Mobility of less-skilled workers under bilateral agreements: lessons for the GATS

Abstract

Temporary cross-border movement of service providers is a form of trade in labour services. The General Agreement on Trade in Services (GATS) provides a framework for liberalizing such trade flows. There has, however, been little progress in the GATS negotiations on movement of service providers or mode 4, especially with regard to low-skilled movement. This is in contrast to several bilateral arrangements that cover low-skilled labour mobility. This article outlines the desirable characteristics of selected bilateral labour agreements that facilitate the movement of low-skilled workers. It argues that the GATS mode 4 negotiations could draw upon these desirable features to improve market access commitments for less-skilled service providers while also addressing host country sensitivities. It outlines possible ways of incorporating these features into the GATS framework of commitments and limitations.