Chapter 5
ECONOMIC AND SOCIAL IMPACT OF THE KAREN RESETTLEMENT IN BENDIGO,
AUSTRALIA
A series of reports by Deloitte Access
Economics, including one published in August
2018 about Bendigo, Australia, highlights the
benefits of resettlement to both the host and
the resettlement community.63
Bendigo is a regional Australian city in Central
Victoria with approximately 110,000 inhabitants
where at least 800 Karen refugees settled
between 2007 and 2018. Almost 21,000 Karen
refugees have been resettled to Australia
during the same time period.
In Bendigo, the local community identified
that resettlement had ”an unexpected and
positive impact on the broader community
and, as a result, contributing to an
appreciation of the contribution new settlers
can make in other ways”.
In addition to the social contribution, economic
modelling undertaken by the report’s authors
estimated that over a 10-year period, the total
economic impact from the regional resettlement
of the Karen population on the Bendigo
economy was just more than 67 million
Australian dollars (in net present value terms),
with an associated impact on employment of
177 full-time-equivalent jobs. In common with
refugee populations globally, the Karen
population currently comprises a
disproportionately high share of children. The
report predicts that, all things being equal, the
Karen labour force will continue to grow over
time, adding to the productive capacity of the
region in years to come.
The research indicates that several conditions led
to the success of resettlement in Bendigo,
including strong leadership from both the host
and the settling communities as well as the
availability of opportunities for employment and
affordable housing. In addition, the support
provided in the transition from school to work or
further training in Bendigo for Karen youth
encourages their aspirations to study and to find
‘good’ jobs and provides opportunities for high
levels of participation in the community, education
and workplaces. Lastly, the report highlights the
responsiveness of the services in the region and
the natural advantages of relatively small regional
cities such as Bendigo in terms of lifestyle and as
a safe place to raise a family.
63 https://www2.deloitte.com/au/en/pages/economics/articles/
economic-social-impact-karen-resettlement.html
Local integration
Millions of refugees around the world live
with little hope of ever returning home. When
resettlement or repatriation are not options,
building a new life in the country of asylum offers
a durable solution to their plight.
Local integration of refugees can include the
provision of legal status and naturalization. It is
a dynamic and two-way process. Refugees must
be prepared to adapt to their new country, while
host communities and public institutions who
welcome refugees must strive to meet the needs
of a diverse population. To effectively integrate
refugees, institutions at national and local levels,
UNHCR > GLOBAL TRENDS 2019
as well as local communities and civil society,
should proactively foster social cohesion and
ensure refugees can access the job market.
Globally, the integration of refugees in the
countries’ labour markets remains challenging.
For example, in Uganda, a 2018 survey by the
World Bank estimated that 4 in 5 refugees were
unemployed and refugees earn wages that are 35
to 45 per cent lower than the host population.64
Refugees have a lower employment rate than
compared to the native-born population and
other migrants, making refugees one of the most
vulnerable groups in the labour market.
64 https://openknowledge.worldbank.org/handle/10986/32511
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