Brain drain crisis

By Mansoor Ahmad
June 01, 2023

LAHORE: The Pakistani economy is in a deep recession, but a void would be felt when the economy rebounds. A huge exodus of skilled/educated Pakistani citizens to developed economies has reduced the unemployed pool without creating shortages of those skills in the country.When a large number of semi-skilled laborers leave a country to work in foreign countries, it is not typically referred to as brain drain. Brain drain usually refers to the emigration of highly skilled or educated individuals from a country, leading to a loss of valuable human capital.

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Brain drain of highly skilled human resources is not considered a good omen for the economy. But the low skilled person joining the workforce outside the country has a better impact on the economy. Brain drain can have several negative impacts on a country's economy.

Highly skilled and educated individuals contribute significantly to productivity and innovation within an economy. This loss of human capital can hinder the development of advanced industries, research and development, and technological advancements. Brain drain leads to a decrease in overall economic growth in a country. The departure of skilled workers can result in labor shortages, especially in critical sectors such as healthcare, engineering, science, and technology. Brain drain exacerbates the existing skills gap within a country. The loss of highly skilled professionals can create a shortage of specialized expertise. This often leads to a dependence on foreign labor, which can increase costs and make the country vulnerable to economic fluctuations in other countries.

Highly skilled workers typically earn higher wages, resulting in higher tax contributions to the government. When they leave, there is a loss of tax revenue for the country. Skilled individuals are often key contributors to entrepreneurship and innovation within a country.Their departure stifles economic dynamism, job creation, and the ability to compete globally. While brain drain can have significant negative impacts, it is not a one-sided issue. It can also have positive aspects, such as the potential for remittances and knowledge transfer when skilled individuals return to their home countries.

The departure of semi-skilled laborers can still have significant impacts on the country of origin. Some potential impacts of abundant semi-skilled labor leaving a country to work abroad have economic implications. The outflow of semi-skilled labor can result in labor shortages in the country of origin. This can affect various industries, such as construction, agriculture, and manufacturing, which rely on this workforce.The reduced availability of workers may lead to increased labor costs, decreased productivity, and slower economic growth. But at the same time when semi-skilled laborers work abroad, they often send money back to their home countries in the form of remittances. These remittances can have a positive impact on the country's economy by increasing foreign exchange reserves and improving the living standards of families receiving the funds.

The departure of a significant number of semi-skilled laborers can have social implications also. Families may be separated, leading to emotional strains and challenges in maintaining social structures. Additionally, communities may experience a loss of cultural and community ties as people migrate to foreign countries.However when semi-skilled laborers work abroad, they often gain new skills and experiences. If they return to their home countries, they can potentially contribute their acquired knowledge and skills to the local workforce, thus benefiting the country's development. However, there is a risk that some may not return, resulting in a loss of potential knowledge and skills.

Skilled and educated as well as unskilled persons have since long been leaving the country for a better life outside. Those going to Gulf countries generally remit money to their families back home.

Since foreigners are denied nationality in Gulf they ultimately return to native country with better skills. However those migrating to developed economies usually get nationality of the country they serve. They call their immediate families and cut ties with their home country.

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