Bilateral Labour Arrangements: Emerging trends for EU Member States

Bilateral Labour Arrangements, especially flexible, non-binding MoUs, have been on the uptake in the 2020s as EU Member States turn to them to plug labour shortages, advance migration diplomacy, and build safer, skills-driven mobility schemes with partner countries. This analytical piece by Bianca Varesio and Orlane Janvier analyses the recent surge of such agreements between the EU and partner countries. 

Bilateral Labour Arrangements (BLAs), especially flexible, non-binding MoUs, have been on the uptake in the 2020s as EU Member States turn to them to plug labour shortages, advance migration diplomacy, and build safer, skills-driven mobility schemes with partner countries. As the EU promotes Talent Partnerships to harmonise approaches, the reality is more complex: national BLAs are not fading but multiplying, underscoring the limits of the EU's migration mandate and Member States’ quest for agility and control. This reveals a strong need for a convincing argument to be made for a "EU approach", whose success ultimately depends on securing strong Member States's buy-in. 

In recent years, Bilateral Labour Arrangements (BLAs)[1] have been gaining traction across the EU. It is estimated that 17 EU Member States have more than 120 bilateral labour migration arrangements with partner countries, many of which have been signed or initiated in recent years and particularly in the 2020s. This upward trend seems to be largely driven by demographic decline, persistent labour shortages across multiple sectors, and broader policy objectives, such as broadening regular labour pathways as deterrent to irregular migration.

BLAs are not new instruments for many European countries. They have been around since the 1950s, when post-Second World War reconstructions efforts created a surge in labour demand that had to be met through recruitment from abroad. Whether amongst European nations (Italy and Germany’s Recruitment Agreement, 1955), or between a European and a third country (France and Algeria’s Migration Agreement, 1968), BLAs served as key tools to facilitate organised, regular and mutually beneficial labour mobility.

A second wind for Bilateral Labour Arrangements

Nowadays, although intra-EU mobility remains a privileged tool, EU MS are again increasingly turning to BLAs to mitigate labour shortages and to support their migration diplomacy with priority countries. Since 2020, countries such as Germany and Spain have been particularly active, concluding new arrangements with partners including India, Indonesia, Kenya, Nigeria, and Pakistan, among others. Notably, EU Member States that had not traditionally relied on such instruments, such as Finland, Romania and even Hungary have recently begun negotiating or signing such arrangements with third countries, such as India and Vietnam. EU Member States vary considerably in their use of BLAs. Heavy users such as Germany, Italy, Spain, and France contrast with others such as Ireland, that relies primarily on its national employment permit system.

Broader scope and new geographical focus

The nature and objectives of BLAs have evolved considerably over the years. In the post-war period, BLAs primarily served to meet urgent reconstruction and industrial labour demands in receiving countries, often involving large-scale recruitment of low-skilled workers under state-managed schemes. The new generation of BLAs emerging in the 2020s reflects a more strategic approach, linking migration, development, and skills. These arrangements promote skills partnerships, circular migration, and safe, regular pathways as part of broader migration governance. Modern BLAs tend to incorporate greater safeguards, mutual capacity building, and alignment with EU-level initiatives such as Talent Partnerships. In sum, BLAs are evolving from short-term economic fixes into long-term policy-driven tools for managing migration more sustainably.

In consequence, current EU Member State BLAs tend to address a wider set of political priorities than in previous decades. For example, the MoU on Migration and Mobility signed in 2022 between Greece and Bangladesh incorporates provisions on the management of irregular migration and readmission. The Comprehensive Migration and Mobility Partnership signed in 2023 between Austria and India further addresses cooperation in vocational education and training. The MoU on Healthcare Cooperation signed in 2025 between Sweden and Indonesia covers capacity building in the origin country, among others. Many other modern BLAs also include language on social security coordination, and the protection of migrant workers, such as the MoU on Circular Migration signed in 2024 by Spain and Mauritania.

In geographical terms, EU Member States demonstrate a strong interest in establishing BLAs with partners in Northern Africa and South-East Asia[2]. In North Africa, factors such as geographic proximity, migration diplomacy, and longstanding historical ties have made the region a key focus for EU MS seeking to establish BLAs.

Flexible and reactive policies: The use of MOUs in current bilateral labour arrangements

When it comes to the legal framework of modern BLAs, Memorandums of Understanding (MoUs) and other soft instruments have increasingly become the preferred tool for EU Member States to establish labour migration arrangements with partner countries. Unlike framework agreements or conventions - formal, legally binding treaties that typically specify recruitment procedures, quotas, rights and obligations, and social security provisions - MoUs are non-binding political instruments, outlining intentions to cooperate, piloting recruitment schemes, or facilitating mobility. This allows governments to move faster and react quickly to shifting/dynamic labour market needs.

This pragmatic approach has been especially common in partnerships with Asian countries, where MoUs are often favoured over formal treaties. Since 2015, around 18 MoUs and other “soft” arrangements have been concluded, or are currently under negotiation, between EU Member States and Asian partners, particularly India, Bangladesh, and the Philippines, reflecting a growing emphasis on flexible, demand-driven migration governance.

On the other hand, framework or partnership agreements remain the dominant model in cooperation with African countries, where migration is typically addressed within broader diplomatic and development frameworks. This is exemplified in the Framework Agreement on Concerted Management of Migrations and Solidarity Development between France and Tunisia. Nevertheless, MoUs are used in this region as well: in the last five years, Austria and Ghana, as well as Spain and Gambia, have concluded labour migration-oriented MoUs.

Circular migration in the spotlight

Additionally, a number of recent BLAs aims at enabling temporary and circular forms of migration. For example, Greece concluded a bilateral Migration and Mobility Agreement in 2022 with Egypt, targeting seasonal workers. Spain also concluded a MoU on circular migration with Egypt (2025) and Portugal an Agreement on Recruitment of Indian workers with India (2022). Another notable development is the increasing use of sector-specific arrangements. Germany, for instance, concluded a MoU with the Philippines in 2022 to facilitate the deployment of Filipino healthcare professionals. In parallel, some arrangements such as the one signed between Austria and Indonesia target particular categories of migrants, in this case young professionals. France has been especially active in this area, having signed several arrangements focused on youth and professional mobility.

European attempts at harmonisation

As more Member States have started to engage with the same third-country partners, the potential for competition over access to migrant workers is increasing as is the coordination burden and drain on third-country administrations and resources. To mitigate this, the EU’s Talent Partnerships initiative aims at fostering coherence through a Team Europe approach since 2023. This instrument represents a coordinated EU framework for collaboration with selected third countries on legal migration and skills development. To date, EU Talent Partnerships have been launched with Bangladesh, Egypt, Morocco, Pakistan, and Tunisia. In addition, through the Migration Partnership Facility (MPF) the EU Commission co-finances labour mobility pilot projects supporting the Talent Partnerships to help address some of the barriers to mobility and matching.

While the EU has introduced Talent Partnerships with countries like Morocco and Tunisia as a more structured framework for cooperation, existing bilateral arrangements, such as the one between Spain and Morocco, continue to play an important role. In practice, these instruments often coexist, reflecting a mix of EU-level coordination and EU MS’ desire for flexibility in managing labour migration.

The multiplicity of BLAs between Member States and third countries underscores the limits of the EU’s migration mandate and calls for innovative mechanisms to foster coordination and genuine “Team Europe” approaches, such as Talent Partnerships or the proposed India Legal Gateway Office.  The real challenge lies in securing Member State buy-in, and a convincing argument needs to be made for a “EU approach” at least in terms of coordination and standards.

 

This blog post was drafted by By Bianca Varesio and Orlane Janvier (ICMPD).

Disclaimer: This article draws exclusively on a screening of BLAs openly accessible online.

 

[1] In this article, BLA is used an umbrella term to indicate bilateral labour migration arrangements broadly, covering both legally binding agreements and non-binding instruments (e.g. MoUs) between Member States and third countries.

[2] Although Latin America and the Western Balkans also feature in this landscape, they are only privileged partners for Spain and certain Eastern European MS. For the purposes of this article, these regions will not be considered.