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factors were economic opportunities, access to<br />

local markets and family ties.<br />

For highly skilled scientists and technology<br />

workers, there are yet other factors. According<br />

to a 2008 OECD publication, The Global<br />

Competition for Talent: Mobility of the Highly<br />

Skilled, these workers also seek better research<br />

funding and research infrastructure, the<br />

opportunity to work with “star” scientists and<br />

more freedom to debate.<br />

Government programs and policies<br />

Governments across the world continue to<br />

create a wide repertoire of programs to help<br />

draw highly skilled expats home. China’s list<br />

alone is huge. To encourage students to return,<br />

the Government there has set up educational<br />

bureaux in its embassies and consulates as well<br />

as several thousand student associations.<br />

Universities and government-funded research<br />

organizations actively recruit returnees. One<br />

initiative, The Thousand Talents Program, offers<br />

incentives to top researchers to come home,<br />

including a one-time, tax-free cash allowance of<br />

¥1 million (US$159,000), and a residency<br />

permit in whichever city they choose, among<br />

other benefits. Some cities have created<br />

“enterprise incubators” for returnees.<br />

The United Arab Emirates has made its expat<br />

workers aware of employment opportunities<br />

back home by creating an online platform called<br />

Return2Home. The initiative targets Emirati<br />

jobseekers in the US, UK, Canada, India and<br />

South East Asia, as well as employers seeking<br />

non-resident Emiratis with international<br />

experience and expertise.<br />

With many skilled expats being increasingly<br />

“pulled” home, the countries currently hosting<br />

these expats have an equally large stake in<br />

encouraging them to stay. According to Liley,<br />

“How well a country integrates its talent will<br />

have a high impact on whether that talent comes<br />

to consider the host society home. For example,”<br />

he says, “countries such as Sweden and other<br />

Nordic countries have provided language training<br />

for numerous years, which is the key to<br />

connecting with the local population and<br />

integrating into the society.<br />

In some cases, immigration policies create<br />

barriers to workers who might otherwise wish to<br />

stay in a host country. For example, the US is<br />

experiencing an exodus of skilled foreign<br />

workers, particularly in crucial fields of science,<br />

technology, engineering and mathematics.<br />

“Many of these people are leaving simply<br />

because they cannot get permanent visas to<br />

stay in the US after their student or training<br />

visas expire,” says Rooney. Another approach is<br />

to ease immigration policies that prevent needed<br />

talent from entering. Like the US, the UK faces<br />

shortages of skilled workers, particularly in<br />

certain sectors. The British Business Secretary<br />

Vince Cable stated in 2011 that the UK’s<br />

aerospace industry faces a serious, chronic<br />

shortage of engineers; he believes certain<br />

immigration caps are partly to blame.<br />

Governments can also change immigration<br />

rules to make it easier for expats to return. For<br />

example, in Canada, a pilot program was<br />

launched in 2011 to encourage Canadian expats<br />

in certain sectors facing significant shortages,<br />

such as health care and academic research, to<br />

return home by easing immigration restrictions<br />

on non-Canadian spouses.<br />

Education is also on the move<br />

Working professionals are one facet, but<br />

students are also crucial here. Vast numbers of<br />

students in developing economies leave home<br />

each year to attend Western institutions of<br />

higher education. That fact has not been lost on<br />

Western business schools. INSEAD, a top<br />

European business school, has a campus in<br />

Singapore, and other schools, such as the<br />

University of Pennsylvania’s Wharton School,<br />

have established campuses abroad for their<br />

executive-MBA programs. Local business schools<br />

in countries such as India and China are also<br />

appearing at a rapid pace.<br />

Science and technology research institutions<br />

are globalizing more slowly. However, a new<br />

publication, OECD Science, Technology and<br />

Industry Scoreboard 2011: Innovation and<br />

Growth in Knowledge Economies, indicates<br />

that there is evidence that some universities in<br />

Asia are emerging as leading research<br />

institutions. With non-OECD economies<br />

accounting for a growing share of the world’s<br />

R&D (measured in terms of both number of<br />

researchers and R&D expenditures), it is<br />

reasonable to expect that, over time, additional<br />

research institutions in these regions will<br />

continue to emerge and grow; these will further<br />

support shifting brain flows.<br />

Talent at stake<br />

Employers face somewhat different concerns in<br />

managing talent flows from an HR point of view.<br />

But whether the issue at hand is retaining valuable<br />

immigrant employees or encouraging people to<br />

come home, “companies need to focus on the<br />

opportunities they create for employees,” says<br />

Michael Dickmann, Professor of International HRM<br />

at the UK’s Cranfield School of Management and<br />

co-author of Global Careers. “This goes far beyond<br />

monetary issues. I believe it is about the very clear<br />

development of employees and the way companies<br />

manage their talent. We consistently see that, in<br />

the range of drivers for people who work globally,<br />

these are the strongest.”<br />

In his book, Dickmann notes that what was<br />

once a clear brain drain, where the talent flow was<br />

one-way, is now changing to what he terms “brain<br />

circulation,” with mutual sharing of talent and<br />

learning. In an increasingly interconnected world,<br />

this circulation will only continue to increase. And<br />

those capturing the top minds, regardless of their<br />

origin, will benefit most.<br />

¥1m<br />

The one-time, tax-free cash<br />

allowance that one of China’s<br />

initiatives – The Thousand<br />

Talents Program – offers to top<br />

researchers to come home,<br />

amounting to about<br />

US$159,000.<br />

70%<br />

The approximate percentage<br />

of expatriates, as a proportion<br />

of the total population, in the<br />

United Arab Emirates, the<br />

highest such ratio in the world.<br />

<strong>Ernst</strong> & <strong>Young</strong> Issue 07 T <strong>Magazine</strong> 35

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