The Labour Market Will Shape the Future of the Western Balkans

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The state of the labour markets in the countries that constitute the Western Balkans, along with the migration flows that are present, has inspired researchers from the Institute for Development and Innovation to advocate for the thesis regarding the influence of the labour market on the overall prospect of the Western Balkans. Although this thesis contradicts the widely accepted view that geopolitical factors entirely determine social dynamics in the area known as the Western Balkans.

The varying conditions of the labour markets in the Western Balkans suggest that there is potential for workforce mobility among the countries; however, significant temporary migrations are not occurring. The primary migration destinations from the Western Balkans are primarily Germany and Italy, with differences noted in the primary migration routes from Albania compared to the rest of the region.

Italy is the main emigration destination for those leaving Albania, whereas, for the rest of the area, it is Germany.

The Labour Market in the Western Balkans is clearly divided

The labour market is primarily divided along national lines, which can partly be attributed to the language barrier—there is no workforce movement between the Republic of Serbia and the Republic of Albania. It is also characteristic that Italy is the main destination for people leaving Albania, while for others, it is Germany. The reasons for this may be found in the migration relationships of the former SFR Yugoslavia and the Federal Republic of Germany, which date back to the 1970s. This is further clarified by the fact that, apart from Albania, all other countries in the Western Balkans were part of the former SFRY.

Working Meeting in Tirana

On 17th September 2024, Nenad Jevtović, the Institute for Development and Innovation Director, participated in the international working meeting “Migration, Diaspora, and Development in the Western Balkans” in Tirana. He presented the Institute’s research findings and the thesis regarding the influence of the labour market on the future of the Western Balkans. This was an opportunity to discuss the positions held by the Institute with researchers from other countries in the Western Balkans and the European Union, as well as to exchange opinions and research critiques.

Albania is a country that, in relative terms, suffers the most negative consequences of emigration.

One of the key topics of the working meeting was the emigration of medical personnel from the Western Balkans. The loss of human capital in the healthcare sector has been recognised as one of the fundamental barriers to further social development in the Western Balkans, and discussions included proposals for economic policies that could ease and slow this process down.

The Institute for Development and Innovation is currently implementing a project titled “Labour Mobility between Serbia and the Western Balkan Countries – How to Increase Mobility?”.

Picture: Institute for Development and Innovation