Executive Summary
The countries comprising the Gulf Cooperation Council (GCC) are host to a significant number of highly skilled workers from the Philippines. While overseas Filipino workers (OFWs) in the GCC are predominantly made up of low-skilled labourers, particularly in domestic work, high-skilled migration from the Philippines to the region merits serious attention as receiving countries take steps to entice more of them to live and work there. The share of Filipino high-skilled professionals in the GCC is roughly half the total stock of all highly skilled Filipinos worldwide.
Highly Skilled Filipino Workers and the Gulf
The countries that make up the Gulf Cooperation Council (GCC) have consistently been top destinations for overseas Filipino workers (OFWs) of all skill types. From just 15,000 in the late 1970s [i], Filipino labour migration to the Gulf has grown exponentially over the decades. By 1990, there were no less than 400,000 OFWs in the region, and by 2020, the total stock of Filipino migrants in the GCC had increased fourfold to over 1.6 million or roughly 30 percent of the world’s total stock of Filipino migrants. The Philippines is a major producer of high-skilled workers both for its domestic as well as the global labour market, especially the Gulf. These skilled workers are highly sought after and are particularly concentrated in the GCC. The share of Filipino high-skilled professionals in the region is roughly half the total stock of all highly skilled Filipinos worldwide.
Historically, contract labour migration to the GCC has been predominantly comprised of low-skilled Filipino workers. In the beginning, OFWs in the region were largely made up of males employed in construction work. By the 1990s, a shift took place in which females now dominated, particularly in domestic service. Altogether, the employment of low-skilled workers was largely managed under a restrictive sponsorship system where many migrants have had to endure maltreatment and exploitation at the hands of their employers. Much has been said about the extent of the challenges faced by low-skilled labour migrants in the Gulf, especially the Filipino migrant domestic workers 2. However, the sizeable and growing presence of highly skilled Filipino workers in the region merits deeper examination and analysis. Workers with advanced skill sets are an invaluable asset to any country. Many countries, including those in the GCC, are showing a strong interest in attracting skilled migrants. In contrast to restrictive policies towards low-skilled migrant labour, receiving countries are modifying and relaxing their labour and immigration policies to attract more of the highly skilled including offers of long-term residency as well as high remuneration.
Aspiration and Reality Among High-Skilled Filipinos
What are the sentiments of highly skilled Filipinos towards moving to the Gulf? Around one in five Filipinos dream of living and working abroad 3 although there are nuances to be noted especially concerning education, occupation, and desired destinations. Among those who were at least college graduates in the Philippines, only 10 percent said they planned to move to the GCC countries, while 24 percent said they planned to move to North America 4. At the other extreme, 16 percent of those whose highest level of education is high school 5 planned to go to the Gulf while only 11 percent said they planned to go to North America.
Likewise, the Gulf is seen as a relatively less preferred destination among those who currently possess high-skill employment, according to data culled from the 2018 National Migration Survey (NMS) 6. In general, more Filipinos say they intend to move to North America than the GCC. Around 17 percent of those with high-skill occupations and who are 15-60 years old (and slightly less at 12 percent for those 15-30 years old) signified an intention to move to the Gulf while a much higher proportion (42 percent) of those with high skill occupations chose North America (see Table 1). Thus, highly skilled workers from the Philippines are around 2.5 times more likely to prefer to move to North America over the GCC and over three times more likely if they were younger. This is not surprising given the consistently strong historical, economic, political, and cultural ties that the Philippines has with the West, in general, and with the US, in particular. Meanwhile, those in low-skill occupations are around 1.5 times more likely to choose the GCC as their preferred destination.
Please refer to Table 1 in the PDF.
However, the aspiration to migrate among Filipinos renders only one side of the story. The reality is more complicated. Around half of all Filipinos that leave the country each year actually end up working in one of the GCC countries. It is also important to note as well that the share of highly skilled OFWs in the Gulf region has not increased significantly in the last few years especially when compared with North America, Europe, and Australia (Table 2). The share of high-skilled OFWs in the Gulf seems to be slowly declining from 13.8 percent (2007) to 12 percent (2017) to 9 percent (2022) although this may be attributable to the effects of the COVID-19 pandemic.
Please refer to Table 2 in the PDF.
What factors matter in Filipinos’ choice of destination? One possible reason for the gradual decline in the proportion of highly skilled workers in the GCC may be found in the differential income of OFWs. The average income reported by Filipino migrants in the GCC countries is generally lower compared to other destination regions for both low and high skills. In the case of high-skill workers in the GCC in 2022, their reported monthly income averaged approximately half the mean income of similar workers in North America and Europe (Table 3).
Please refer to Table 3 in the PDF.
Other likely factors can include the presence of a network of private recruitment agencies that actively recruit as well as facilitate the entry of Filipino migrants into the region7. The growth of the private recruitment industry has no doubt been encouraged by the demand for jobs in the region. The private recruitment sector has long been the cornerstone of the Philippine overseas employment programme 8 along with established government mechanisms for protecting Filipino migrants in the region 9. Since migration to the Gulf has been taking place over several decades, it is not surprising to find a stable and thriving migrant community that can also prompt many Filipinos to choose to work there more than elsewhere 10. Finally, the higher wages offered by Gulf employers relative to Philippine wage rates are also a critical factor in the choice of destination.
