Presenter: Enos A. Brown

1
WTO Symposium on GATS Mode 4The Jamaican
Experience with the Movement of Natural Persons

• Presenter Enos A. Brown
• HEART Trust/NTA - Jamaica

2
Introduction

• The General Agreement on Trade in Services (GATS)
  is focused on services supplied through 4 modes
  
• Cross-border supply
• Consumption overseas
• Commercial presence or movement of capital
• Temporary movement of labour to supply services
  overseas

3
Developing Country Perspective

• Developing countries are particularly concerned
  with Mode 4
  
• Comparative advantage in labour-intensive
  services
  
• Negative impact of the earlier phases of trade
  liberalization
  
• Developing countries have a clear interest in
  promoting significant liberalization under Mode 4

4
The Presentation

• Jamaican programmes for trade in services through
  the movement of natural persons (MNP)
  
• Formal
• Informal
• CARICOM Protocol II and the MNP
• Regional TVET Strategy

5
Formal MNP Programmes

• Prior to the 1900s Jamaica was an net importer
  of labour
  
• Since the early 1900s Jamaica is a net exporter
  of labour
  
• Formal programmes include
• Farm Work Programme
• Hospitality Work Programme
• Schoolteacher Work Programme

6
Farm Worker Programme

• Temporary/Seasonal work 3 to 9 mths
• Low skilled agriculture workers
• Abundant home country supply
• Significant host country demand
• Home Win, Host Win, Global Win
• --------EXPAND-------

7
Hospitality Worker Programme

• Temporary/Seasonal work 3 to 9 mths
• Low and semi skilled workers
• Limited home country supply
• Home country capacity to produce supply
• Significant host country demand
• Home Win, Host Win, Global Win
• ------Controlled Expansion-----

8
Schoolteacher Programme

• Temporary work 2 years and over
• Skilled and professional workers
• Scarcity in home country supply
• Limited home country capacity to produce
  schoolteachers
  
• Significant host country demand
• Home Lose, Host Win, Global Lose
• ------ Limit Expansion-----

9
GATS Considerations

• Movement of low-skilled and semi-skilled persons
  must be considered along with skilled
  professionals
  
• MNP should not be tied to commercial presence in
  the host country
  
• Government control on MNP should be reduced
• Economic needs tests should be removed
• Temporary short-term safeguards should be
  available to home and host countries

10
Informal MNP Programmes

• Jamaicans are highly migratory in nature
• Significant numbers return to Jamaica
• Significant numbers maintain economic ties with
  Jamaica labour related transfers (remittances)

11
Movement of Professionals

• Permanent migration is encouraged through host
  country immigration laws
  
• Permanent migration has a brain drain effect on
  home countries and contributes to social
  polarization
  
• Temporary movement of professionals is in the
  interest of home and host countries

12
Movement of Non-Professionals

• Unofficial access to temporary employment in host
  country homecare personal care services
  
• Market conditions exist to promote the temporary
  MNP in these services
  
• Fully represents the objective of Mode 4 an
  efficient natural person service provider
  satisfying market demand in another members
  territory

13
GATS Considerations

• GATS should provide for clear differentiation
  between temporary work movement and permanent
  migration
  
• Immigration policies that favour permanent
  migration of professionals should be replaced
  with Mode 4 type movement
  
• Consideration must be given to host country
  public policy concerns
  
• The market should determine efficient allocation
  of labour. However, short-term safeguards are
  required

14
CARICOM Protocol II and MNP

• Protocol II Right of Establishment, Services
  and Capital
  
• Promote free movement of services, capital and
  select skilled workers and the right to set up
  business
  
• Ensure national treatment and non-discrimination
  in carrying out business
  
• Facilitate access to resources within CARICOM
• Create more business employment opportunities
  open opportunities for trade in services

15
CARICOM Protocol II and MNP

• Free MNP initially limited to graduates from
  approved universities and select professionals
  
• Vast majority of CARICOM nationals are excluded
  from this facility
  
• Absence of a formal mechanism recognize the work
  competencies of its nationals

16
Move to Regional TVET Strategy

• TVET covers a broader spectrum of occupations
  including professional qualifications
  
• Based on establishment of National Training
  Agency in each territory
  
• Regional TVET framework competency based,
  industry led.
  
• Emphasis on accreditation, articulation and
  certification

17
The National Training Agency

• Development and approval of occupational
  performance standards for delivery by any
  training provider
  
• Regional and national framework for articulation
  of programmes across institutions and territories
  (Modular training standards and delivery)
  
• Valid and reliable national certification of
  competence
  
• Regional recognition of national certification
  through the CARICOM Vocational Qualification
  (CVQ)
  
• CVQ is the facility for free movement of
  nationals within CARICOM, full implementation
  2005

18
CARICOM Model Relevant to GATS

• Occupational certification based on documented
  standards that facilitate evaluation and
  articulation is desirable.
  
• Some level of harmonization across countries is
  required for the MNP. The Mutual Recognition
  Model is ideal
  
• Occupation certification is preferred to a
  professional certification framework. It
  incorporates the range from low-skilled to highly
  skilled professionals and recognizes on-the-job
  experience and academic qualifications

19
Concluding Comments

• Greater liberalization under Mode 4 is in the
  long-term interest of both developed and
  developing countries
  
• Greater liberalization should focus on
  occupational certification in addition to
  professional credentialing
  
• A strengthened mechanism for the cross-border
  recognition of occupational competence is
  required. CARICOM Regional TVET Strategy is one
  such model