Offshoring’s Implications in ICT Services for Labor and Migration in Morocco and Tunisia, 2010-2024

Abstract

The paper examines the impact of offshoring in information and communication services on employment and migration in Tunisia and Morocco, two economies that are increasingly integrated into global production networks. The objective is to assess whether offshoring has contributed meaningfully to job creation and influenced migration trends in both countries over the past 14 years. Using a mixed-methods approach, the study combines empirical analysis of sectoral employment and net migration data with a review of national policies and structural labor market characteristics. The findings reveal that while offshoring has led to some increase in service sector employment, its overall impact on total employment remains limited due to persistent structural constraints and limited integration into knowledge-intensive sectors. Moreover, no significant impact was found on migration rates due to structural factors such as human development, irregular migration, and state policies that actively promote emigration as a means of development. Thus, it can be further explored with additional factors and over longer periods. The findings imply that for offshoring to become a more effective lever of development, Tunisia and Morocco must implement policies that foster higher-value employment, invest in skills training, and create more balanced incentives between offshore and onshore investment regimes.