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Remote Work - How “Digital Nomad” Visas Can Boost Local Economies - Sun and Planets Spirituality AYINRIN
Remote Work -
How “Digital Nomad” Visas Can Boost Local Economies - Sun and Planets Spirituality AYINRIN
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Author:His Magnificence the Crown, Kabiesi Ebo Afin! Oloja Elejio Oba Olofin Pele Joshua Obasa De Medici Osangangan Broadaylight.
Summary.
More and more companies are offering their employees the option to “work from anywhere,” whether in their home office, in another state, or even halfway around the globe. A growing group of remote professionals are taking the “anywhere” in work-from-anywhere to new lengths. These “digital nomads” leverage their remote jobs to allow them to live in tourist hotspots or tropical destinations for months at a time. Others engage in months-long “work-cations,” combining periods of working and tourism. During the Covid-19 pandemic, many countries — especially those with significant tourism sectors suffering from reductions in global travel — began offering specific visas to these digital nomads. It’s abundantly clear that digital nomads, and remote workers in general, can be a boon to any economy— spending money, facilitating collaboration and spurring innovation — a win-win for both the digital nomads and the economies where they choose to live and work.
Work-from-anywhere, where workers enjoy the flexibility to live in a geography of their choice, is here to stay, and countries around the world are in a race to attract the growing class of international remote workers known as “digital nomads.” Portugal, for example, now offers a two-year renewable residence visa for workers who can prove that they have a remote job for the length of their stay. Other countries that offer a form of digital nomad visas include Australia, Czech Republic, UAE, Estonia, Germany, Thailand, Indonesia, Italy, Spain and Brazil, among many others. (See the below chart for details). These visas typically require proof of income and remote employment, travel insurance, and intent to depart. In summary, digital nomads invest their time and money in the local economy, without taking local jobs, and build bridges with local knowledge workers — a win-win for both remote workers and local communities.
More
and more companies are offering their employees the option to “work
from anywhere,” whether in their home office, in another state, or even
halfway around the globe. Some companies, like Zapier, GitLab, and Doist, have embraced an all-remote model, doing away with offices entirely. Others, like Twitter and Shopify,
are keeping their physical offices but using a “remote-first” mindset.
Still others are exploring hybrid-remote models, whether that means
allowing certain roles to work remotely, or (as Google announced in 2021) allowing annual periods of work-from-anywhere.
A
growing group of remote professionals are taking the “anywhere” in
work-from-anywhere to new lengths. These “digital nomads” leverage their
remote jobs to allow them to live in tourist hotspots or tropical
destinations for months at a time. Others engage in months-long
“work-cations,” combining periods of working and tourism.
During
the Covid-19 pandemic, many countries — especially those with
significant tourism sectors suffering from reductions in global travel —
began offering specific visas
to these digital nomads. Digital nomads can now choose from a range of
tropical destinations (Costa Rica, Mexico, Ecuador), island getaways
(St. Lucia, Barbados, the Seychelles), and winter escapes (Estonia,
Iceland, Norway). Other countries expanded their existing short-term
work visas to account for those working remotely, including several
European Union members and many Southeast Asian countries. The visa
programs generally cost around $1,000 and exempt visa holders from local
income tax for their six-month to two-year stay. They also have income
and employment requirements, ensuring that these visa holders can
support themselves without taking local jobs.
Digital
nomad visas accrue many benefits to countries and local communities.
Firstly, these visas act as a temporary fix for immigration policy woes
and visa delays around the world. Many knowledge workers are currently
unable to work around the world, especially in countries such as the
United States, due to immigration policy logjam or extended visa
processing backlogs. Even before the Covid-19 pandemic, knowledge workers faced long wait times for visas, rising rejection rates, and great uncertainty. The pandemic compounded these issues,
adding travel restrictions from Covid-19 hotspots, embassy closures
overseas, and even longer processing times for all visa types to the
list of challenges. A digital nomad visa provides short-term access to
countries around the world, and typically last six to 12 months for
remote workers. The geographic mobility of digital nomads could spur
business travel in the short to medium term, giving the airline industry
a much-needed demand boost.
Secondly
and importantly, digital nomads could act as catalysts for knowledge
and resource flows between regions, benefitting themselves, their
organizations, and their host countries. My longstanding research
on geographic mobility and innovation has shown that short-term travel
and even short periods of co-location with geographically distant
colleagues can help workers access information and resources that can help grow new ideas and projects,
which benefits both the mobile worker and their organizations. My
research with former doctoral student Do Yoon Kim also showed that skilled migrants bring to their host communities unique knowledge
from the cultural context of their home country. Also, local inventors
engage in “knowledge recombination” by combining their existing
knowledge to knowledge transferred by migrants. In subsequent research
with Dany Bahar and Hillel Rapoport, we showed that migrant inventors
not only “import” knowledge from home countries, which translates into
more patenting; the migrant inventors actually boost
patenting in the same technologies their home countries specialize in.
As a result, a country is likely to have migrants as inventors of the
first-ever bulk of patents in any new technology.
Finally,
digital nomads might play a key role in fostering entrepreneurship and
the creation of technology clusters around the world. Foreign
entrepreneurs congregating in a shared space for even a few months can
spur new connections and new enterprises, as I saw in my work with Start-Up Chile,
a government-sponsored incubator program that has invited more than 280
start-ups to spend time in Chile since its founding in 2012.
In
summary, it is clear that digital nomads, and remote workers in
general, can be a boon to any economy — spending money, facilitating
collaboration and spurring innovation. However, the United States has
not announced a digital nomad program. Countries around the world are
competing for remote talent. It is time, for the U.S. to get on board —
or risk being left behind.
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