Swiss attitude towards foreign countries and foreign citizens, resulting in the referendum vote on immigration held last 9th of February – referendum strongly promoted by the conservative party – through which Swiss citizens have been called to vote on the ticklish issues related to confirmation of Bilateral Agreement between Swiss Confederation and EU and their extension to Bulgaria and Romania, may be a “good example” to think about. Firstly, because the Swiss Confederation is, among modern nations, the one to be governed through direct democracy and then through a direct and continuous involvement of citizenship, called not only to express opinions but also, in some cases, to propose and to make laws.
Secondly because Swiss behaviour represents a good model in which “economic reason” intended as “economic development” prevails the others. Thirdly, although Switzerland is not an UE Member State, seems, for specific aspects, to pursue more than the Members States, the aims of sustainable economic growth, more and better jobs and social cohesion, that are the base of the Lisbon Strategy. The objects of the referendum, related to the theme of free movement of persons according to Bilateral Agreements with EU, were two specific issues: renewing the existing agreement allowing migrants to work and live in Switzerland (Bilateral I) and extending it to new EU members Bulgaria and Romania, entered EU in 2007.
Official results showed 59.6% of voters in favour of both issues; among the “yes” voters, a considerable representation of economic and entrepreneurial world, in consideration of the fundamental added value brought to Switzerland through the openness of the labour market to EU and vice versa. A different result should have led to the cancellation of the existing Bilateral Agreement I and II in force of the law.
Voting “no” just 4 of the 26 cantons, among them the Ticino one; in the specific case, this behaviour could be partially explained because of the enormous daily migration: around 40.000 Italians cross the Swiss border every day for work, bringing labour force in a market that probably perceive it in terms of competition.
Should be said that Bilateral Agreements between Switzerland and EU are built in a way not allowing simultaneity between the inclusion of new Member States in EU and their free access to Swiss Confederation. The procedure foresees that the extension conditions are defined in an additional protocol, of the same kind of that used in 2004 for encompassing the new ten states to EU. For the latest new Members, the Confederation has approved, in 2005 with a referendum, a temporary regime valid till 2011. It is important to underline that the country, in making choices, showed to be aware that an ex-novo negotiations with Bruxelles should inevitably lead to a loss of competition, considering that two thirds of Swiss exports are towards EU. And the figures, showing the deep interdependence of Switzerland and EU, are really strong: according to Eurostat, more than 200.000 persons daily cross Swiss borders for work and the daily trade volume of Switzerland and EU amounts over 1 billion euro.
Looking at the specific sector of labour market and immigrants’ labour force, is interesting that in 2007 the Swiss representatives of the Government and the economic world pointed out the importance of free movement of persons as indispensable for the economic growth of Switzerland, making aware that it was also thank to the immigrants’ labour force that the country could reach a so high rate of growth, 2,8%. And in 2008, nevertheless the flex due to the world economic crises, the rate remained still high, around 1,8%.
It was also underlined that, considering the reduction of Swiss labour force because of demographic reasons, in the near future the free movement of persons could acquire a more growing relevance for Swiss economy. Hence, a real valorization of human capital, wherever it comes from. Further, characteristic of labour force entering Switzerland is that of being highly qualified and able to produce real added value: both in terms of growth and in terms of transfer of knowledge. The figures coming out from the analyses made by the Swiss Business Federation point out that immigrants’ labour force is still today not sufficient to match the needs of Swiss economy and that this labour force is complementary and not substitutive of the Swiss one.
In a time like the present one, characterized by the global economic crisis, a different attitude to the external world could be a mean for a concrete renewal of the established globalised economic models and could be an instrument for facing new challenges. Promoting the free movement of persons and hence human capital and intellectual capital with the aim of increase global development, could help our Europe and their citizenship to define new patterns.
Maybe, the Swiss case could be an example for all of us.
Emanuela Scridel. Economist – International Strategy and EU Expert