ABSTRACT

This chapter shows that Germany is characterized by substantial and increasing inflows from the new member states, including Romania and Bulgaria. A significant proportion of the new migrants are studying at German universities, which demonstrates that migration also takes place for educational reasons. The labour market situation of foreigners from the new member states is characterized by a relatively low rate of employment subject to social security contributions. The main argument against free mobility is downward pressure on wages and rising unemployment. Since almost all other countries have already opened their labour markets it is risky to suppose that large numbers of skilled migrants in Eastern Europe are only waiting to migrate until Germany opens up its labour market. Germany definitely needs immigration since there is already an excess demand for skilled workers in certain economic sectors and occupations. The nature of the immigration of East European workers to Germany is due to the transitional measures characterized by bilateral agreements.