Managing Migration: New Mechanisms

Chamber has submitted a comprehensive reply to the recent white paper published by the Chief Minister.  The paper sets out in detail the new controls or mechanisms which will replace the existing Housing and Regulation of Undertakings and Development Laws.  As stated in the White Paper, these new controls “will effectively manage how many people can work in Jersey and how accommodation can be occupied and owned.  This in turn will effectively regulate migration and protect local housing and employment opportunities, while supporting economic growth and diversity”.  Whilst it is refreshing to see that it has now been accepted that there is too much bureaucracy, inconsistency and unfairness resulting from these Laws, Chamber is extremely disappointed that Government is not proposing to remove the control with regard to the number of people a business is allowed to employ.

Chamber has one general observation on the strategy as a whole bearing in mind that it was formulated before the credit crunch. It makes some assumptions regarding ever upward growth, a burgeoning finance sector and perpetually increasing spending and tax take which are not now such accurate assumptions.  The experience of the past is not necessarily a guide to the future.  The concern is about tying policy to an incomer cap during a period of change.  It is an inescapable fact that some businesses will wind down over time because tax advantages or marketplaces have diminished but by the same token other business may wind up.

 

So how does this policy cater for adjusting skill bases and sector changes which do not conveniently fit into one year or another?  A change in the mix of business is quite likely but the shrinkages will take longer perhaps than the new.  It is unclear how this policy really addresses what are quite likely to be the changing skill bases of an economy.  It rather presumes an historic constant as has been seen in the past, but the past has not contained such a fundamental correction as has been experienced in the past year and/or the prominence of offshore business in onshore politics has never been greater.  If the economy is to prosper again the need for more creativity and diversity seems essential but rigid legislation like this does not really provide the economic flexibility which is required.

 

Policy Director