Kazakhstan considers opening doors to migrants from Central Asia to address labor shortages

Anelya Kupbayeva
Anelya Kupbayeva Корреспондент

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Kazakhstan considers opening doors to migrants from Central Asia to address labor shortages ©️ Depositphotos.com

Tengrinews.kz – In light of the expected labor shortage in Kazakhstan's economy, lawmakers have called for a reassessment of the country’s approach to attracting migrant workers, proposing measures to address the growing demand for skilled labor.

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Tengrinews.kz – In light of the expected labor shortage in Kazakhstan's economy, lawmakers have called for a reassessment of the country’s approach to attracting migrant workers, proposing measures to address the growing demand for skilled labor.

In a recent parliamentary inquiry to Prime Minister Alikhan Smailov, members of the Mazhilis (lower house of parliament) pointed out that existing labor market mechanisms are becoming ineffective in addressing the changing labor landscape.

"Kazakhstan's labor sector is undergoing significant changes that require a systemic response from the government," the inquiry stated.

The lawmakers highlighted that over the past decade, the number of legal entities in Kazakhstan has grown by nearly 49%, primarily driven by small and medium-sized businesses. However, they noted that this growth has not always resulted in the creation of stable jobs.

Special attention was given to large state projects, such as the construction of power plants, nuclear power plants, energy sector development, housing and utilities, and transport infrastructure. The inquiry emphasized that the successful implementation of these projects would require thousands of specialists, and internal labor resources might not be sufficient.

"Rapid project implementation will require thousands of specialists," the document noted.

These concerns align with forecasts from the Labor Resource Development Center, which predicts that between 2025 and 2035, Kazakhstan will need about 3 million hired workers, including 813,000 blue-collar workers. The greatest demand is expected in industry and construction.

One of the proposed solutions to address the labor shortage is to increase the use of labor migration. The lawmakers pointed out that Kazakhstan remains an attractive destination for foreign workers, primarily due to its high wages compared to other Central Asian countries.

"Kazakhstan's wage levels remain the highest among Central Asian nations," the inquiry said.

However, the inquiry also addressed the existing problem of illegal migrant labor, which contributes to local corruption.

"The majority of migrants work illegally, which contributes to corruption on the ground," the document noted.

Several scenarios are under discussion. The first is to address the shortage by using domestic resources, such as increasing wages, redistributing labor between regions, and accelerating the training of workers. While this approach reduces dependence on external labor, it requires time and additional costs.

The second option is to increase the use of labor migration, which can help fill labor gaps more quickly but may put pressure on cities, social infrastructure, and the low-skilled labor market if not well controlled.

Benefits and risks

From an economic perspective, legalizing labor migration could reduce shadow employment and increase tax revenues, but this is only possible with clear regulations and employer accountability.

Socially, the risks include added strain on housing, transport, and social services, as well as increased competition for low-skilled jobs.

Therefore, the parliamentary inquiry emphasizes the regulation of migration, rather than expanding it. The suggested approach includes industry-specific quotas, employer responsibility, and tax mechanisms for control.

"Migrant flows should be strategically managed, with an emphasis on qualifications, taxes, and integration," the authors of the inquiry stated.

In international practice, labor migration is seen as one tool in labor market policy. Many countries use temporary and targeted worker programs to address labor shortages in specific sectors and professions.

OECD countries often apply such mechanisms to fill labor gaps, aligning migration policy with social infrastructure capacity and labor market regulation. International organizations emphasize that effective administration, rather than the volume of migration itself, is crucial.

However, foreign experience also shows potential problems. Without sufficient control, an increase in labor migration can strain housing, transport, and social services, and lead to migrant concentration in certain regions and sectors. In the low-skilled labor segment, this can sometimes lead to increased competition and social tension.

Thus, international experience shows that labor migration is neither a universal solution nor a source of problems by itself. Its effectiveness depends on the rules set by the state, their enforcement, and how well economic and social factors are balanced.

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