Illegal Immigrants and Developments in Employment in the Labour Markets of the EU

This study seeks to answer the question "Why are there hardly any illegal immigrants in the labour markets in Nordic countries"? It takes as its starting point the concern that the use of illegal immigrants creates barriers to the free movement of capital, good and labour across the European Union, thus defeating the object of the creation of the EU - a common market with just such free movement. A number of analyses are considered, and a common factor is noted - that the theoretical models do not tally with the empirical findings. In order to understand these difference it is necessary to extend the theories to take account of historical factors thought to influence the free movement of labour on EU markets. Such a theoretical extension must take into account factors such as globalization, specifically, the restructuring of the global economy and its effects. Unemployment, the declining influence of the Trade Unions, the creation of a low-paid labour market offering work to those marginalized through sex, colour, or linguistic abiblities are all considered, along with the informal labour market that is a pre-requisite to the employment of illegal immigrants. The study covers developments in Portugal, Germany and Denmark in particular, but relates to the European Union in general.