The brain drain phenomenon: measuring the intention of young Greek scientists to migrate abroad

ELENI E. DALLA, DIMITRIOS CHATZOUDES, ANASTASIOS KARASAVVOGLOU Department of Accountancy Kavala Institute of Technology Agios Loukas, Kavala, 65404 GREECE elenidalla@gmail.com, dchatzoudes@yahoo.gr, akarasa@teikav.edu.gr http://www.teikav.edu.gr/teikav
Abstract: - The deep and extended recession of the Greek economy during the last five years had a serious effect on the employments rates of the country. More specifically, in 2013 the unemployment rate approached the extremely high level of 30%, while the same percentage reached almost the 65% among young people. This phenomenon often drives young scientists to seek employment abroad. In the present paper the brain drain phenomenon in the case of Greece is being analyzed, focusing on empirically investigating the intention of young Greek scientists to migrate abroad. In this context an empirical research was conducted in a sample of 322 people aging among 22-30 years. All member of the sample have completed their studies in an Institute of Higher Education. The statistic analysis was conducted with the use of the statistical package IBM SPSS 20. The results reveal interesting dimensions of this contemporary issue and can be used in order to help understanding the brain drain phenomenon and, at the same time, contribute to developing measures for reducing the escapism of young people. Key-Words: - Brain drain, migration, economic crisis, employment, Greece, empirical study.

1 Introduction
The deep recession that the Greek economy faces during the last years (2008-2013) has led to a rapid decrease in its GDP and, consequently, to increased unemployment. More specifically, during the last years the Greek GDP has fallen by 20.1%, while the GDP per capita at the end of 2012 was equivalent to the year 2000 standards [1]. The economic / fiscal / debt crisis had significant effects on the Greek labor market. Numerous factors have significantly altered the Greek labor market landscape. Some of these factors are: (a) the limited available income and the consequent reduction in consumer spending, (b) continuous business closures, (c) reduction of the productive activity, (d) the negative investment climate, (e) the problems of competitiveness and innovativeness. Without any doubt the Greek labor market has underwent enormous changes leading to the explosion of unemployment and forming a situation without any precedent in the modern history of the country. According to the Hellenic Statistical Authority (ELSTAT) [2], the unemployment rate in the first quarter of 2013 was 27.4%. Particularly intense is the problem of unemployment for young people (between 15 and 24 years), since the unemployment

rate is 60.0%, while the corresponding percentage for the category 25-29 years is 41.2% [2]. Additionally, regarding certain qualitative aspects of the unemployment rate, it must be noted that unemployment among women is higher than men, long-term unemployment expands more and more, there are significant regional variations (e.g. unemployment rates in Macedonia and Thrace are higher than any other region of the country), and the problem of unemployment is comparatively stronger in urban areas than in suburban and/or rural areas [5]. The intensity and duration of the economic crisis and, especially, its impact on the labor market, gave room for the development of a grim phenomenon, that of brain drain. Brain drain is defined as the exodus of young scientists from the domestic labor market and their migration to other countries that can provide employment under decent conditions (for the case of Greece countries like Germany, UK, France, Netherlands, USA, Canada, Australia etc). Brain drain has been investigated in the international literature both from the side of the countries of brain drainers and from the side of the host countries [6, 7, 8, 9, 10, 11, 12]. Despite its significant international empirical investigation, brain drain in Greece has not been extensively

examined and the relevant scientific publications are limited [3]. Consequently, the examination of the phenomenon is crucial, since it can contribute to the ongoing debate considering the impact of brain drain and the necessary measures to prevent it. The current research argues that the main reasons for pushing young scientists abroad are the pursuit of a better quality of life, the seek of better working conditions and the pursuit of higher wages [4]. Similar empirical research [3] shows that an important cause of migration is the difficult labor market situation, the general corruption and the lack of meritocracy, the lack of new jobs and the hard access of young people in the labor market.

2 Research Methodology
2.1 Population of the study
The population in Greece is approximately 10.815.197 people. The women are 5.484.000 (50.8%) and the men are 5.303.690 (49.2%). The 7.423.889 people aged between 16 and 64 years old. The participation of the active working force (15-64 years old) in the population is about 35,48% (3.837.950 people). According to official data [2], the unemployed between 15 and 64 years old are 2.941.733. In the total employment in the Greek labor market, the 7,6% are self-employment with staff, which means thta they are employers, the 24% are self-employed without employees. The 63% are salaried, while the average in the European Union is 80%, and the 5,3% are assistants in a family businesses. [20] As far as the young unemployment, Greece has the negative lead at ages below 25 years old in European Countries. Specifically, the percentage as far as the young unemployment has jumped to 57.6% in Greece versus 56.5% in Spain. The lowest unemployment rates of young observed in Germany (8.1%), Austria (9%) and the Netherlands (9.7%) [16]. The population of this research are Graduates from University Faculties, aged from 24 to 30 years old. These persons constitute the population of the present research.

The first part of the questionnaire refers to the demographic characteristics of the respondents, such as sex, age and marital status. The second part measures the educational level of the respondents, if they continue into a postgraduate studies. The third part collects various details concerning the occupational status of the sample and if they satisfied about their work. Finally, the fourth part measures numerous aspects about the intention to migrate abroad. This part of the questionnaire shows if the questionnaires considering to leave or not their country. Also the questionnaire exploring the reasons that prevent them to migrate abroad or not, and if they want to migrate, in which country. Besides in the fourth part there is a combination of the results which combines the profile of the respondents to their desire to search for a work in abroad. The combination of the answers aiming to become a higher and better analysis of the results.

2.3 Data collection

The final sample of the study is 322 young scientists among 22 and 30 years old, who have completed their studies in an Institute of Higher Education. The appropriate data were collected using a questionnaire in two formats; paper and electronic. The study was conducted between September and December of 2012, while for the statistical analysis the statistical package IBM SPSS 20 was used.. The 64.3% (207 people) of the final sample are women and 35.7% (115 people) are men. Considering the age of the respondents, it should be noted that the aim of the sampling procedure was to achieve equal representation between all ages. That was, actually, achieved, with every age group having similar percentages. Furthermore, regarding the family situation of the respondents the majority not married (77%). The 18.3% are married, while the 4.7% are divorced. Considering the occupation of the sample, the majority (49.4%) are unemployed.

3 Results
The main results of the statistical analysis are as follows: The 46% of the questionnaires have graduated from Technological Educational Institute, the 34,8% are university graduates, last but not least the 19,3% have completed the postgraduate studies at Master and PhD level. As far as the employment status of the sample, based on the results the 43,5% are unemployed, the 42,5% is working either in the public or in

2.2 Questionnaire
The questionnaire was based on an extensive review of the literature of the field [13, 14, 15]. In order to collect the desirable data from the members of the sample, a structured questionnaire consisting of 30 items (questions) and 4 sections was constructed.

the private sector. Also there is a percentage of 11.2% which has it a own business, and finally follows a 2,8% which is not working by choice or due to various obligations such as military duties for men by example. For the majority of the respondents by 50% who are unemployed the main reason for leaving a job are the cuts in staffing. Followed by 25% those who ended their contract. The dismissal is the cause that the 13,2% of the sample has no job today. Last but not least the 11.8% of the unemployed had declared a resignation. Te 43% of the questionnaires believes that the main reason that they cannot find a job is because of the economic crisis that exists in Greece. As far as the questionnaires that they do not want to migrate abroad are concerned, the main reason that they cannot try to find a job in a other country is because of family issues (41,1%), The 24,4% of the respondents, they want to stay in their country because they are satisfied with their job. Also there is a optimist rate of 19,9% which believe that the economy of the Greece will recover, and the 14.4% of the respondents considering that they will find a job in Greece. The vast majority of the sample (60.9%) says it has get into the thought process to look for a job abroad The 31,8% of the respondents, who wants to migrate abroad, consider that in foreign countries there are more opportunities for employment on the field of their studies. The 23,4% believe that the financial earnings will be greater in foreign countries in comparison with Greece. The 22,1% believes that into another country they recognized their qualifications, and the 22.7% will try to find a job in abroad for survival reasons. Regardless of the sex the respondents said that they think to migrate abroad , to find a work in a other country Regardless of the level of education, the respondents said that they think to look for work abroad The vast majority of the sample (60.9%) says it has get into the thought process to look for a job abroad Regarding the work situation of the respondents in relation to their age, the 45.2% of age between 28 to 30 are working in private sector companies. The 52.2% and 41.8% ages 22 to 24 and 25 to 27 are without work and are unemployed

Also we can see that the smaller age the respondents have the greater is the percentage who want to find a job abroad. Because the 64.8% ages 22-24 and the 67.1% aged 25-27 want to look for a job in abroad, but the 52.4% of the age group 28-30, does not want to look for a job in abroad As regards the marital status of respondents the majority of the sample, who are not married or divorced, intend to look for a work abroad. Unlike those who are married and have a family. The majority of respondents who are not happy with their job they wish to seek employment abroad, with the rate to exceed 50% The majority of respondents salary is up to 500 Euro wants to seek work (54.5%) abroad as well as respondents who are highly paid 1201-2000 Euro and 2001and above (60%). Unlike respondents who paid from 501-1200 Euro do not want to work abroad. The majority which is working in the public sector does not wish to seek work abroad, in contrast to respondents who working in the public sector or they are self-employed or unemployed, who think to seek work abroad. Finally the first choice of the sample to migrate abroad as far as the country , are the European Union countries with the percentage to fluctuate to 52.2%, follows the choice of America to 27,8% and the last choice 19,1% is Australia

4 Discussion
The main reason that pushes young people searching for work abroad is the high level of unemployment and the low salaries that indicate the exit door to young people, who are frustrated by their country [4]. Yet an important reason that young scientists are searching for work abroad is because of the inaccessibility or rehabilitation that exists into the labor market. As well as the fact that dominates a depressing environment cronyism, paperwork, disorganization and neglect which under these conditions the scientists of the country are discrediting [15]. As for a graduate the period that needs to access in the labor market is about 12.2 months. So Greece is facing a big problem between the educational system and the introduction of graduates to the labor market, especially in women[17] . Beside, until today in Greece, the discussion and the reflection as far as the transition of young people from education to work, at European level, almost was absent. As a result, the lack of the reliable, quantitative and qualitative data, which would be

important, first of all for the participation in the , the discussion and the reflection concerning the transition of young people from education to work, at European level. Furthermore would help in the analysis of the complex between the education system and the labor market, which would be created working and educational measures for the proper transition. However, the increase in unemployment, in underemployment and mismatch of graduates from all educational levels, contributed to enhancing the debate in Greece, and to realized the importance of the collection and the study of these data. [22] Greece today has many problems, one of them are the unemployment, the competitiveness, the health, the education are some of the areas that need to be done a big changes and to innovate. The truth is that in Greece the performance in innovation is in very low level. The public expenditure on innovation is far below the average of OECD (Organization for European Economic Cooperation) countries. The private investment in innovation in Greece are the second worst ranking in the OECD countries [21]. The connection between universities and industry almost is not exist. In Greece there is no market innovation. The universities do not produced the innovation, and the businesses do not ask. By a deeper analysis noted that the situation in the labor market in Greece is pushing the human potential of the country in search of professional outlets outside the borders independently of the sex and the level of education. Therefore has been formed one escapism which is continuously enhanced. However there are other reasons that new graduates face difficulties in entering the labor market, One of them is the role of macroeconomic conditions and rate of growth in the economy's capacity to absorb new entrants to the labor market workforce. Another reason is the fact that there is a potential mismatch between labor supply and demand due to the inability of the production system to absorb a good trainee workforce. Also, some of the reasons why, the respondents want to work abroad is that in foreign countries there are more opportunities for employment on the object of their study, as well as that the financial rewards will be greater in foreign countries. Furthermore that will be recognized for their value, but also a significant proportion of the sample will seek work abroad mainly for survival reasons. Therefore is being observed that because of the continuing economic crisis, the jobs that young

people in Greece, need today have disappeared during the crisis, so there is no prospect [16]. For this reason the emotions of young people that dominate are those of distress and disappointment about the state and prospects in the Greek economy ,as the future provided ominous. For this reason people with great salary seeking a outlet abroad as the uncertainty in the labor market greatly affects and people who are wage.

5 Problem Solution
One of the problem solution is the combat of unemployment. The budgetary measures mainly include to increase the government costs for the public works and for the promotion of large investment projects, which the aim of these contracts is the directly increase of employment and incomes. The monetary measures aimed at reducing the rate in order to enhance the private investments, the production and therefore the employment The measures of training and retraining are intended to facilitate the unemployed to acquire professional knowledge and skills, which are necessary or useful in order to work in the existing job vacancies. It is obvious that measures aimed at reducing structural of unemployment. Besides is observed that the educational system is updated and adapted on the needs and requirements of the labor market, particularly in the private sector. One of the ways that educational system is updated via the connection of higher education to the labor market through encouraging of Entrepreneurship and innovation. As the entrepreneurship has obvious social benefits as it creates growth and jobs, creating broader conditions of economic and social prosperity. More, the encouraging of entrepreneurship will benefit indirectly through the development of required for this skill, and into the upgrading education and therefore the culture of each country. Finally, it should be stressed that entrepreneurship is one of the growth factors with the greatest amount of time as is running out very slowly and continuously updated [19]. Additional, there are connection services to the labor market, which include activities, aiming at the approach of the labor market, mainly through the development of contacts and cooperation with business and employers organization, as well as the announcement of the available jobs. Also , very important are the recording and the systematic analysis of basic labor market and employment figures, from different agencies of the

State during the years . As, the results of this analyze can help in a deeper comprehension, concerning the progress and the conditions that exits in the labor market today. Also this can be a source of reliable and structured reporting about the business environment and about the market conditions, and the economy too, providing via the internet important information that has been processed scientifically and can be used by anyone who is interested in [23].

switch will help to smoothing between of supply and demand, in the labor market, and reduce the brain drain of the graduates of Greece. [24]

6 Conclusions
Based on the results of empirical research, the majority of the sample did not have a job, this result is due to the fact that Greece is almost absent from the discussion and reflection at both national and European level, about the transition of young people from higher education to the labor market. Consequently Greece did not have the necessary quantitative and qualitative data which would facilitate the analysis of the complex relationship between the education system and the labor market, which would lead the related of working and education national policy of this transition as will also help to reduce unemployment and woul de lead a greater absorption of graduates of higher education. Also one main reason that drives young people in search of work abroad, due to the fact that until recently much of the country's education system was up and acting to be supplied to the public domain. However the public domain is no longer an important field of absorption of graduates because of cuts which is carried out in the public domain. For this reason is observed that the educational system is updated and adapted on the needs and requirements of the labor market, particularly in the private sector. The increase in production through increased investment in the private and public sectors. Also need retraining or the direction of the economy, that needs more scientific-theoretical knowledge of the workforce, or reorientation of the education in order to offer more professionaltechnological knowledge in the workforce, either obviously both to be convergence. The preparation and lifelong learning are of great importance for this purpose. There must be a switch of the economy concerning the produce of products and services that will put the country in a better position to international competition, and will use productively the human resources. Only, this

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