United States alone, their contribution amounted to about $2 trillion. More recent studies confirm this. The International Monetary Fund (IMF) estimated in 2024 that net migration flows to the eurozone between 2020 and 2023 – including millions of Ukrainian refugees – may raise the region's potential GDP by an additional 0.5% by 2030. This is not a marginal amount, as it represents roughly half of all expected potential growth. Without migration, Europe's economic horizon would be considerably more limited. Workers, innovation, growth In the US, more than 31 million immigrants were part of the labour market in 2023 – 19% of the total, according to the Council on Foreign Relations. Their participation rate (meaning the percentage of the working-age population that is active in the labour market) was 67%, compared to 62% of native-born workers. This difference signals a disproportionate contribution to tax revenue, domestic consumption and economic dynamism in general. Statistics also show that immigrants do not compete on a level playing field: they tend to work in physically demanding jobs, or in those that are not covered by locals. This reinforces the idea that they complement, rather than substitute, native-born workers. This role becomes even more significant in contexts of full employment or population ageing. Migration and innovation Migration brings not only workers, but also new ideas. According to the World Economic Forum, immigrants to the US are 80% more likely to start new businesses than native-born people, and more than 40% of Fortune 500 companies were founded by migrants or their descendants. This pattern is repeated in academia and technology: a significant proportion of patents filed in the United States have at least one foreign inventor. The country's leading universities also depend on international students to sustain their science, technology, engineering and mathematics programmes. In other words, closing borders means closing the door to innovation. In the European Union, their impact is no less significant. According to the 2024 IMF report, between 2019 and 2023, two thirds of new jobs were filled by non-EU migrants. These statistics refute the idea that migrants 'steal jobs'. On the contrary, they fill structural vacancies that neither automation nor the internal market has been able to fill. Moreover, the OECD warned in 2025 that if more women, older people and immigrants are not brought into the labour market, GDP per capita growth in member countries could fall from 1% per year (2000-2020) to a meagre 0.6% by 2060. Conversely, a more inclusive migration policy could add at least 0.1 percentage point to annual growth. Sending money home The 2024 World Migration Report confirmed that global remittances – immigrants sending money to family members in their country of origin – reached $831 billion in 2022, a growth of more than 650% from 2000. This far exceeds official development assistance and even, in many cases, foreign direct investment. However, they perform a similar function – remittances are mainly invested in health, education and housing. They are, in effect, a global redistribution of wealth that does not pass through any multilateral system. For the people who receive them, their impact is stabilising, and profoundly humane. Looking forwards This is not just a question of economics. When political and social rhetoric starts to exclude those perceived as outsiders, it undermines their capacity to adapt and change. Ignoring the evidence comes at a great cost, which can be summarised in three areas: Economic losses: reduced immigration means giving up a structural source of growth, innovation and fiscal sustainability. Social instability: anti-immigration discourse feeds the stigmas that fracture coexistence and weaken social cohesion. Geopolitical weakness: less immigration means losing influence in a world increasingly defined by intense competition for talent and human capital. The good news is that there are tried and tested solutions. From streamlining professional accreditation processes to regional migration coordination systems, there are already tools available to governments. The challenge is a political and, above all, narrative one. Public opinion – which is shaped by political rhetoric – needs to recognise and embrace the value of human mobility as part of our contemporary social contract. As the World Economic Forum rightly points out, migration is not a problem to be solved, but a strategic asset to be managed intelligently and humanely. To underestimate it is to undermine the foundations of global development in the 21st century.
ME Construction
16-07-2025
- Business
- ME Construction
ALEC achieves BIM Kitemark recertification for third consecutive year
Technology ALEC achieves BIM Kitemark recertification for third consecutive year By The contractor said that, over the past year, it has continued to advance its innovation agenda Contractor ALEC has announced that it has achieved BIM Kitemark recertification from BSI for the third year in a row. The move is said to underscore its commitment to digital excellence and best-in-class information management practices aligned with the ISO 19650 series of standards. Analysis by McKinsey Global Institute (MGI) shows that investing in technology and innovation is one of the key factors in boosting the construction sector's productivity by up to 60%. Against this backdrop, ALEC continues to strengthen its position at the forefront of industry transformation, the firm said in its statement. Barry Lewis, CEO at ALEC commented, 'Innovation is part of our DNA, and securing this BIM recertification for a third consecutive year highlights how deeply embedded our digital-first mindset has become. We see enormous growth potential in the region, particularly in the UAE and Saudi Arabia, and our ongoing investments in innovation and digital excellence enable us to remain agile, deliver the highest quality projects, and capitalise on these opportunities.' The BIM Kitemark, issued by BSI, is recognised globally as one of the most rigorous certifications for information management using Building Information Modelling (BIM). To recertify, ALEC had to undergo a detailed audit, demonstrating its ability to meet client information requirements with accuracy and consistency, foster strong supply chain collaboration, and deliver against the ISO 19650 framework. ALEC's success in this undertaking signals to the market its ability to lead digital transformation in construction while helping raise the bar for the wider industry, the company revealed. 'We see this recertification as another step on a much broader journey. The regional industry has made great strides in BIM adoption, but there's still a gap to bridge to reach the next level of utilisation and maturity in line with international standards. At ALEC, we're committed to helping close that gap, not just within our own projects but also by leading by example and encouraging our partners and clients to embrace a digital-first mindset,' remarked Andy Boutle, Head of Digital Construction at ALEC. ALEC said that, over the past year, it has continued to advance its innovation agenda through a clear and structured innovation strategy, underpinned by a dedicated digital strategy and IT strategy. A key pillar of this strategy is technology and automation, which sees the company continuously exploring the integration of technology and data-driven approaches to drive innovation, efficiency, and competitive advantage, the firm said. Recent initiatives include the deployment of a new ERP platform to digitalise internal processes, further use of HoloBuilder and implementing 'Resolve', a new VR technology that integrates with Revizto's issue tracker. Alongside this, the continued uptake of Morta is helping ALEC to use and reuse structured data to not only standardise and digitalise ISO 19650 documentation, but also wider project-related tracking across risks & opportunities, design change, procurement and other key functions, ALEC explained. 'In the months ahead, we'll continue to focus on building seamless interconnectivity between our digital solutions, creating a more data-driven, efficient, and sustainable way of delivering projects,' Boutle concluded.
The Hindu
14-07-2025
- Business
- The Hindu
Women, STEM careers and a more receptive industry
Every year on July 15, as we observe World Youth Skills Day, we are reminded that skills development is fundamental to reducing unemployment and promoting decent work. India faces a critical paradox: 43% of India's STEM graduates are women, the highest proportion among major economies globally. Yet, women represent only 27% of the STEM workforce, limiting women's access to career opportunities offered by the STEM sector. According to the Periodic Labour Force Survey (PLFS) 2023-24, India's overall female labour force participation rate (FLFPR) has risen to 41.7%, a meaningful jump after years of stagnation. However, the increase is sharper for rural women (47.6%) than in urban areas (25.4%), reflecting barriers in formal employment, workplace safety, and societal expectations. In STEM, the paradox is more pronounced. According to the UNESCO Institute for Statistics (2021), only 31.5% of researchers worldwide are women. This education-employment gap reflects systemic barriers that industry is uniquely positioned to address. The economic stakes are clear. According to estimates by the McKinsey Global Institute, enabling 68 million more women to participate in India's workforce could boost India's GDP by up to $700 billion by 2025. Similarly, the World Bank suggests that achieving a 50% female workforce participation rate could elevate GDP growth by 1%. Government vision and STEM skilling The New Education Policy (NEP) 2020 paved the way for higher retention and opportunities in the fields of STEM. The nodal Ministry of Education (MoE) has integrated education with skills development and life skills training. The Government's renewed focus on revitalising Industrial Training Institutes (ITIs) and expanding vocational skilling is bringing high-quality technical education and training closer to villages and small towns, ensuring broader access for youth across rural India. This progress aligns with the Prime Minister's vision of Viksit Bharat (or developed India), where women's economic mobility forms the cornerstone of inclusive development. The share of the gender budget in the total national Budget has increased from 6.8% in 2024-25 to 8.8% in 2025-26 with ₹4.49 lakh crore in allocation toward gender-specific programmes. Further, the Union Budget 2025-26 introduced term loans for women entrepreneurs, new National Skill Training Institutes, and investments in technology-driven skilling. India's policy framework, from Skill India to Digital India, and from 'Beti Bachao, Beti Padhao' to PM Vishwakarma Yojana, has the right intent. However, government policy alone cannot bridge the education-employment gap. Industry must transform from passive recruiter to active enabler of women's career transitions. Industry as the missing link Industry plays a critical role in bridging the gap between skilling and employment, especially for women. Persistent social norms, such as the belief that 'mechanical means masculine' or that 'coding isn't for girls', continue to create invisible barriers for skilled women entering technical fields. These stereotypes are well-documented in multiple studies, including those by the World Bank and UNESCO, which highlight how gendered perceptions limit women's participation in STEM and technical trades. Evidence also shows that women do not leave STEM fields due to a lack of ability, but instead because workplaces are often unwelcoming, families lack awareness of career opportunities, and roles remain deeply gendered. Addressing these perceptions, alongside ensuring workplace safety, equitable pay, and support for career transitions related to marriage, childbirth, and caregiving, is key to unlocking the full potential of the workforce. India's private sector is increasingly stepping up, with many companies championing structured mentoring programmes, industry-linked training initiatives and partnerships with educational institutions to create direct pathways from classrooms to careers. One such initiative is the UN Women's WeSTEM programme, being implemented in collaboration with the Governments of Madhya Pradesh and Gujarat, and supported by the Micron Foundation. This programme provides access to skills and bridges the talent gap. By engaging families and community leaders, conducting workplace safety sessions, and introducing women role models in classrooms, the programme recognises that skill-building requires a shift in mindsets to be effective. A blueprint for industry leadership Industry partnerships with educational institutions, mentorship networks linking professionals with students, and workplace policies that accommodate life transitions and ensure safety, can bridge the education-employment gap. The question is not whether India can afford to invest in women's STEM careers. It is whether industry can afford not to. By equipping women and girls with the skills and training needed to succeed in STEM fields, we can create a more inclusive and robust society. When a woman earns, her voice and impact echoes across dinner tables, shop floors, policy rooms and entire industries. And in that voice lies the blueprint of a future ready India. Kanta Singh is the Country Representative, a.i. at UN Women India and is a part of Team UN in India. Antara Lahiri is the Director, Micron Foundation, Asia and Europe. Micron Technology and the Micron Foundation focus on expanding access to STEM education and pathways to high-tech careers of the future.
The Hindu
11-07-2025
- Business
- The Hindu
View India's Gender Gap Report ranking as a warning
India is now a global economic power, a digital innovator, and home to the world's largest youth population. But the World Economic Forum's Global Gender Gap Report (2025) is a sobering reminder that when it comes to gender equality, India remains far behind. Structural issues India ranks 131 out of 148 countries, with particularly low scores in economic participation and health and survival — the pillars essential for meaningful gender parity. These are not just social indicators. They are signs of a structural failure holding back national progress. Despite progress in educational attainment, India continues to struggle in ensuring women's health and autonomy. The report shows that India's sex ratio at birth remains among the most skewed in the world, reflecting a persistent son preference. The healthy life expectancy for women is now lower than men's. Such outcomes point to chronic neglect in reproductive health, preventive care and nutrition, especially for women from lower-income and rural backgrounds. Increased Budget allocations for health, especially at the primary care level, are a necessity to improve women's well-being and their access to basic services, such as education and health care. Without good health, economic inclusion becomes impossible. Nearly 57% of Indian women in the 15 to 49 age group are anaemic — as reported by National Family Health Survey (NFHS)-5 — which reduces their ability to learn, work, or carry pregnancies safely. Such a widespread and correctable issue is emblematic of the broader failure to treat women's health as a national development priority. India ranks 143rd on the Economic Participation and Opportunity subindex. Women continue to earn less than a third of what men do, and female labour force participation remains stubbornly low. The McKinsey Global Institute, in 2015, had projected that closing gender gaps could add $770 billion to India's GDP by 2025. Yet, in 2025, India appears to have lost out on the opportunity. At the current pace of progress, it may take over a century to close the global economic gender gap — and India lags behind even that trajectory. A sidelining This is not just about employment numbers. Women remain busy in informal and subsistence work and are grossly under-represented in decision-making spaces — from boardrooms to budget committees. The result is a policy ecosystem that repeatedly sidelines women's lived realities. The burden of unpaid care work continues to be a major drag on women's time and agency. Indian women perform nearly seven times more unpaid domestic work than men, as highlighted by the Time Use Survey. Yet, this critical labour remains invisible in national accounting and underfunded in public policy. Investing in care infrastructure such as childcare centres, elder care services and maternity benefits would not only ease this burden but also enable millions of women to enter or re-enter the workforce. The vacuum in these services reflects both a gender and an economic blind spot. Central and State governments must begin to account for unpaid care work in their economic and social policy frameworks through time-use surveys, gender budgeting, and direct investment in care infrastructure. India can look to countries such as Uruguay and South Korea, which have begun integrating care economies into their development plans, with positive results. Supporting senior citizens India is at a demographic turning point. While it continues to draw benefits from a young population, its percentage of senior citizens is expected to nearly double by 2050, reaching close to 20% of the population. This demographic shift will predominantly comprise very old women, especially widows, who often experience high dependency. At the same time, fertility rates have already fallen below replacement level, as noted in the NFHS-5. This means that the working-age population will shrink and the care needs of the elderly will rise. The only way to sustain economic growth in this context is to ensure women — half the population — are healthy, supported, and economically active. Gender equality is no longer just a rights issue. It is a demographic and economic necessity. If women continue to exit or be excluded from the workforce, the dependency ratio will rise even faster, placing greater strain on fewer workers and undermining fiscal stability. Reversing this trend demands integrated policies that connect health, labour and social protection. India does not lack frameworks or ambition — the slogans are there. What is required is real investment: in public health systems that prioritise women's needs; in care services that redistribute unpaid work, and in policies that see women not as beneficiaries, but as builders of the economy. The Global Gender Gap Report is not just a ranking. It is a warning: unless India treats gender equality as central to its economic and demographic future, it risks squandering the gains it has worked so hard to achieve. Poonam Muttreja is the Executive Director at Population Foundation of India. Martand Kaushik is Senior Specialist—Media and Communications at Population Foundation of India
Mint
02-07-2025
- Business
- Mint
How Trump's tariffs could reorder global trade—and make Europe a winner
Europe could be at center stage as the Trump administration's tariffs upend the global trading system, slashing Chinese imports to the U.S., a report from the McKinsey Global Institute finds. President Trump's aggressive trade policy has sparked concerns about a recession and a painful unwinding of the globalization of recent decades that had expanded profit margins and kept prices low. A detailed look at trade flows by McKinsey offers a window into potential pain points—and how trade could be rearranged. Companies have been gripped by trade uncertainty since the Trump administration tried to reshape the trading system, announcing a blitz of tariffs against nearly 200 trading partners in early the administration has said several agreements are nearing the finish line, so far it has struck only one trade deal—with the United Kingdom—and been on a carousel of escalation and de-escalation with other major trading partners, including Canada, the European Union and China. Markets have become more sanguine about trade; the S&P 500 just hit a new record. Companies caught up in the trade war may need to reduce affected business lines, increase production of other lines, find new suppliers or absorb higher costs. The specifics are critical. 'So much of this discussion is based on high-level trade models but any individual supply chain readjusts at the actual level of trade so we wanted to look at what the options were," says Olivia White, a director at McKinsey Global Institute and co-author of a report that tries to assess the possibility of disruptions, shortages and price impacts to aid companies rethinking trade strategy. The authors developed a 'rearrangement ratio," measuring a country's imports from a trading partner as a share of what is available from other exporters. Those imports most vulnerable to disruption are the ones with higher ratios. The good news: About 35 percent of the $440 billion the U.S. imports from China have a ratio less than 0.1, which means that the available export market is 10 times as big than what the U.S. buys from China. T-shirts, taps and valves and logic chips fits into this bucket. McKinsey estimates about 60% of intermediate goods—including auto parts and semiconductors—are relatively easy to source elsewhere. Another 30% of intermediate goods have a slightly higher rearrangement ratio but could still be sourced from suppliers not in China. Only about a quarter of U.S. imports from China have a rearrangement ratio of greater than 0.5—and much of that is electronics, like laptops. McKinsey estimates only 5% of imports have a ratio of more than 1, which means the amount the U.S. imports buys China exceeds what is available from other suppliers. That latter bucket includes fireworks, charcoal barbecues, vacuum flasks, fireworks and natural graphite. While the rare earth magnets critical to electric vehicles and military applications are also in this grouping, McKinsey noted many other critical minerals don't rise to this level. Though Mexico and southeast Asia have been popular alternative destinations for those diversifying supply chains away from China, McKinsey finds Europe well-positioned both as an alternative supplier of exports to the U.S. and a large market destination. Based on most of McKinsey's simulations, European exports to the U.S. could replace 30% to 65% of what the U.S. buys from China, and Europe's U.S. exports could rise meaningfully even with tariffs. Turkey already is a large textile manufacturer for other parts of Europe. Poland sells lithium-ion batteries to others in the region, and Czechoslovakia is a big supplier of toys. If trade shifts, these countries could potentially ship more to the U. S.—and Chinese goods could fill the hole for European demand. 'Europe could emerge as the fulcrum for this rearrangement," White says. Perhaps that could give the European Union some leverage as it tries to reach some sort of a trade framework with the U.S.
