International migrant workers are some of the hardest-hit groups by the pandemic. Most are now living in financial hardship abroad and unable to send remittances, while others are being forced to return home. Our study aims to understand the economic impacts of COVID-19 on international migrant workers, by looking at the challenges faced by returnee migrants, and explore how they plan to reintegrate into the job market and analyze their constraints when trying to reintegrate into the local economy. 2,281 migrant workers who returned home from December 2019 to June 2020 were surveyed for this research. Almost 22% of the returnee migrants lost their jobs, and among those who were still employed, 94% did not receive any salaries. Two-thirds of the returnees wanted to re-migrate, but more than half of them did not have enough funds to do so.
Researchers: Md Ferdous Zaman Sardar; Tanvir Ahmed Mozumder
Partners: University of Washington
Timeline: April-August 2020
Status: Completed
Contact: Tanvir Ahmed Mozumder; tanvir.mozumder@bracu.ac.bd
Context
As COVID-19 continues to cause inevitable economic slowdown, international migrant workers remain to be the hardest hit groups by the pandemic. Many of the international migrant workers are now living in financial hardship abroad and unable to send remittances, while others are being forced to return home. Bangladesh, the sixth largest country in terms of sending migrant workers, will face massive economic repercussions of this. The country will not only lose billions of dollars in remittances and the market for their workers abroad but also face a huge challenge to reintegrate thousands of involuntary returnee migrants into the local economy. Addressing these challenges would require immediate and effective policy actions. To contribute to informing policymakers about appropriate policy measures, we undertook this study on understanding the impact of COVID-19 on Bangladeshi migrant workers.
Objectives
This study aims to understand the economic impacts of COVID-19 on international migrant workers, and the challenges faced by returnee migrants. It also aims to explore how returnee migrants plan to reintegrate into the job market, and their constraints when trying to reintegrate into the local economy.
This study is relevant to SDG 1 (No Poverty), particularly to ending poverty in all its forms everywhere.
Methodology
A sample of 2,281 migrant workers was taken from a list of 7,411 Bangladeshi migrant workers who returned home from December 2019 to June 2020. Telephone surveys, approximately 30 minutes per respondent, were conducted on the sample in July 2020.
Findings and Recommendations
Out of the returnees in our sample, approximately 22% returned before March, 8.5 per cent returned after March, while 69.5 per cent of them returned in March 2020. Almost 26 per cent of the respondents would not have returned if there were no pandemic. Almost 22 per cent of the returnee migrants lost their jobs, and among those who were still employed, 94% did not receive any salaries. We also found increased uncertainty among the returnees, with 33 per cent of returnee migrants uncertain about their job. In terms of household income, most of the returnees were the main earners of their households; as a result of the massive loss of salaries, their household incomes, especially for low and medium-skilled migrant workers, dropped significantly compared to non-migrant families. When asked what kind of support they need, 42 per cent of the respondents mentioned their need for support to re-migrate.
International migration is costly, and this will have long-term consequences for migrant families. Most of the migrants financed their migration through some form of borrowing, who still owe money to their lenders. Their unexpected return, coupled with the loss of job and income, and increased uncertainty of their return, only exacerbates the situation as they continue to borrow more to sustain their livelihoods and increase their long-term indebtedness. Unlike non-migrant workers, they have to wait longer to start earning as reintegration might take longer. We recommend the provision for low-interest loans or grants for re-migration or for starting businesses for reintegration.