germany capstone final paper_12 may 2016
TRANSCRIPT
REFUGEES IN GERMANY:
OBSTACLE OR OPPORTUNITY?
ELLEN DAVIS ● ADAM LUKOSKIE ● LAURA PRATT ● TONY SEWELL ● KARTHICK SUNDARARAMAN ● DEBORAH TEPLEY ● TAE YOO
GEORGETOWN UNIVERSITY
EXECUTIVE MBA PROGRAM CAPSTONE PROJECT | MAY 2016
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TABLE OF CONTENTS
Introduction and Overview........................................................................................................................................... 3
Summary of Key Themes .......................................................................................................................................... 3
Our Approach ............................................................................................................................................................ 4
How It Came to This: An Overview of the Refugee Crisis ............................................................................................ 7
The Stakeholders .......................................................................................................................................................... 9
The Macroeconomic Perspective ............................................................................................................................... 14
Demographic Crisis and Implications ..................................................................................................................... 14
Macroeconomic Immediate Impact of Refugee Crisis ........................................................................................... 15
Macroeconomic Challenges and Opportunities of Refugee Crisis ........................................................................ 15
Key Themes and Insights ............................................................................................................................................ 17
Social and Cultural Integration ............................................................................................................................... 17
Historical Context ............................................................................................................................................... 17
Mass Migration Experiences .............................................................................................................................. 17
Kollektivschuld: Reverberations from the Past ................................................................................................. 18
Evolution of German Values ............................................................................................................................... 20
Observations: Key Cultural Factors Impacting Success ..................................................................................... 20
Recommendations .............................................................................................................................................. 23
Processing of Refugees ........................................................................................................................................... 25
Assessment of Refugee Processing .................................................................................................................... 25
The Legal Imperative: Impact of Immigration Laws and Integration Policy ..................................................... 27
Recommendations .............................................................................................................................................. 28
Education and Employment ................................................................................................................................... 32
Overview ............................................................................................................................................................. 32
Recommendations: Educating Up to 16 Year Olds ............................................................................................ 32
Recommendations: Educating 16 to 35 Year Olds ............................................................................................. 33
Corporate Strategy and Response .......................................................................................................................... 36
Overview ............................................................................................................................................................. 36
CSR as Corporate Philanthropy .......................................................................................................................... 36
CSR as Operational Management ...................................................................................................................... 38
CSR as Value Creation ......................................................................................................................................... 39
Recommendations .............................................................................................................................................. 41
Civil and Community Engagement ......................................................................................................................... 42
Perception is Paramount .................................................................................................................................... 42
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Non-Governmental Organizations (NGOs), Community Organizations and Volunteers ................................. 43
Recommendations .............................................................................................................................................. 44
National Security .................................................................................................................................................... 46
Current Situation ................................................................................................................................................ 46
Recommendations .............................................................................................................................................. 47
Conclusion: Final Observations and Recommendations............................................................................................ 52
Clarity ...................................................................................................................................................................... 52
Central Database .................................................................................................................................................... 52
Strategic CSR ........................................................................................................................................................... 53
Integration Requires an Integrated Effort.............................................................................................................. 53
Recognition and Acceptance of Historical Context ................................................................................................ 53
Acknowledgements .................................................................................................................................................... 54
Interviews and Events ................................................................................................................................................. 55
Team Bios and Contact Information........................................................................................................................... 56
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INTRODUCTION AND OVERVIEW
On a warm September day in Turkey, the lifeless body of three-year-old Alan Kurdi washed up on a beach at sunrise.
Kurdi, along with his brother and mother, drowned when the small inflatable boat he was in capsized after his family
fled the civil war raging in Syria. The image, which Time magazine called “the most heartbreaking photograph of
2015,” became a symbol of a catastrophe that has impacted millions of people and killed hundreds of thousands.
And in an instant, a crisis that had seemed many worlds away was on every homepage, every Facebook feed, and
every nightly news program around the world.
The photograph of a little boy in a red t-shirt and navy pants – with Velcro sneakers still on his feet – reminded us of
our nephews, our neighbors and, in some cases, our own children. As business school students at a prominent Jesuit
institution, we began asking ourselves: How did this happen and, more importantly, what can be done about it? Is
there hope for the people fleeing this crisis, and how can they find a better future elsewhere?
Just days before Alan Kurdi and his family set out on their treacherous journey, one world leader made a bold
proclamation: refugees were welcome in her country, and she would not set a limit on the number of people they
would accept. Angela Merkel, who had served as Chancellor for more than a decade, announced that Germany
would be waiving the so-called Dublin procedures, under which displaced people must claim asylum in the first EU
country that they arrive in.
How would Germany process, absorb, and integrate so many people? “Wir schaffen das,” Merkel said, which means,
“We will cope.” And just like that, as hundreds of thousands of refugees set their sights on Germany, we decided to
evaluate for our final capstone project at Georgetown University how Germany could be impacted by,
accommodate, and integrate the millions of refugees who were entering its country over the next several years.
SUMMARY OF KEY THEMES
As we returned from Germany in April to synthesize all we had read, learned, and seen, we coalesced our thoughts
around several defining themes and opportunities. The following pages are a summary of our most poignant findings
and insights which we hope are of value to the people who generously gave us their time to speak with us on this
important topic. What could we provide to the 100 or so people who offered their insights for our final project? The
American viewpoint, they said. Throughout this paper, we offer the following recommendations, based on our
perspective as Executive MBA students in the US, on how Germany can most successfully integrate asylum seekers
into their country for long-term success.
1) Identify opportunities to provide greater clarity to refugees during the asylum-seeking process, as well as
to the stakeholders involved – government, businesses, and civil society – for better-informed decision-
making.
2) Embrace a centralized, nationwide database to better understand the impact of the refugee migration on
its country and track refugees, both to assess the success of integration and also to ensure national security.
3) Realize that not all business responses can or should be the same; companies should make honest decisions
about how they can and would like to most significantly contribute to the integration success, and
consciously create their move-forward plan accordingly.
4) Recognize that success is achievable if all stakeholders are engaged and their competencies are maximized.
Understand the challenges that some key stakeholders may face, and consider providing resources and
support to groups like teachers and volunteers who may be under pressure.
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5) Understand how Germany’s psychological scars from WWII may be impacting its response to this crisis, and
make intentional decisions based on Germany’s current perspective and position to ensure that long-held
anxieties and concerns are not coloring the country’s current actions.
OUR APPROACH
Unlike many business school projects, which lend themselves to a fairly quantitative evaluation of fundamentals and
processes, this undertaking was different. We all believed strongly that this was not only a business problem, but a
humanitarian one – which created far more complexity and creativity than a standard project. The solution was
never going to be as simple as “Just send them back” – and, to their credit – no one we spoke with in Germany ever
suggested that outcome. And with a ripped-from-the-headlines assignment that was literally changing every day, we
were unsure how what we were studying in January would change by May, when we presented the project and
shared our findings.
After we selected this topic in the fall of 2015, we spent the winter and early spring getting up to speed on the
refugee crisis, poring over information and insights about the German economy and culture, and understanding both
political implications and the business impact of a civil war and migration that impacted millions of people. We
attended nearly a dozen conferences, events and webinars to begin to understand the issue, and also conducted
over 50 phone and in-person interviews with German business executives, trade association staff, refugee and aid
organizations, and nonprofits. We also extensively studied German and European history, government structure and
policy to understand the refugee crisis in the context of a government and society that we did not initially
understand.
As we studied this project, the stories – and public perception – seemed to shift. Several Germans told us that the
New Year’s Eve attacks by refugees on women in Cologne began to change the narrative and, perhaps, acceptance
of refugees in Germany. Businesses told us that store sales in highly-trafficked refugee areas were down because
“people didn’t want to go hang out there anymore.” And dramatic gains in its most recent election by Alternative
für Deutschland (AfD), a political party which has made anti-refugee sentiment its core position, seemed to
demonstrate that public perception may be shifting. Still, we were very aware that our perspective was being colored
by the international media, and until we visited Germany for ourselves, we could only learn so much.
In April 2016, the seven people on our team set out across Germany to understand how the refugee crisis was
impacting the German economy, business and its people. Specifically, we were looking to understand whether – and
how – Germany would be able to integrate refugees into its workforce. In the span of one week, we met with dozens
of policy leaders, business executives, volunteers, teachers, refugees, children, nonprofit groups and community
residents (Figure 1 below illustrates the breadth of organizations consulted throughout the project duration). To
understand the impact of the crisis in different cities, we cast a wide net: we started our trip in Munich and visited
Ulm, Böblingen, Cologne, Bonn, Hamburg, Nordstrand and Berlin (see Figure 2). We had incredible access to people,
companies, and stories. Some days ended with hope and an optimism (one moment in Nordstrand was described as
a “fairy tale”) while others left us overwhelmed and somewhat disenfranchised. This was complicated, exhausting,
and – perhaps not surprisingly – there was no single right answer.
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Figure 1: Organizations consulted throughout the research project
Figure 2: Trip itinerary included Munich, Ulm, Böblingen, Cologne, Bonn, Hamburg, Nordstrand and Berlin
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During our interviews, we encountered about every perspective possible. One executive said that the refugee crisis
was just the hot-button political issue at the moment and would be over in six months. Another called it one of
Germany’s defining moments as a country. Some felt a sense of urgency that Germany needed to be doing more to
integrate refugees into the workforce immediately. Another – a government official – said that our analysis was
occurring a year too early and that the country was simply trying to meet the safety and security needs of refugees;
the integration and workforce elements would need to wait.
But despite the differences of opinion, we heard many of the same themes time and again: the number of asylum-
seekers was higher than anyone had thought possible, which led to myriad problems; that it was imperative – though
hugely difficult – for refugees to integrate into German society; and that long-held regrets about Germans’ handling
of minority populations during WWII was coloring its response to this crisis.
Some may have questioned the relevance of this project on a business school audience. “What were the core
business principles to be evaluated?” one confused professor asked us. As we continued to learn what led to this
crisis and, perhaps, understand how it could be remedied, we were struck by the amount of relevance this had on
nearly every academic course we have taken over the last two years: macroeconomics (Germany’s current economic
environment), strategy (how businesses can and should respond to the crisis), global operations and global logistics
(processing of refugees), statistics (regression analysis and modeling to determine Germany’s future population),
organizational behavior (cultural integration and adaptation), and business and public policy – among others. We
were and remain of the fundamental belief that core business principles can and are applied in social situations every
single day.
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HOW IT CAME TO THIS: AN OVERVIEW OF THE REFUGEE CRISIS
While the entire European Union has been impacted by this crisis, Germany bore the brunt of the impact (see Figure
3). Merkel was anticipating that the EU would band together to welcome refugees, but Germany has been by and
large on its own in its response. As EU leaders quibbled over a shared stance on refugees, approximately 1.1 million
refugees fled to Germany in 2015 – far more than anyone anticipated. Not all refugees were coming from Syria (only
about half, according to most reports) and not all migrants were refugees, as some were in search of better economic
opportunities. Still, the majority of people entering Germany were seeking asylum, and they had abandoned their
homes, their language, their livelihood and, in many cases, their families, to seek a better life.
Figure 3: European Migrant Crisis 20151
1 https://en.wikipedia.org/wiki/European_migrant_crisis#/media/File:Map_of_the_European_Migrant_Crisis_2015.png
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And the stream of asylum-seekers didn’t end in 2015. At a German Marshall Fund event we attended in February,
Germany’s immigration department, the BAMF, wouldn’t even estimate the number of refugees they would receive
in 2016. (“We are prepared to deal with one million applications,” was all their representative would say.)
After Merkel’s confident stance last summer to embrace all asylum-seekers, the German people rallied around her.
This was a chance for them to prove to the world Willkommenskultur, the welcoming culture intended to
demonstrate to migrants (to fill its workforce gaps initially and, more recently, directed toward asylum-seekers) that
the German people would go out of their way to welcome refugees. And welcome they did. One Deutsche Post DHL
Group executive we spoke with shared a story about the arrival of the first big wave of refugees last summer, when
“ordinary people organized themselves, pulled what they could from the fridge, went to the train station and said,
‘How can we help?’” Starbucks’ executives told a similar story; when thousands of refugees began arriving at the
Munich train station, which we stayed across the street from, the situation was so critical that employees stood
outside of the coffee shop handing out every bottle of water they had. There’s no question the German people took
this to heart: one person we spoke with said that half of Germans had served as volunteers in some capacity during
the refugee crisis and, while we couldn’t independently validate that statistic, it did seem that a large percentage of
Germans had rolled up their sleeves to help acclimate these asylum seekers to their new life.
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THE STAKEHOLDERS
We began our project recognizing that there were two distinctive groups of people being impacted: refugees, and
German people. As our conversations continued, the more we realized that there were dozens of groups of people
who had a stake in the outcome of the refugee crisis. We often related this project to that of peeling an onion: the
more we understood one part, the more we realized there was more to learn at an even deeper level. As a part of
this work, we felt it important to conduct an analysis to identify key stakeholders, defined as people who are affected
by the refugee crisis, who have influence or power over it, or have an interest in its successful or unsuccessful
conclusion (see Figure 4 for a diagram of our stakeholder map).
Figure 4: Stakeholder Map
Refugees
When attempting to understand Germany’s refugee population, it’s imperative to note that very little data – and, in
many cases, conflicting data – exists about the number of people and their origin. Because Germany hasn’t had a
central database, most numbers about the makeup of the refugee population are speculative at best. Still, this is the
best information we could ascertain about the composition of refugees in Germany:
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Asylum Seekers: A total of 1.1 million people were registered as asylum-seekers in Germany in 2015, five
times more than in 2014.2 More than a third of these – nearly 430,000 people – were fleeing the Syrian civil
war. Another 25% – or 275,000 people – came from two other countries: Iraq and Afghanistan. The
problem? Since Germany offered to accept an unlimited amount of asylum-seekers, many people have
claimed to be one.
Economic Migrants: It’s important to note that not all people migrating to Germany are fleeing persecution.
Some immigrants, called “economic migrants,” are heading to Germany in search of a better life from places
like the Balkans and Morocco. While it’s true these migrants’ lives are not at risk in their home country,
many do have skills and education essential and valuable to the German workforce.
Unaccompanied Minors: One of the most pervasive and complicated narratives was that of unaccompanied
minors, which seem to be a polarizing topic among many Germans. According to UNICEF, Germany has
60,000 registered unaccompanied minors, defined as children under age 18 who are in the country alone,
without their families. The plight of unaccompanied minors has “a huge dark side,” according to Christian
Schneider, Executive Director of UNICEF Germany, who told us a story of four cousins – all boys under the
age of 10 – who traveled to Germany alone. Without a strong sense of community and a network, it is
feared that these children – most of them boys – could be recruited by terror cells or, at the very least,
exhibit typical teenager behavior without a strong family presence in their lives. While this is a common
fear among some Germans, others – like Schneider – believe that this issue has turned political and that
Germans are “letting fear play into the handling of these children.”
Children: As the media and businesses focus on integration of refugees into Germany’s workforce, there is
a perception that they don’t have anything to worry about when it comes to one group: children. While it’s
true that children integrate more quickly than their parents, in many cases, it’s not all smooth
sailing. According to UNICEF, real challenges exist in ensuring the safety of child refugees, especially at
arrival centers and refugee camps, which are often filled with dark spaces and lack indoor bathrooms. And
even children who seem “fine” may suffer serious psychological effects which could inhibit learning and
education without proper support and counseling. Many have not been in a formal school setting for years,
which impacts both their education and socialization. Then there are the children no one knows about:
according to Europol, 10,000 children have completely disappeared3 – many may have left the system to
find relatives, but others have likely been trafficked into the sex trade.
Civil Society
Volunteers: From teaching German classes to fostering children to donating clothing, the German people
are responsible for much of the success of this effort so far. Like so many aspects of this crisis, we searched
but did not find data totaling the number of volunteers supporting refugees in Germany, but any reasonable
estimation is in the hundreds of thousands. Volunteers we met with tell of the frustration around lack of
information, the exhaustion, and the joys - success stories, tremendous bonds, and the gift of giving. We
were told by nearly every leader and citizen we met with that without the volunteers, this care and
integration effort would not be possible. They also shared their grave concern for the volunteers’ well-
being, and the sustainability of the effort which is so critical to the country. After nine months, it’s
understandable that fatigue is beginning to set in among many who are core to this effort. “Angela Merkel
can take a lot of credit for this, but if the volunteers quit tomorrow, this would all come crashing down,”
said one woman we spoke with.
2 http://www.ibtimes.com/europes-refugee-crisis-germany-registered-over-1-million-asylum-seekers-2015-2251590 3 http://www.nytimes.com/2016/02/10/opinion/10000-child-refugees-are-missing.html
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Teachers: With an additional 300,000 students entering classrooms in 2015, educators are being asked to
teach more students with less resources. And these students are not traditional students, they are from
many different countries, with many different languages and extremely varied backgrounds, and bring with
them trauma and different learning needs. The teaching force has risen to the challenge and is embracing
these students, going to extremes to educate them and help them feel welcomed. Given the tremendous
impact that teachers have on educating the 300,000 refugee children in Germany, it is imperative that
teachers have the resources - both material and, in some cases, psychological - to work with these children.
Residents: The impact to German citizens ranges considerably. We visited several places where people
insisted their daily life has not changed, and noted that we could not discern an obvious presence of
refugees in most places - particularly notable because we were deliberately looking for them. In other areas,
the stress on the community was palpable, and their elected leaders shared stories that inform their deep
concern for the rising tension.
Nonprofits/NGOs: Because the German social system is responsible for the welfare of its citizens, these
organizations are new to Germany. We met with the founder of a small NGO, the German Director of a
large, volunteer-funded organization, and the CEO of an education foundation. From all three, we learned
that one challenge is earning trust and coordination from the government, as they don’t want to be seen
as failing to fulfill their role, especially since German tax rates are as high as 50% in some cases. We also
heard how important these organizations are to refugees, as some have trouble trusting the government
given the persecution they experienced at home.
Faith-Based Organizations (FBOs): While we didn’t directly interact with any faith-based groups or leaders,
several members of the Nordstrand volunteer community shared that churches are finding great purpose
in assisting their local refugees. For example, our research indicates that churches are mobilizing to provide
food and clothing, and offering their facilities for shelter. One of countless examples is an exhibition center
in Berlin that now houses 1,000 after having been converted to living spaces in October.4 It appears that,
like many businesses and faith-based organizations often partner with NGOs to provide support.
Media: The most significant feel we got about the media was that there are concerns, like everywhere in
the world on any subject, that sensationalism is shaping public perception, and that there is a history-based
distrust still very present in Germany of the Lugenpresse (“lying press”). Deutsche Welle reported in
October that in a recent German survey, 44% of respondents said they partially or wholly believe the media
regularly lies to the people.5
Businesses
Many of the businesses we spoke with were large corporations, employing thousands of people in Germany – so a
great deal of our perspective on the business climate is through their lens. These large businesses are an imperative
solution to the problem because they are most capable of contributing financially and in other ways (employee
volunteers, internship programs, etc.) to aid in the refugee effort. Based on our interviews, companies in the service
sector (hotels, restaurants and retail stores) are most likely to be able to hire refugees in the short-term, while
manufacturing companies and others were providing support but were not looking at the refugee population as a
suitable pool for hiring at scale. We did speak with several trade groups that represent small and medium-sized
businesses, and those groups seemed to imply that small and medium-sized business owners also had a positive
perspective of the refugees, but the concern is that lack of clarity on whether these asylum-seekers would be allowed
to stay (and for how long) would be a barrier to hiring.
4 http://www.mormonnewsroom.org/article/refugees-aid-europe-church-governments-humanitarian-partners 5 http://www.dw.com/en/lying-press-germanys-misleading-media/a-18816438
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Government
Federal: Germany is a democratic, federal parliamentary republic, and federal legislative power is vested in
the Bundestag (the parliament of Germany) and the Bundesrat (the representative body of the Länder,
Germany's regional states). Since 1949, the multi-party system has been dominated by the Christian
Democratic Union (CDU) and the Social Democratic Party of Germany (SPD). Angela Merkel has served as
Germany’s Chancellor since 2005 and leader of the CDU since 2000.
State: Germany consists of 16 states, which retain a measure of sovereignty. A quota system allocates a
specific percentage of asylum applications based on tax receipts and population numbers among each state.
While not as paralyzed as the cities, there seems to be incredible differences in how states are handling the
refugee crisis. Some states are models of efficiency, while others are burdened by bureaucracy and barely
keeping up.
City: Cities seem to be areas where many local politicians feel tremendous pressure given that they are on
the front lines of the refugee crisis. Since refugees are assigned by the federal government, some cities feel
handcuffed and somewhat constrained, being forced to get creative about housing and employment,
among other challenges. While Germans are, in large part, empathetic to the plight of refugees, local
policymakers find it hard to escape the emails which all start with “I have nothing against the refugees,
but…”
Political Parties: The most topical element here is the rise of AfD, which has seen a sizeable rise in notoriety
and popularity among some for its anti-refugee stance. As Americans, we heard a lot in Germany about the
similarities between the AfD and Donald Trump, given that the two have both used sensationalism, fear
and unconventional tactics to gain public opinion.
Federal Office for Migration and Refugees (BAMF): The BAMF is the department inside the Federal Ministry
of the Interior, responsible for processing refugees. While it is easy for some to complain about the slow
processing of refugees or bureaucracy, it’s also important to note how completely caught off-guard this
agency was by the number of refugees who arrived last year. And while it’s common to hear from
businesses, refugees, and others that the processing time is painfully slow, there is a balance between
processing people quickly so they can work and vetting them properly to address any potential security
concerns. And, of course, it isn’t even that easy, as staff members at the BAMF are responsible for looking
for economic migrants or others who may be posing as asylum-seekers for a better shot at approvals.
Interpreters have been vetted to determine “whether the Syrians are really from Syria” by recognizing
distinctive dialects and asking about important country landmarks. This is not an easy task, and the sense
of exasperation among leaders at the BAMF was evident. Since the crisis began, “the number of asylum
experts in the country has increased exponentially,” said their spokesperson, dryly, at an event we
attended.
Saboteurs
ISIS: Many asylum-seekers are fleeing the atrocities committed by ISIS, the Islamic State of Iraq and Syria,
which has control over vast landlocked territory in Iraq and Syria, with a population estimate ranging
between 2.8 to 8 million people. While many refugees are leaving their home countries to escape ISIS,
reports have surfaced of refugees finding militants in their new countries as well. Numerous reports and
speculation by world leaders have circulated that ISIS members have entered Germany among the other
refugees. "We have repeatedly seen that terrorists ... have slipped in camouflaged or disguised as refugees.
This is a fact that the security agencies are facing," said Hans-Georg Maassen, the head of Germany's BfV
(Germany’s domestic intelligence agency).
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Smugglers: There are few people benefiting more from the refugee crisis than smugglers, who are
capitalizing on the throngs of people heading for safety. According to Europol, up to 30,000 people may be
involved in the smuggling operation with boats that are intentionally flimsy (so that if they are seized they
don’t lose much of their investment) and services they advertise on Facebook. Smugglers are notorious for
over-demanding and under-delivering, often cramming their customers into small rafts, trucks, and other
transportation with a business that European officials estimate runs in the billions of dollars. And even when
refugees make it to safety, they can’t escape: we heard stories of people taking lower-paying jobs instead
of choosing vocational education because they needed money immediately to pay their debts to the
smugglers.
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THE MACROECONOMIC PERSPECTIVE
Germany has one of the strongest economies in the world, boasting the largest GDP in Europe and the fourth largest
globally.6 Germany’s economy is export-driven and the country has the largest trade (“current account”) surplus in
the world, with an accompanying large budget surplus. Germany has a social market economy, which holds in
balance a free market system with a welfare state. Germans are renowned for their productivity and rank as one of
the most productive countries in the world. This is in part due to incremental improvements in technology over time,
which has led to technology replacing low skilled labor in many fields, as well as Germany’s unique vocational training
system that ensures high quality, skilled labor.
While investments are low, domestic consumption has been higher in recent years, driven by a confidence in
Germany’s economic model. Germany projects GDP growth rates next year of 1.5%.7 Unemployment is at historic
lows, currently hovering around 4.7%, and Germany is actually the only country in the EU with full employment,
which means that its economy cannot grow without labor from outside the country.
DEMOGRAPHIC CRISIS AND IMPLICATIONS
While Germany is an economic powerhouse, it is concurrently facing a demographic crisis (see Figure 5). A low
birthrate, with deaths exceeding birth resulting in a natural population decrease, poses an economic challenge, as
Germany’s workforce is declining and not able to replace retiring workers. 8 The net loss per year of workers is
250,000 to 300,000, and by 2035 they project to have a shortage of 4 million workers.9 A shrinking workforce is
particularly concerning due to the very expensive promises (or “unfunded liabilities”) for social services that
Germany has made to older workers and the elderly that places a significant tax burden on young workers. This will
only grow unless the workforce also grows in tandem. The fact that Germany is at full employment only exacerbates
the problem; as a result, Germany’s economy cannot continue to grow without labor from outside the country.
Figure 5: Comparison of 2017 US and German population pyramids10
6 http://money.cnn.com/news/economy/world_economies_gdp/ 7 Haver Analytics, Economic and financial indicators, The Economist, 9 April 2016, p. 88 8 Germany, Europe’s second largest country with a population of 81 million, has just 746 births per 1,000 deaths and a total fertility rate of only 1.5. Source: Kenneth M. Johnson, Layton M. Field, and Dudley L. Poston, Jr., Population and Development Review, “More Deaths Than Births: Subnational Natural Decrease in Europe and the United States,” 15 December 2015 9 McDonald’s PowerPoint presentation, April 2016 10 http://trading-u.com/blog/2011/12/even-without-a-banking-crisis-the-u-s-has-a-steep-advantage-over-europe/
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But Germany’s needs for labor are unique: the labor market lacks skilled workers, ranging from doctors and lawyers
to trade workers. The greatest need, according to the Cologne Economic Institute, is in the “MINT,” or Mathematik,
Informatik, Naturwissenschaft und Technik, which is to say, math, information technology, science and technology
(“STEM” in the US). While the US has the ability to absorb low-skilled workers in the manufacturing and service
sectors, Germany’s technological improvements (made in part to mitigate its shrinking workforce) have caused an
evolution in its workforce that has removed the need for many low-skilled jobs. Many manufacturing jobs are
technologically sophisticated and require highly-skilled technical workers, and many low-skilled jobs have been
replaced by automation or outsourced. As a result, the government – which currently lacks a consistent, coherent
immigration law – has been trying to figure out how to attract skilled workers from abroad. It has not been as
successful as it needs to be, however. Websites like “Make It In Germany”11 – a site for qualified professional workers
– are not attracting the kind of talent that Germany is losing as its aging population retires in the numbers that it
needs. This is in part due to the language barrier. Most people outside of Germany do not learn German in school,
and the requirement to learn this difficult language keeps skilled workers from responding to Germany’s call.
MACROECONOMIC IMMEDIATE IMPACT OF REFUGEE CRISIS
An obvious question is how Germany will handle the financial burden of caring for an additional million refugees.
However, we repeatedly heard in our interviews that Germany has plenty of money, and that money is not the issue
(yet). Germany has a surplus of that it has committed for cover expenditures on the refugee crisis over the next two
years, and Germany has plenty of fiscal room to borrow and spend more. In 2015, the country spent 0.35% of GDP
to fund expenditures related to the refugee crisis, which is relatively insignificant in the larger context. However, it
is also clear that money alone will not solve the refugee crisis.
In the short term, the IMF says the refugee surge is likely to lead to a “modest” increase in GDP growth, due to both
the extra money spent by governments to support asylum seekers and the expansion of the labor supply, and it will
be concentrated in the main destination countries: Austria, Germany and Sweden.12 More government spending
means more economic activity. The money that is being spent on the refugee crisis is being spent creating jobs,
paying landlords for housing, and paying the refugees money that is being spent to buy food and other items. This
kind of government spending creates a domestic virtuous economic circle. However, this kind of GDP growth is not
sustainable in the long-term and cannot be a long-term strategy for growth.
MACROECONOMIC CHALLENGES AND OPPORTUNITIES OF REFUGEE CRISIS
In the immediate term, or “short run,” Germany’s outreach to refugees is really a humanitarian concern. The
refugees, who are largely low or no skilled, certainly cannot immediately make up the workforce gap that Germany
is currently facing and will not solve its demographic crisis, and the refugee crisis cannot take the place of a
successful, coherent immigration policy to attract skilled workers. The refugee crisis is highlighting the need for real
commitment to immigration policies to address the “cliff” that the economy has already gone over in terms of
demographics. However, in the mid to long term, or “long run,” the refugee crisis could be good news for Germany.
While there is tremendous political risk in the short term, and the crisis has immediate costs, there could be modest
economic benefits down the road. If the country chooses to invest in educating and training refugees, who are
predominantly under the age of 35, there could be an economic benefit in the long term. As Staatsrat Jan Pörksen,
Secretary of State for Authority for Labor and Social Affairs in Hamburg said, “They have time, these refugees still
11 http://www.make-it-in-germany.com/en 12 http://www.marketwatch.com/story/what-the-turkish-german-experience-says-about-the-economic-impact-from-refugees-2016-01-21
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have 32 years left before age 67 retirement. It is worth investing in five years of training.” Germany has a surplus big
enough to shoulder the immediate burden and can afford to spend what is needed to integrate refugees into the
social and economic fabric of the country.
While there are potential benefits, the refugee crisis also has the potential to cause harm to the economy if not
handled well. Political decisions and public opinion could have a huge effect on the economy, as could decisions
within the wider EU community regarding refugees. If borders in the EU do close because of the crisis, this will create
a crisis for free trade. This will be especially hard on Germany because of their export-oriented economy.
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KEY THEMES AND INSIGHTS
In this section we dive into five key themes and insights that we developed from our research. These include: social
and cultural integration, the processing of refugees, education and workforce, corporate strategy and response, and
national security. In each section, we attempt to provide background information and observations that are useful
for the reader, as well as recommendations.
SOCIAL AND CULTURAL INTEGRATION
HISTORICAL CONTEXT
Germany’s rise from the ashes of World War II and the oppression of the Iron Curtain to become a global economic
leader, and standard bearer for the EU, is something the German people are rightly proud of. But Germany’s
historical experience across a number of key events and milestones has fundamentally shaped the culture and
consciousness of the modern German society. These factors were clear to us in how the German people are reacting
to the current refugee crisis, and more general demographic challenges facing the economy.
MASS MIGRATION EXPERIENCES
Germany is no stranger to mass migration, having been the destination for some of the 20th century’s most
significant movement of refugees. In 1945, at the end of World War II, the expulsion of millions of people of German
ancestry from Eastern Europe represented the largest movement of populations in European history.13 Whether
attempting to flee the new communist rule, or being forcibly expelled, many faced significant hardship and brutal
treatment by the new ruling regimes. Significantly, most were returning to a Germany in ruins, with all European
countries struggling to deal with the hardship of their own citizens. On the other side, the policies of the Nazi regime
also created unprecedented number of refugees throughout Europe. In fact, the movement of refugees after the
war ultimately precipitated the Geneva Convention on Refugees in 1951, a framework still in place today and
impacting the current European refugee challenges. During World War II, countries throughout the world lacked
policies for dealing with refugees, or simply did not want to accommodate them, further exacerbating the problem,
and in many cases, returning them to Germany. This no doubt weighs on the German response to the current crisis.
The Wirtschaftswunder, also known as the Miracle on the Rhine,14 describes the rapid economic development and
reconstruction of the West German economy after World War II. In helping to drive this economic growth, from the
1960s West Germany established a labor recruitment agreement with Turkey to bring in Turkish guest workers
helping to build growth through contribution to production levels, tax revenues and social security contributions.15
While this was a temporary program, ultimately over three million Turkish people remain in Germany today as a
byproduct. In our interviews, the Turkish migration was referenced many times as a failure. By allowing migration
but not integrating Turks into German society, high numbers of unemployment, lack of education and low pay
continue to exist among these people and, in some cases, their ancestors.
Reunification of Germany in 1990 also saw a long and sustained movement of population from East to West, with
almost two million inhabitants of the former East Germany moving westward, initially in large numbers but
13 http://www.bbc.co.uk/history/worldwars/wwtwo/refugees_01.shtml 14 https://en.wikipedia.org/wiki/Wirtschaftswunder 15 http://www.spiegel.de/international/germany/turkish-immigration-to-germany-a-sorry-history-of-self-deception-and-wasted-opportunities-a-716067.html
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ultimately finally slowing to a minimum by 2013.16 East Germans moved at the prospect of better jobs and a brighter
future in light of a crippled economy under the former communist regime. The process of reunification of Germany
was a significant fiscal and economic challenge for the reunited country. Even today there is an obvious invisible
divide between the East and West, evident in cultural and political attitudes with the East being home to a growing
right wing opposition to refugees and Islam, through Alternative für Deutschland (AfD). Additionally, there is a clear
economic divide between both sides of the country, illustrated by high unemployment rates in the East.
Finally, the Balkan conflicts of the mid 1990’s saw significant movement of refugees initially fleeing the conflict itself,
but even today representing a significant proportion of annual asylum applications from countries like Kosovo.
Significantly, in 2014, 203,000 Kosovars applied for asylum in Germany, an increase of 60% from 2013. However,
most asylum claims are not upheld on the basis that such applications are based on economic circumstances.
Germany has recently declared Kosovo and the Balkans as “safe” states, allowing immediate rejection of asylum
claims. It is understood that there are also moves for other countries like Pakistan to be declared as such, to reduce
the pressure on claims for groups like Syrians.
KOLLEKTIVSCHULD : REVERBERATIONS FROM THE PAST
Figure 6: Sign at a Berlin metro station Figure 7: Adolf Hitler’s name in the Bundestag
Throughout our field research, there was significant surprise and underestimation of the continued influence of
the actions of the Nazis during World War II. Reminders were ever-present and deliberate in reinforcing the
16 http://www.telegraph.co.uk/news/worldnews/europe/germany/10466089/East-to-west-German-migration-trickles-to-a-halt-23-years-after-
reunification.html
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atrocities Germans perpetrated during the war, and the scar that it left on the German culture. Such examples
could be seen in public spaces, like a sign outside a Berlin metro station listing the most notorious concentration
camps (Figure 6). Interestingly, through the Bundestag (also known as Reichstag), reminders to politicians were
also seemingly everywhere, whether the deliberate masking of Adolf Hitler’s name on the wall commemorating all
current and former elected politicians (Figure 7), or the remnants of graffiti from liberating Soviet soldiers (Figure
8).
Figure 8: Soviet soldier graffiti in the Bundestag
For German lawmakers, the frequent and stark reminders of the Nazi legacy in their national parliament have a
continued influence on the nature of policy developed even today. As will be discussed later in this paper,
immigration policy continues to be a significant challenge for the German parliament, but is fundamental to the
future economic growth prospects for Germany. While many countries within the EU, and globally, have addressed
aging labor and demographic shifts through social policies to encourage higher fertility and birthrates, Germany has
not embraced such social policies. An explanation for this seemingly sensible approach could be a result of a desire
to avoid policies that could be linked to former Nazi Party initiatives, regardless of their disconnection from the more
extreme policies pursued in that era.
The flip side of these observations was the predominant and overwhelming level of generosity, welcome and
acceptance of refugees by most Germans encountered on this journey. This was evident in a number of areas. For
instance, the social security system provides generous payments to refugees once they register, and continue
indefinitely even if asylum status is rejected. This seems nonsensical from a US-centric point of view, and surely
requires consideration as the number of refugees continues to increase. Interactions with business leaders,
volunteers and politicians alike evidenced a strong sense of duty to do “what is right” in providing shelter and
protection to people fleeing violence and persecution. Clearly, however, this open door welcome is being tested, as
will be discussed in further sections. The limits of generosity of people and the political will of government is being
tested by the expected future influx, uncertainty and lack of clarification on the length of this crisis, stress on social
institutions and volunteers, the lack of universal commitment across the EU in terms of a shared response, and the
ever-present threat of a terrorist act that could derail the whole effort.
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EVOLUTION OF GERMAN VALUES
The tumult of the 20th Century clearly has had an impact on what it means to be “German,” and what defines the
German culture. One executive of a prominent multinational corporation we interviewed captured this clearly,
stating: people go to America because they want to be American; people go to Germany but do not necessarily want
to be German, or do not know what it means to be German. Historical experience has defined external perceptions
of what it means to be German, and in some respects there is clearly an apprehension on the part of German culture
to herald Germanic culture, as America would, to avoid any possible link to the shadows of its nationalistic past.
We were struck by the perspective of Christof Ehrhart, Executive Vice President, Corporate Communications and
Responsibility, Deutsche Post DHL Group, and Adjunct Professor at the University of Leipzig, who referenced in our
discussion with him that Germany is in the third phase of the recent evolution of German values and culture (see
Table 1).
Phase Description
Phase 1: World War II to Post Unification Years: 1945 to 2005
A significant period of economic growth and political transformation.
Phase 2: The Summer Fairytale Years: 2006 to 2014
Germany’s hosting of the 2006 World Cup provided the country the opportunity to showcase the “new” Germany to the world as a peaceful and hospitable place. This event also allowed Germans to feel more comfortable in their national pride, and to wave the flag proudly for the world to see.
Phase 3: Current Refugee Crisis Years: 2015+
Ehrhart posits that this current challenge, and the national and regional implications that it presents, will have a lasting impact on how German culture develops and how Germany is perceived internationally.
Table 1: Recent Evolution of German Values and Culture
For refugees, learning German values is a challenge and a barrier to effective integration, for example, valuing
respect for things like gender and sexuality, and more basic issues like the concept of punctuality – values that are
important to German society. As a result, being able to define what it means to be German clearly presents a
conundrum for the society.
OBSERVATIONS: KEY CULTURAL FACTORS IMPACTING SUCCESS
IMPORTANCE OF LANGUAGE
Throughout the period of field research, language was consistently cited as the biggest barrier to effective
integration of refugees (and migrants generally) into the Germany economy and society. However, as a complex and
regionally specific language, most non-European migrants have little knowledge or understanding of the language.
In particular, for migrants of Middle Eastern descent, the German language presents a significant challenge due to
fundamental differences in both the written and spoken forms.
The necessity to master the language is also driven by both the location where refugees settle, which is often beyond
their control, and the type of employment they are in. For instance, people working in service industries in tourist
areas like Munich may be able to find success despite a lower level of German initially, but must speak English
fluently in order to service mostly English speaking customers. For many refugees, however, knowledge of English is
also not a given.
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Language proficiency, particularly for younger age groups seeking a long term career in Germany (i.e., 35 years old
or less), is critical where entry to the vocational education system provides the best path to long term jobs paying
above minimum wage. However, language training systems provided by the government to build this proficiency
were observed to be out of step with vocational educational system needs. Ulf Matysiak, CEO of Teach First
Deutschland, advised that government assistance for language training currently only covers to level B1,17 requiring
investment in about 1000 hours of education. However, entry into the vocational education system requires a
minimum level of B2, only requiring only an additional 300-400 hours of schooling. This appears to be a low marginal
investment, for a significant benefit for refugees seeking a career. This would also possibly have important incentive
effects for prospective students.
GENDER STEREOTYPES AND INDIVIDUALISM
As a progressive society with a strong sense of equality in terms of sex, race, sexual orientation and religion, German
social norms clearly challenge some segments of the refugee population, presenting a barrier to effective
integration. This was observed through a number of examples in interacting particularly with refugees and
volunteers.
Some female volunteers interviewed, particularly those in educational or leadership roles, had experienced
situations where refugee males of Middle Eastern descent would refuse to participate in class or engage with female
volunteers. This was a clear source of frustration for such volunteers, however those interviewed were pragmatic in
their approach in that they would equally refuse to engage with those who would not cooperate. Another example
of a gender stereotype was a story of a man who didn’t want to participate in a classroom environment out of shame,
in that he wasn’t instead working and providing for his family. Additionally, many German companies have significant
number of females in management positions; for example, at McDonald’s Germany, 47% of management positions
are held by women. The company feels like they are able to address this shift in cultural differences through clear
rules and expectations of diversity in the workplace: “If you don’t accept the rules, you leave,” explained an
executive. Such examples represent significant challenges for refugees seeking to integrate into a highly foreign
environment that embraces diversity and tolerance. Researchers also observed many examples of refugee men and
women working with volunteers and respectful of German value for diversity and equality.
Figure 9 illustrates a comparison of cultural dimensions based on Hofstede’s theory. 18 Countries compared to
Germany include those where significant number of refugees originate from (Ethiopia is provided as a proxy for
Eritrea given the absence of data for this region). Interestingly, Germany scores very high for individualism, a
fascinating paradox given the observed social inclusion and response to the refugee crisis. However this also possibly
supports the observed importance of diversity and tolerance of the German people. The disparity with refugee
groups does demonstrate one aspect of the cultural divide that refugees must adapt to.
17 https://en.wikipedia.org/wiki/Common_European_Framework_of_Reference_for_Languages 18 https://geert-hofstede.com/
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Figure 9: Hofstede Cultural Dimensions
LONG TERM ORIENTATION
Figure 9 also uncovered a more critical cultural difference that is having a potentially material impact on the
integration effectiveness, and long term opportunities for refugees. For two of the largest refugee groups, Syria and
Iraq, long term orientation is much less than half that of Germans. This was observed to manifest itself in a critical
tradeoff that particularly younger refugees, between the ages of 16-25, face regarding a decision to enter the
vocational education system.
According to one senior German economist interviewed, young refugees with no (or minimal) qualifications are
faced with two general choices for employment - vocational education or a minimum wage job. Vocational education
in Germany is a dual educational and on-the-job training scheme to build certified skills in certain job areas, from
retail through to trades, like electricians and plumbers. Vocational training takes some years to complete, and offers
a below minimum wage job, but is seen as a joint investment between the individual, the state, and the employer
to develop skills, and ultimately provide for higher pay and living standards in the future – the long term. By contrast,
such refugees are also faced with a choice to enter an initially higher paying minimum wage job that will have much
lower potential future prospects.
The tradeoff is being driven by a number of potential factors, including the need or “duty” to provide for the family,
the necessity to contribute to funds to assist bringing other family members to Germany or paying debts to human
traffickers, or the desire to maintain face amongst the social group by avoiding further education. The vocational
training systems of Germany and Austria are unique across developed economies, and are recognized as critical
elements of their industrial success. The characteristic of German people to value the long-term benefit drives young
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Germans to enter these programs with the promise of greater prosperity and retirement security. This presents
somewhat of a paradox for refugees, coming from a culture generally not placing high value on the long term, instead
living for the now. This is exacerbated by the other pressures placed on them as previously discussed.
While some elements of culture are more teachable and lead to clear recommendations, the difference in long-term
orientation is a fundamental behavioral characteristic formed over time based on a person’s history and experiences.
A refugee who fled his home in the middle of the night and made a precarious trek to Germany will have a very
different perspective on the future than a German whose profession was identified when he was 14 years old and
he began vocational training. In this case, a greater awareness of this difference in mentality is an important element
for Germans, and understanding the perception of refugees in contrast to the German people will be an important
element in creating programs – from language classes, to government policies, to workforce training.
RECOMMENDATIONS
REVIEW GOVERNMENT-FUNDED LANGUAGE MECHANISMS
As highlighted by the Cologne Institute for Economic Research, Germany’s labor shortages now and into the future
exist within the vocational education system; the traditional basis for German economic strength. However, clearly,
government-funded language training systems are failing to prepare willing refugees sufficiently, by stopping funded
language training at level B1. The marginal investment in supporting training to level B2, a requirement for entry
into the vocational education system, appears to be low-hanging fruit to supporting the needs of refugees and the
German economy. In our Education and Employment section, we provide other recommendations to address
flexibility around vocational training systems to foster greater refugee participation and success.
FOSTER INFORMED DECISIONS FOR REFUGEES
The long-term orientation differences between the German people and some of the major refugee groups is not an
easy cultural disparity to address. However, mechanisms need to be in place to ensure that refugees fully understand
the ramifications of trade-off decisions they are forced to make in the short term that could have a significant impact
on their long-term prosperity. This must be addressed through deliberate and structured communication and
integration training offerings to help educate refugees on a range of issues, including the educational system,
navigating the government and educational system, and other critical topics that are not common knowledge for
non-Germans.
Additionally, while outside of the scope of our analysis, it is recommended that policy makers consider the costs and
benefits of reviewing pay rates for vocational training, in order to help shape better decisions on behalf of refugees,
and the general German populace.
TEACH GERMAN VALUES
Germany is at a critical point in its social consciousness regarding what it means to be German. This provides a
challenge for migrants in developing an understanding of these cultural values and norms. Currently, migrants
seeking to become German are not officially assessed on certain cultural aspects until very late in their citizenship
process, only just prior to receipt of a passport. This could take many years. It was clear in discussions with various
volunteers, that structured and documented material to teach German values was just as critical as knowledge of
language, in helping to break down various cultural barriers and stereotypes. Indoctrination into the German culture
should start occurring very early in the process. German society needs to take a position from the start to assume
that refugees will stay and begin to help them understand the German culture so that they can better adapt and
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integrate to this new way of life. Whether they do stay long term or not is irrelevant, for those that do stay will be
given a better opportunity to integrate from the start of the process.
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PROCESSING OF REFUGEES
ASSESSMENT OF REFUGEE PROCESSING
When asylum seekers enter Germany, they must visit a “reception center” in order to request asylum, which is the
first step in a chain of events. The full process is designed to be completed within 18 months. One of the most
fundamental challenges we heard repeatedly was the issue of the time it takes to process refugees. Because
Germany received far more refugees than it intended in 2015, it is certainly understandable how an influx of people
created a backlog in the system. However, we identified several elements for re-evaluation or addition to the
process.
Figure 10 maps the official process for migrants, including refugees, according to the BAMF website.19 We also
overlay the major impediments to and gaps in the process due to the volume of refugees overwhelming it.
Figure 10: Refugee Process Flow
19 www.bamf.de/SharedDocs/Anlagen/EN/Publikationen/Flyer/flyer-erstorientierung-asylsuchende.html?nn=1451242
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1. ARRIVAL AT A GERMAN ENTRY POINT
Vetting: In 2015, an estimated 80% of refugees were not thoroughly vetted prior to entry, including validation of
identities and input into the Eurodac regional database. Germany is now shoring up those checks through the asylum
application and interview process. Thorough vetting in Turkey as a result of the EU-Turkey deal will mitigate this in
the future. Where fraudulent applications are found, persons are given three month suspended sentences and
ordered to leave the country within a month. Germany must increase manpower and Eurodac machines, and begin
tracking where the refugees return to. The Washington Post reported in April 201620 that after their expulsion in
Greece, two of four Paris attackers successfully entered France and detonated themselves. The other two were
captured en route.
Special Populations: An estimated 95,000 unaccompanied minors arrived in the EU last year, with 50,000 to 60,000
of those registering in Germany alone, approximately 10,000 of whom were reported missing.21 Fears are increasing
that traffickers and criminals are preying on this most vulnerable population. Children who do register are usually
sent to a group accommodation with one adult per eight children, but are not always getting the support they need.
Many volunteers are willing to foster and provide legal guardianship, if only they could be connected with children.
One person we interviewed told us that lawyers in particular are encouraged to foster, as they have the legal
background to help refugees navigate the system. These children, in addition to families and those with illnesses and
other special needs, must be identified in a central database for further support.
2. RECEPTION PHASE
Application Process: During the height of the flow last summer and fall, thousands waited in line for weeks to apply
for asylum. The process was unclear and haphazard out of necessity, resulting in further frustration and delays.
Reception centers should create and hand out step-by-step instructions with multiple languages and pictures for
ease of communication, and allocate resources to completing paperwork, reviewing applications, and interviews.
This should include follow-on information such as job centers, integration courses, and schools and medical facilities
available. Since nearly all refugees are reported to have smartphones and heavily depend on them, developing social
media avenues would also be tremendously helpful. This would also help refugees connect with a network, a
necessity according to refugees we spoke with.
Freedom of Movement: While refugees are told to remain in the state, they can come and go from the reception
centers, a humane way to allow them some autonomy to shop and attend classes and community events. However,
in many cases they are not required to sign in and out, resulting in many who have disappeared. As Germany
improves electronic registration, it must be disciplined in maintaining visibility of refugees.
Emergency Shelters: Where reception centers were overcrowded, many states stood up temporary shelters in
school gymnasiums and hurried to make unused facilities available. These facilities are causing additional strain on
communities and sequestering refugees further from direct access to neighbors, which further delays integration.
As the backlog begins to clear, Germany must prioritize moving refugees into integrative housing in cities and towns
across their municipalities.
20 https://www.washingtonpost.com/world/national-security/how-europes-migrant-crisis-became-an-opportunity-for-isis/2016/04/21/ec8a7231-062d-4185-bb27-cc7295d35415_story.html 21 http://www.theguardian.com/world/2016/apr/12/almost-6000-refugee-children-missing-last-year-germany?mkt_tok=eyJpIjoiTkRObVltRTJOVFl4WVRnMSIsInQiOiJOK25sdGlxWnFNNFU2R2JaNHN2bjlYdTE2Rm5QZUUxeDZHeWQrN1EzK1BtRll2WWFPNzh4UHBCZlBLemRhV2xZempzXC9IU2lJYUF2WCtCZnpXeVlYK3NCaHVGT2pvVko3SnFBZWYwNHVJN3c9In0%3D
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3. MOVEMENT TO MUNICIPALITIES
Access to Effective Housing: While many cities and towns are dispersing refugees into group hostels and apartments
in proximity to neighbors, shops, courses and future employment, many are housed in communal shelters on the
fringes of communities, without access to transportation and interaction with citizens, further delaying development
of refugees into German society. For integration to be successful, a thoughtful approach must be utilized, to allow
people to more quickly find housing in communities where they may find success.
Integration Courses: The course is a full-time requirement of all adult (over age 16) asylum seekers, and includes
600 hours of language followed by 60 hours of orientation training over a period of 2 years.22 Orientation could be
included earlier so refugees are immediately learning the culture, laws, and values of German society to assist them
in their early interactions in communities.
Access to Employment Opportunities: While restriction from work has been decreased from nine to three months
upon receipt of a temporary residence permit, refugees still must have a concrete job offer with a specific job
description and list of responsibilities in order to receive a work permit.23 This includes access to vocational training.
Job Centers and the BAMF, who are responsible for linking jobs with job-seekers, should consider assessing prior
skills, interests and aptitude of refugees during their integration courses to help shape their future work
opportunities during these intervening months. See our Education and Employment section for further
recommendations.
THE LEGAL IMPERATIVE: IMPACT OF IMMIGRATION LAWS AND INTEGRATION POLICY
IMMIGRATION LAWS
The rules provide the foundation for how and why Germany is responding
as it has. German Immigration Policy was just catching up to itself at the
start of the crisis, solidifying an immigration policy for the first time in the
intervening years since implementation of Article 16 of its Basic Law to
atone for the crimes of the Third Reich, which offers liberal asylum rights to
those suffering political persecution and reflects Germany’s current policy
to fulfill its historical and humanitarian obligation to admit refugees. As Ralf
Heßmann, District Superintendent of Nordsee-Treene stated: “According to
German Law, we will take care of you when you are threatened with
death.” Other relevant regional policy includes the Geneva Refugee Convention, which gives clear right to asylum
for those fleeing political persecution and civil war, and the Dublin Regulation, that stipulates asylum seekers must
make their claim in the EU country they first step foot in. The Dublin Regulation, however, is hardly imposed as other
countries have knowingly pushed migrants through to other countries so they are not the “country of registration,”
or closed their borders altogether, part of the reason for the EU-Turkey deal to impose a more structured approach
to processing refugees and dispersing them into Europe.
22 http://www.asylumineurope.org/reports/country/Germany 23 Ibid.
“According to German Law, we
will take care of you when you are
threatened with death.”
- Ralf Heßmann, Nordsee-Treene
District Superintendent
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A significant new immigration law aimed at dissuading further
migration is called "Asylum Package II."24 Passed by Germany’s
Parliament in February, it suspends refugees’ right to bring
family members for two years. While is specifies application to
refugees “who are not being personally, urgently persecuted,”
it is difficult to say how it will be implemented. This would
affect families who are separated for various reasons, and the
unaccompanied minors in Germany.25
NATIONAL INTEGRATION POLICY (NIP)
Beyond completing implementation of its first immigration
policy, Germany also has federal policy on integration. Based
on the European Common Basic Principles (CBPs) on immigrant
integration, Germany’s 2007 National Integration Plan (NIP)
clearly stipulates the dual role of the country and the
immigrant in integration. Its two guiding principles require the
refugee to fully embrace the language, laws, culture, and
society to show tolerance, and point out that the government
cannot fulfill integration, but the entire society must
participate to ensure a climate for lasting integration. Its 11
principles include guaranteed practice of diverse religions, the
criticality of education, and the imperative of mainstreaming
government policies, along with emphasis on the dynamic two-
way process including frequent interaction between refugees
and citizens.26
RECOMMENDATIONS
PROVIDE CLARITY
As the dust settles, the resounding message for how to help the refugees was to provide clarity: where to go, who’s
responsible, and what the rules, requirements and opportunities are (see text box “Provide Clarity”). Communication
is paramount, and pictures speak a thousand words. We found and were referred to various flyers and handouts to
aid in this area, and there are surely countless others created at all levels. Comprehensive information at the federal
level, formatted for easy use by refugees, is critical – especially as the processes evolve. Clarity is equally imperative
for all stakeholders, as business, government agency, and volunteer efforts are also hindered by the ambiguity.
Germany must also fully implement a database as we recommend throughout our report. Deutsche Welle reports
that there are five different government agencies that handle registration, but their data is not compatible: they
24 http://www.npr.org/2016/03/13/470314380/new-german-law-delays-refugee-families-reuniting 25 http://www.theguardian.com/world/2016/apr/12/almost-6000-refugee-children-missing-last-year-germany?mkt_tok=eyJpIjoiTkRObVltRTJOVFl4WVRnMSIsInQiOiJOK25sdGlxWnFNNFU2R2JaNHN2bjlYdTE2Rm5QZUUxeDZHeWQrN1EzK1BtRll2WWFPNzh4UHBCZlBLemRhV2xZempzXC9IU2lJYUF2WCtCZnpXeVlYK3NCaHVGT2pvVko3SnFBZWYwNHVJN3c9In0%3D 26 http://www.coe.int/t/dg4/youth/Source/Resources/Forum21/Issue_No10/N10_National_integration_plan_en.pdf
Provide Clarity
At dinner in Kreuzberg, 3 men
who escaped Aleppo
(“millennials,” in American
parlance) told us that after
arriving just a month apart, 2
received their paperwork within
30 days while the third was still
waiting 7 months later. They all
came to Berlin because friends or
family told them where to go and
who to see. They were also able
to connect to people and
resources through social media.
They can’t imagine
understanding how to progress
without these connections, and
worry about those without them,
believing “They will stare at four
walls and not feel belonging.”
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don't always use the same software, and they're not networked.27 So along with the unregistered refugees, there
are also people who have been registered more than once. Communication of relevant information is the clear path
to capturing demographic specifics for leaders’ decision making, resource requirements, and visibility of special
populations, such as unaccompanied minors. This is particularly crucial in making unaccompanied minors visible and
connecting them with those who want to foster or commit to legal guardianships.
RECONSIDER THE REFUGEE PLACEMENT APPROACH
People need connection and purpose to function well, particularly those who have lost all they identify with. Where
people are un- or underemployed, they are prone to restlessness, unease, and exploitation, and their neighborhoods
neglect, crime and fear. Where people without purpose gather, ghettos emerge. In addition, integration works best
when refugees can be settled in real communities. As Richard Arnold, Mayor of Schwäbisch Gmünd, said,
“Integration does not work if refugees live five to a room in a hostel, they have to get into private homes.”
The Königsteiner Schlüssel calculates refugee destinations based on a formula
which evaluates population levels and tax revenues. There are several challenges
to this approach; the three most significant in our view are housing, employment,
and safety. In some cases, areas already faced with lack of employment or housing
opportunities for existing underprivileged Germans grapple with finding
additional opportunities for refugees now entering their cities in droves. In others,
conservative, old-fashioned (or in the extreme, isolationist) communities are
struggling to embrace the Willkommenskultur (welcoming culture) required for
migrant success. We recommend allocation considerations include employment
prospects (by industry), housing availability, and safety. Albeit debatably, whether
within or beyond a community’s ability to influence, each of these could be
viewed as a proxy for welcoming. Published in April 2016, Figure 11 is the The Economist’s weighted index based on
these factors, yielding the “ideal” places for refugees to settle. We were fascinated to find after half of us went one
way and half another, that we we’d had such completely different experiences. As we reviewed this new data at a
rehearsal one night, Ellen had an epiphany: literally, we could have mapped this – while tremendously committed,
tension and concern were palpable in Cologne, meanwhile Adam described part of our time in Nordstrand as “like a
fairy tale.”
27 http://www.dw.com/en/bundestag-debates-new-refugee-law/a-18974746
“Integration does not work
if refugees live five to a
room in a hostel, they have
to get into private homes.”
Richard Arnold, Schwäbisch Gmünd Mayor
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Figure 11: The Economist – Refugee Relocation Index28
28 http://www.economist.com/blogs/graphicdetail/2016/04/daily-chart-8
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REQUIRE ACCOUNTABILITY FOR IMPLEMENTATION OF THE NIP
Germany must consider ways to hold local leaders accountable
to implement the NIP. When German policy, government
agencies, support organizations, citizens and the refugees
themselves all anchor to the NIP Principles, the natural outcome
is an emphasis on language, culture, education, employment,
and belonging – all critical to successful integration. The NIP
articulates the imperative that “Cities, counties and
municipalities [must be] aware of their crucial responsibility for
integration.”
We also recommend Germany implement nationwide
information campaigns, like those outlined in the NIP. The BAMF
commissioner gave this as an example: “commercial
broadcasters will consider migration and integration issues
more intensively in all their programming and broadcasting
formats, they will provide a credible view of the everyday life of
people with a migration background while avoiding clichés and
without denying the problems.”29 We wondered if inclusion of
this specific guidance reflects a tacit acknowledgement of
German Lugenpresse perception of German media.
Mayor Richard Arnold of Schwäbisch Gmünd, located in the
German state of Baden Württemberg where the anti-refugee
party Alternative für Deutschland (AfD) gained votes in the
March Bundesland (state) elections, leads his city with a five-
point plan: language, education, introduction to the job market,
decentralized accommodation and volunteer work.30 Efforts like
this are prevalent in communities where integration is more
productive. He admits his community is at its limit, but this
culture has allowed his community to relatively harmoniously
navigate the past twelve months with value created for his
residents and refugees. These kinds of communities can take
care of families like those found in the text box, “The Needs of
the Whole Person.”
29 http://www.coe.int/t/dg4/youth/Source/Resources/Forum21/Issue_No10/N10_National_integration_plan_en.pdf 30 http://www.huffingtonpost.com/entry/germany-refugee-integration_us_56f044b5e4b03a640a6b456e
The Needs of the Whole Person
Taking into consideration the
unique situation of each refugee
is imperative, as many,
particularly families and
unaccompanied minors, have
special needs. An Iraqi couple,
both 25, finally left Mosul seven
months ago with their two-year-
old son because they had no
reliable prenatal care for the
baby they are expecting. Both
professionals in Iraq, they spent
13 days in line in sweltering heat
to file their asylum applications
until a volunteer benefactor
swept them up and guided them
through. Another volunteer,
whom they met attending her
German language class, helped
them find a local obstetrician
they could communicate with,
and celebrated the successful
kindergarten enrollment for their
son 7 months later. Entry into
the workforce is their next big
hurdle.
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EDUCATION AND EMPLOYMENT
OVERVIEW
Education and employment are key to successful integration for both the migrant and the home country’s economy
and social structure. With such a large influx of refugees, modifications are necessary to the existing systems to
handle this influx successfully. The German economy and labor market is built on vocational training and
certifications. German employees in nearly every sector go through a formal training and certification process. One
common theme we heard from business and government leaders was that they were “waiting” to act until they
knew whether or not a refugee would be legally able to stay in Germany (in the immediate term and in the long-
term). Furthermore, those same officials questioned whether or not the refugees would choose to stay (and be
allowed to stay) when circumstances become peaceful in their home countries.
German business and government leaders should not be paralyzed into inaction by these questions. Actions need to
be swift, strategic and coordinated. There is an anecdote about a CEO talking to a CFO. The CFO says, “What happens
if we train them and they leave?” to which the CEO responds, “What happens if we don’t train them, and they stay?”
Given the ambiguity and uncertainty about the long-term future of refugees in Germany, we believe from our
observations of the current situation and past migration crises that the costs of integrating the refugees, even if they
do choose to leave, are lower than the costs of choosing not to educate and train refugees that do decide to stay for
the long-term. As mentioned above, Germany is well positioned to train these refugees as they have a robust training
system and its current economic conditions allow for additional investment. Ulf Matysaik, the CEO of Teach First
Deutschland, said that when looking to make changes to both the primary education system and the vocational
system, standards should not be reduced, but rather the process to access and participate needs to be easier and
more flexible.
RECOMMENDATIONS: EDUCATING UP TO 16 YEAR OLDS
Thirty percent of refugees in 2015 were 16 years or younger. These refugee children are being placed into existing
German schools around the country with varying degrees of success. Several education officials mentioned that this
group of refugees is at an advantage compared to older refugees because there is a robust education system already
in place that can immediately begin providing educational services. We heard from those same education officials,
in addition to other leaders and citizens, that the current system is under stress and needs several modifications to
maximize the education of refugees and to minimize the impact on current teachers and German students.
Addressing the concerns below is crucial for the long-term prospects of these refugee children and will allow them
to integrate and contribute back to the German economy and society. These refugee children are part of the next
generation of German workers.
School authorities need to receive earlier notification from the Federal or State level governments of
refugee children being enrolled in their school when possible. The current state has tens of refugee children
showing up the day of with no notice to school administrators, constantly forcing administrators to
scramble and disrupting the learning of current students.
A school’s capacity needs to be factored into the placement of refugees. Teachers, classrooms and supplies
are in shortage at some schools which disrupts existing students’ learning and reduces the learning
outcomes of refugee students. In some schools, gymnasium and cafeterias have been used to house
refugees, creating various problems in access to those facilities for students as well as growing public
concern. We recommend that authorities use school facilities as a last resort for housing refugees.
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The current teaching population needs additional training on how to best educate refugee children.
Refugee children come from different cultures with different learning techniques than traditional German
students and German teachers need to adapt some of their teaching methods. For example, Middle Eastern
education systems are based more heavily on lectures than Germany’s system, and teachers should receive
additional guidance on how to best transition refugee students to a more active approach in the classroom.
Schools need to have either additional resources or additional training to handle students with significant
trauma. Some refugee students are coming to school having experienced war, abuse and loss of family
members and need to work with experts. Current German teachers do not have the time nor the experience
to effectively handle this on the scale necessary.
Schools need to provide “German Language Learner” teachers as there are not currently any state school
teachers trained to teach German as a foreign language. In the immediate term, schools should select
current teachers that teach other foreign languages (i.e. English, Spanish, etc.) before looking at teachers
that teach German literature, etc. The process of learning a foreign language is complex and is different
from learning a native language. Additionally, more German Language Learner teachers need to be trained.
In the United States, we have a robust English as a
Second Language (ESL) program where teachers earn
qualifications to teach students where English is not
their primary language; this has proven
overwhelmingly effective in our primary schools.
A medium-term (5-10 years) analysis on the teacher
supply needs to be conducted to determine if there are
enough teachers for the influx of the approximately
300,000 students. In this assessment it should be
determined if the current teacher pipeline is sufficient
and if modifications need to be made to the
recruitment or certification model of teachers. Creative
and flexible programs are beginning to appear
throughout Germany to address localized teacher
shortages while helping refugees find employment (see
text box “Syrian Teachers in Potsdam”).
RECOMMENDATIONS: EDUCATING 16 TO 35 YEAR OLDS
This group of refugees makes up 50% of the current refugee population and has the largest potential for impacting
the labor market in the medium term (5-10 years). This group can be divided into two groups: no/low/moderate
skilled and moderate/high skilled (see Figure 12). 31 This group also has the highest risk profile for crime or joining
gangs and/or terror groups; reports already exist of gangs and terror groups attempting to recruit refugees. Every
refugee of working age we spoke with was eager to work, to make a living to support himself and his family; they
just need access to the labor market.
31 Cologne Institute PowerPoint presentation, April 2016
Syrian Teachers in Potsdam
The University of Potsdam
developed a program to train
Syrian educated teachers in the
German language and German
teaching methods. The program
will provide certifications outside
of the traditional route to 75
refugees after ensuring they
meet the high bar.
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Figure 12: Educational Background of Refugees, 18+
Moderate/High Skilled: These refugees should be treated as traditional German vocational students with an
increased and intensive focus on German language proficiency. The current vocational system will need several
modifications to successfully incorporate these refugees.
Develop tests that can easily assess current education levels and skills to quickly place in an appropriate
vocational training program. For refugees that have a previous certification, provide an efficient process to
recognize that certification. The sooner the refugee is placed the sooner he/she can begin training and will
be ready for a job. W.I.R., Hamburg is currently testing this on a limited level and seeing early signs of
success (see text box “W.I.R and Network IQ – Work and Integration for Refugees”).
Consider raising the age limit or eliminating the age limit for vocational training programs in order to
effectively train older refugee populations that have exhibited an adequate level of skills in a given vocation.
From our perspective, investing the money now to train a young person in his 20s would be wise because
it would enable that person to see higher wages (and pay more in government taxes in the future), and also
would be less likely that this person would be drawing significant government welfare payments due to lack
of education or training as he aged.
Provide intensive German language on the job and not strictly in the classroom. Apprentice programs
should look for ways to allow refugees to start training while still mastering the language. Allow refugees
to start vocational training once they have mastered a moderate level of German (i.e. A2) knowing that the
refugee will continue language lessons in the classroom and at the apprenticeship. Clearly, it is important
to maintain language standards, but there could be opportunities to relax the strict B2 threshold where it
makes sense. For instance, certain vocational training programs could be restructured to allow for language
milestones to be assessed while participants undergo the program, to ensure proficiency development over
time to meet competency milestones. This might result in extending program duration, additional hours,
etc.
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Provide support in navigating the job market
(how/where to get a job, CV creation, interview
techniques, German workplace norms, etc.).
No/Low/Moderate Skilled: We heard from several groups that
there is a major gap in the German system as there is no program
or system to educate this group. We heard from a government
official in Hamburg that stated investing in two to seven years of
intensive training and support is worthwhile because that
refugee will have another thirty years of work and productivity
after his/her training.
Develop basic tests that assess current education and
skills.
Develop remedial courses in math, science, and
technology that are flexible (i.e. not every refugee
needs to start at level one) and structured for adult
learners.
Provide intensive German language on the job and not
strictly in the classroom.
Identify low-skilled industries that face job shortages
and develop/allow “fast-track” certification processes
with employers (i.e. fast-food industry).
Provide support in navigating the job market
(how/where to get a job, CV creation, interview
techniques, German job place norms, etc.
W.I.R and Network IQ –
Work and Integration
for Refugees
W.I.R. in Hamburg is a cutting-
edge government program that
promotes collaboration between
government agencies, labor
groups and businesses to better
find, train and employ refugees.
W.I.R. is partnering with these
groups to evaluate current
employment needs and identify
creative ways to fill those needs
with refugees. W.I.R. has
partnered with Network IQ,
which recently identified a trade
with a strong need for workers
that does not require significant
training or language skills:
welding. Network IQ and W.I.R.
are working to attract potential
candidates to this trade.
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CORPORATE STRATEGY AND RESPONSE
OVERVIEW
Based on our research, we characterized German companies’ corporate response to the migration crisis by three
successful strategies, based on how closely they align their Corporate Social Responsibility (CSR) activities with their
organization’s core business model (see Figure 13). The strategies can be classified as:
1) CSR as Corporate Philanthropy: Companies offer funding and training programs to achieve vocational
orientation for refugees.
2) CSR as Operational Management: Companies (in addition to corporate philanthropy activities) focus on
fast-cycle training and recruitment of unskilled labor among refugees.
3) CSR as Value Creation: Companies align, empower, motivate, and support their employees to integrate
refugees into the community and labor force in the long run.
These three strategies create a comprehensive approach that balances both the short term and the long-term needs
for integrating refugees into the German workforce and community.
Figure 13: Three Successful Strategies of Corporate Response32
CSR AS CORPORATE PHILANTHROPY
Companies that apply this strategy focus on achieving vocational orientation, and cultural and language integration
for refugees. The main objective is to create programs to provide refugees with baseline technical training, German
language courses, and knowledge on German work culture. Businesses either partner with local non-profit
organizations and provide them with funding, or use internal resources to create programs to educate and train
refugees (see text box “GE’s Response to the Migration Crisis”).
32 Adapted from: https://www.regjeringen.no/en/dokumenter/report-no.-10-to-the-storting-2008-2009/id542966/?ch=3
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For example, BMW funds “KICKFAIR,” 33 a non-profit
organization that uses football as a means to build social
integration between disadvantaged German and migrant kids.
Almost all the organizations we studied indicated that providing
cultural orientation was an important first component toward
integration given the significant difference in the religious,
social, and cultural backgrounds between refugees’ home
countries and Germany.
Since multiple organizations are following this tactic at a
grassroots level, there is little to no coordination of efforts to
achieve scale or standardization of training. For example,
BMW’s Work Here program aims to train about 500 refugees on
technology and language skills (see text box “BMW’s ‘Work
Here’ Program”). Most organizations, like BMW, work in a stove-
pipe manner and promote employee social engagement and
partner with volunteers and local community organizations to
create integration programs. The biggest drawback of this approach is that other non-profit organizations may be
better suited, more experienced, and/or well-equipped to create and execute certain parts of these programs.
For organizations to maximize the impact of this strategy, they will need to:
1) Conduct thorough research to understand the
landscape of activities to be performed, analyze key players,
and partner with an organization that does it best. This will
not only avoid duplication of effort but also help
organizations focus on the best channel to provide support
(i.e., via funding, resources, etc.).
2) Work with other firms and with the government to
create common platforms and improve data collection and
storage. All agencies, programs, and businesses will need to
provide and access information on the refugees.
Information on refugees’ educational background, skills,
experiences, and training will help organizations design
appropriate internships and apprenticeships and identify
refugees with the required skills.
3) Measure the effectiveness of participants who have
successfully completed internal integration programs and
create partnerships with other organizations to help
permanently place participants after training and
internships.
33 http://www.kickfair.org/
BMW’s “Work Here” Program
BMW’s “Work Here” Program
aims to enhance intercultural
and social integration among
refugees. The program leverages
the BMW training academy to
provide training and internships
to refugees for six to nine weeks,
focusing on German language
and technology skills, including
basic computer software skills.
GE’s Response to the Migration Crisis
General Electric (GE), a global
multinational corporation, calls
established partners they trust
when an event occurs. When the
refugee crisis began, they
donated $1 million to the
International Rescue Committee
(IRC) to support efforts in the
region, which align with the
strategic goals of the GE
Foundation.
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CSR AS OPERATIONAL MANAGEMENT
Companies that apply this strategy focus on fast-cycle training and recruitment of unskilled labor among refugees.
This strategy is common among service sector companies, such as McDonald’s and Starbucks, where the need for
hiring new employees is above average due to higher turnover than other industries. Based on our interviews, we
found that service sector companies can more quickly and easily hire refugees since the barriers for employment
are relatively low, and that these jobs do not always require employees to undergo specific work-related training or
even speak fluent German, especially in urban areas with tourists where an understanding of English is often more
critical. They only look for motivated people who have a passion for what they do. In addition, most companies value
diversity in the workplace and believe that integration into the corporate culture and community will be easier with
a diverse team.
During our research we learned that, despite low unemployment in Germany, companies such as McDonald’s are
constantly looking to replace employees in stores where the attrition rate is high. This presents an opportunity to
place low-skilled migrant workers in the German labor force. But unfortunately, companies are restrained by
government bureaucracy and slowness in processing paperwork. We heard in some cases the wait to get paperwork
processed could take anywhere from a few months to over a year. These firms need the government and the BAMF
to process refugee paperwork faster and provide refugees with work permits so companies can hire them quickly.
Though this strategy seems like a good way to get refugees into the German labor force quickly, one significant
challenge, according to the companies we interviewed, is the widely-held perception that there these are “dead
end” jobs. As a result, most refugees do not want to work in service jobs, believing that the pay isn’t good as in other
industries and there is no long-term career path for them in these jobs.
For organizations to maximize the impact of this strategy, they will need to:
1) Work with other similar organizations and the government to accelerate timelines for processing work
permits. Some organizations, such as McDonald’s, are already a part of Wir Zusammen34, a community of
German organizations that work together to help refugees integrate in the German workplace and society.
2) Collaborate with the government to create systems with more information about refugees’ background and
skills to help organizations with the hiring process. In addition, they will also need to create a transparent
process to provide information to refugees, educating them about the employment process and requirements
in Germany. To the extent possible, these companies can also share training and educational materials they
have already created with the government, reducing duplication of work and investment, and ensuring
maximum efficiency.
3) Be prepared with well-equipped schools and training programs to train and educate refugees once they are
hired. This will not only help them integrate faster but also provide them with the necessary skills to progress in
their jobs.
4) Create and define clear career paths to help refugees think through more long-term opportunities for
themselves with a specific company. This will reduce the anxiety and concerns among refugees who perceive
service sector jobs as low-paying with no future.
34 https://www.wir-zusammen.de/home
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CSR AS VALUE CREATION
Companies that apply this strategy focus on integrating refugees into the community and labor force to make them
productive members of the German society in the long term. Companies, such as Deutsche Post DHL Group,
Deutsche Telekom, and SAP, were emblematic of this strategy, and use a multi-pronged approach, working with
employees, social organizations, and the government to tackle the issue. These companies do not only fund and
partner with nonprofit organizations, they also empower their own employees to actively participate in fixing the
crisis. This multi-pronged approach includes offering trainings and internships for refugees, providing real-estate for
housing, supporting the government with additional manpower, and collaborating with other nonprofit institutions
to provide funding for integration activities.
It is no surprise that we noticed companies with a corporate culture of strong social consciousness, such as Deutsche
Post DHL Group (see Figure 14)35 and Deutsche Telekom (perhaps due to their origins as state-held enterprises), are
leaders of this strategy and operate with a long term time horizon. They align their CSR activities with their corporate
goals and mission, and use CSR as a strategic tool to drive value for both the company as well as the community.
Some successful policies include:
Analyze and apply their
core competencies to
provide solutions for
the migration crisis.
Examples include
Deutsche Telekom
providing wireless
hotspots at welcome
centers (see text box
“Deutsche Telekom’s
Multi-Faceted Efforts”)
and SAP creating
technology solutions to
help the government
register refugees at the
border (see text box
“SAP’s Multi-Pronged Approach”). For areas outside their core competency, they partner with organizations
to provide effective solutions. For example, Deutsche Post DHL Group partners with Teach First Deutschland
to support training and educational projects and also leverages their partner organizations to help prepare
and train their volunteer force before they reach the field, to ensure they are adequately prepared for the
tasks they will face, and to mitigate risk against negative consequences.
Prioritize efforts to achieve maximum scale and impact, rather than focus only on grassroots activities.
Organizations should not try to do everything but instead look at the spectrum of activities to be performed,
35 Deutsche Post DHL Group’s PowerPoint presentation, April 2016
Figure 14: Deutsche Post DHL’s Approach to Tackling the Refugee Crisis
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analyze their core competencies and strengths, and prioritize resources, funding, and effort on tasks that
can achieve maximum impact.
Involve employees who had been refugees or refugees themselves who could help inform the problems
and provide solutions based on their own personal experiences.
The biggest challenge of creating and executing such a strategy is that it is not only time and resource intensive but
also needs the complete attention, sponsorship, and support of executive leadership. This can only be achieved if
the tone is set at the top and cascaded down to all employees appropriately.
For organizations to maximize the impact of this strategy, they will need to:
1) Create an overall strategy and use the different tactics to drive towards that strategy. It is imperative that
the CSR strategy is aligned with the organization’s strategy and mission.
Deutsche Telekom’s Multi-Faceted Efforts
Wireless Hotspots: Allow refugees with
smartphones to access the internet in
reception/welcome areas
Real Estate Lending: Offer underutilized
Deutsche Telekom real estate for refugee
camps
Refugee Web Portal: Provide job postings and
employment-related information for refugees
BAMF Support: Mobilize over 500 civil
servants who are Deutsche Telekom
employees to work for BAMF
Internships and Technical University
Education: Offer over 100 internships to
refugees and HfTL scholarships for refugees
Employee Volunteering: Encourage
employees to support refugees with various
activities
Wir Zusammen: Coordinate activities and best
practices with other companies and
organizations
SAP’s Multi-Pronged Approach
Philanthropy: Donated €900,000 (including
employee contributions) towards the refugee
crisis
Technology Solutions: Developed solutions for
government and refugees, including:
• Technology solutions to help register
refugees
• Mobile app to help refugees arriving
in Germany to navigate bureaucracy
and assist officials in registering the
new arrivals
Training and Employment: Designed
employment and training program, including:
• Offered ten apprenticeships to
individuals who attend university
while concurrently working at SAP
• Opened 100 internship positions for
refugees
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2) Leverage the organization’s core competencies and employee know-how and collaborate with experienced
partners to create and execute relief programs.
3) Communicate with all parties (employees, management, stakeholders, partners, etc.) and clarify objectives
of their program from the onset.
4) Collaborate with other organizations from the beginning to learn from each other, avoid reinventing the
wheel, and apply best practices.
RECOMMENDATIONS
Germany will need to build the ship as it sails. Germany will need the short-term tactics, to provide employment,
training, and education as well as the long-term strategies to effectively integrate refugees into the German
community, society, and workforce. Specifically, companies will need to:
Coordinate efforts on all fronts, enabling employees, funding aid organizations, partnering with other
companies, supporting non-profit organizations, and collaborating with government entities to create an
integrated strategy to address the refugee migration challenge sustainably.
Partner formally, establishing channels such as Wir Zusammen to:
o Create long-term prospects and opportunities for refugees
o Share knowledge with each other and coordinate efforts for more impact
o Share best practices to be more effective and reduce duplication of efforts
o Create an integrated model to provide both short-term and long-term integration efforts
Collaborate with the government, advocating for a centralized database of all refugees with their
background, experience, educational qualification, training, etc. This database will not only help companies
understand the profile of the refugees and establish appropriate internships but also enable them to track
a migrant as he goes through the process of language orientation, vocational training, and employment.
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CIVIL AND COMMUNITY ENGAGEMENT
Germany’s integration policy makes clear that integration is the joint
responsibility of the country and the migrant. No part of society is more
foundational to this effort than the people in it. As Ulf Matysaik, Teach
First Deutschland CEO stated, “This is a societal thing; money isn’t going
to solve it.” The job of government is to facilitate; people integrate.
In his piece in the New York Times Magazine, James Angelos articulates,
“Whether the nation deals successfully with the migration challenge or
succumbs to fear and nationalism will largely be determined by how
communities directly charged with welcoming the migrants confront the challenges ahead.” Regarding today’s
reality, “The vital question the villagers and their asylum-seeking neighbors now face is whether together they will
be able to define a new [community].”36
Achieving integration is much easier said than done. In addition to fears of change, loss of identity, and fraying in
the fabric of their communities, Germans and refugees share real fears of unrest, crime, and worse – terrorism. And
the risk is real. The weight of this reality was present in every conversation we had. In one interview, an economist
offered his sense that, “The initial euphoria has been replaced by a feeling of, ‘I’m uncomfortable.’” “Uncomfortable”
seemed to be an understatement.
PERCEPTION IS PARAMOUNT
We found some communities are enriched, finding a mission and purpose helping refugees. We all smiled as a
woman in Husum and the young Afghan man she’s been mentoring showed us his progress learning the two-step in
her dining room. The authoritative retired teacher nominated to lead their volunteer network (that grew from 39
members to over 400 in a year) looked on, after giving us an amazing overview of their journey with the 50 refugees
in their town of 1500. Under these circumstances, we found many residents find that refugees are tough, motivated
and want to integrate. While not ignoring the challenges, they wonder how everyone doesn’t behave this way and
why the US and Europe do not do more.
Some communities are more conservative, closer to negative experiences, and in the extreme, feeling more deeply
the loss of their identity. They may have seen crime, bad behavior, or refusal to respect the German culture. In one
community, we witnessed a strong sense of duty and willingness to help those who want to be helped, but also
growing frustration with the time it was taking to effectively integrate and move migrants into more permanent
accommodation and jobs. Some are aggravated to see refugees placed in housing marginalized Germans have waited
ten years for. They feel their children’s education affected by hundreds of people in their gyms, prohibiting sports,
clubs, and assemblies. Where these experiences are more prevalent, people told stories of the palpable tension in
their neighborhoods. One government official told us she receives email after email that all begin with, “I have
nothing against the refugees, but…”
Pervasive throughout the country is the knowledge that if people perceive and experience more of the latter than
the former, the fragile stability in many parts of the country will fracture. Several interviewees believe the high
36 http://www.nytimes.com/2016/04/10/magazine/the-new-europeans.html?_r=0
“This is a societal thing;
money isn’t going to solve it.”
- Ulf Matysaik, Teach First
Deutschland CEO
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political energy and media sensationalism exaggerate reality in some areas. Even a well-educated, highly involved
senior political official admitted one opinion she shared was based on “What I’ve heard, and from what I’ve read.”
NON-GOVERNMENTAL ORGANIZATIONS (NGOS), COMMUNITY ORGANIZATIONS AND VOLUNTEERS
Many of our conversations referred to the stoic and inflexible German bureaucracy, which lacks the agility to adapt
to this challenge. Several wonder whether the refugee event will break up some of the inelasticity and help German
government and regulations evolve. And like any government, there are also limits to its reach, especially in the face
of a challenge on this scale.
NGOs and community organizations are instrumental in integration, most of which are facilitated by volunteers.
NGOs are new to Germany, because the government is responsible to ensure the welfare of the people in the
German social system. Government agencies wonder why NGOs are sprouting up, and welfare recipients wonder
why the government isn’t doing more. UNICEF, for instance, has transitioned from a fundraising role to an
‘operational’ role in Germany, for the first time in its history, recognizing the emergency that exists in supporting
the countless thousands of unaccompanied minors.
There is considerable variation across states and between individual municipalities in how NGOs and civil society
organizations are assisting resettled refugees. In many municipalities, grassroots campaigns to build support for, and
local involvement, in refugee resettlement are active in assisting refugees in a variety of different ways. In many
municipalities, national NGOs such as Diakonie and Caritas provide advice and support for resettled refugees.
Whether a formal organization or a weekly pickup game, the value of these organizations is belonging. This is also
the primary and most effective way migrants learn the language, culture, and values of the communities they want
to thrive in. Whether they are staying for now or forever, these efforts are found among thriving migrants and
communities. Refugee outreach efforts have resulted in groups ranging from
informal to internationally lauded. Some examples of governmental global,
and grassroots initiatives can be found are in Figure 15 below.
Volunteers help refugees look for apartments, jobs or medical treatment, and
prevent the support system from collapsing by compensating for what the
state cannot reach. They also provide what no state can: friendliness,
attention, and friendship.37 As Gudula Merchert, the daughter of refugees who
were children and survived only by the generosity of the community said, “If it
weren’t for the volunteers, we wouldn’t have made it.”
37 http://www.spiegel.de/international/germany/refugees-encounter-willing-helpers-in-germany-a-1048536.html
“If it weren’t for the
volunteers, we wouldn’t
have made it.”
- Gudula Merchert, child
of refugees
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Figure 15: Examples of Volunteer and Community Organizations
RECOMMENDATIONS
ENABLE COMMUNITIES TO ENHANCE GOVERNMENT AGENCIES
In our conversation with Nordsee-Treene District Superintendent Ralf Heßmann, we learned how an elected leader
can also be a volunteer, and how through his engagement with his community’s volunteer structure, Netzwerk
Nordstrand, he is able to align the resources and efforts of both. His perspective is profound: “We can train the state.
The farmer knows the workings of the animals.”
Later that day, we met the leader and several members of Netzwerk Nordstrand, and enjoyed lunch with eight of
the refugees it supports. They told us that Heßmann’s involvement created a foundation from which all efforts could
operate. To a person, they all agree that the problems and challenges are significant, but within their sphere of
influence, surmountable.
Global
SINGA Deutschland (Connect
Germany) http://singa-
deutschland.com/en/
Purpose: Connect people
recently arriving to Germany
as refugees with locals living
and working in Berlin
through social events, a
language exchange program,
and professional mentoring
Programs: Weekly language
café, music and jam sessions,
literature circles, and
professional mentorship
program
Governmental
Federal Voluntary Service
http://www.bundesfreiwillig
endienst.de/
Purpose: The Federal
Volunteer Service is a social
engagement project: It aims
to create a new culture of
voluntary involvement in
Germany and to enable as
many people as possible to
commit themselves to the
common good.
One Oportunity: Refugees
can serve as teachers in
classrooms for €300 per
month
Grassroots
Über den Tellerrand Kochen
(Cooking Beyond the Plate's
Edge)
https://ueberdentellerrandk
ochen.de
Mission: Create a new
togetherness among
refugees and locals and
achieving long-lasting
integration, inspiring cross-
cultural exchange and
encounters to support an
open and tolerant society
Events: Communal cooking
nights with refugees and
locals, cooking classes, canoe
trips
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In Böblingen we heard that the ability of volunteer leaders to develop
strong relationships with local government agencies and leaders was
really helpful in assisting with speeding up processes normally
managed at the state and federal levels. As Christa Formeseyn, the
Coordinator of Netzerk Nordstrand said, “We cannot fix it all, but need
to focus on what we can do.” We believe that wherever decision-
making and empowerment can be pushed to the local level, better and
faster decisions could be possible.
Community leaders should connect with and enable these grassroots organizations to extend the reach of
government by combining resources and efforts. Funding to municipalities should be disbursed to the people and
organizations fulfilling these crucial roles.
PROVIDE TRAINING AND SUPPORT TO VOLUNTEERS
The volunteers are vital to the integration of refugees and must be supported. The government should create a
communication structure volunteers can use to connect with one another and make resources available, allowing
volunteers to efficiently find projects they can support and to be effective in providing it. This formal backbone will
allow volunteers to share the burden, creating a sustainable structure and relief for the exhausted. Volunteers
should receive training on available resources and processes, and education and support in dealing with people who
have experienced trauma. Deutsche Post DHL Group is very strategic in their selection of NGOs and action partners
to ensure volunteers have the right preparation and tools at their disposal. Prospective volunteers undergo a
screening process to ensure they are matched to the correct roles, and partners are leveraged to provide training
for all volunteers in how to execute their duties effectively and safely.
“We cannot fix it all, but need
to focus on what we can do.”
Christa Formeseyn, Coordinator
of Netzwerk Nordstrand
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NATIONAL SECURITY
At the end of nearly every interview, we asked the question, “What could go wrong?” And every single time, we got
the same response: terrorism. An attack on German soil that threatens the safety and life of any citizen could be a
game-changer and have disastrous implications for refugee support. The current environment is polarized with
officials and volunteers continuing to support the crisis while at the same time a growing number of anti-refugee
protests and violence is occurring. Perhaps Germany is reaching a tipping point and unless genuine considerations
are made for national security there could be serious consequences that endanger the safety of its people.
CURRENT SITUATION
The growth and popularity in which people support far-right political factions such as Alternative für Deutschland
(AfD) is one indication of how public sentiment may be swaying against supporting the refugees. Another indication
is the number of attacks on refugees, which were an unfortunate and recurring reality in 2015. German police
recorded an estimated 1,600 crimes against refugees or their living quarters between January and the end of
November 2015. More than half of these recorded crimes were committed by Germans sympathetic to the country’s
rising far-right political faction.38
Polarization may also be fueled by criticisms of the Lugenpresse, meaning “lying press,” where speculation is that
the media is covering up violence or attacks on either refugees or citizens to limit political fallout on both sides or to
limit negative perception of Germans globally. We heard anecdotally from one government representative that the
media “went easy” on refugees: “There is a perception that the press was in this with the elites to support the
refugees,” he said. “No one analyzed this. No one in the press was critical of refugees; they got off the hook.” While
our analysis didn’t necessarily find this to be true, perception is reality in many cases, and if this perception is widely-
held among Germans, a segment of the population who feels like their voice is being stifled will lead to a toxic
environment in the future.
Two specific cases highlight Lugenpresse in action: the October 2015 assassination attempt on the Cologne mayor
and the New Year’s Eve attack in Cologne just a few months later. Despite nearly six months of research, we didn't
hear of a nearly fatal attack on the Cologne mayor by an anti-refugee until the night before we met with a city
councilwoman. While we did learn about the New Year’s Eve attack on women by migrants, it took days to be
reported by the media and make international news. These cases may not prove truth to the speculation that the
media is censoring news, but these are just a few examples of several incidents that further add fuel to the fire.
Continuation of Lugenpresse may exacerbate the growing anti-refugee sentiment and may turn more people to
perceive that it’s no longer a coincidence.
On the other hand, and to an even greater extent, the civil society and volunteers are an important aspect to
successfully integrating the refugees and migrants coming into Germany. Most volunteers are in favor of supporting
refugees and ensuring a successful social integration; however, after several years of dedication volunteers are
stressed – a tone heard and felt throughout the interviews conducted in Germany. Combine this with recent events
such as the terrorist attacks in Paris and Brussels, Cologne New Year’s Eve attack on women by migrants, Cologne
Mayor being nearly killed by a protester, or the potential threat and target of Cologne-Bonn airport suggest a
potential tipping point to which a threat to national security could become a reality.
38 http://www.huffingtonpost.com/entry/germany-refugee-integration_us_56f044b5e4b03a640a6b456e
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Another factor that indicates a potential tipping point is the growing population of young refugees and migrants,
especially those too old for school (ages 18-34) but who are waiting for asylum application decisions with no jobs or
anything to do. As one city official put it, “when you sit around and do nothing, you start to get ideas [bad ones].”
Statistically, about half of refugees fleeing to Germany are between 18-34 years old; if you add those who are under
18, about 80% of all asylum seekers are represented (see Figure 16). Many of them are unaccompanied minors who
are vulnerable to traffickers and in fact an estimated 10,000 unaccompanied minor refugees have disappeared.39
These young refugees are also vulnerable to becoming homegrown extremists as the propaganda of ISIS is planted
like seeds or criminals as local gangs look for recruits.
Figure 16: Number of Asylum Applications40
As many Germans implied, a major attack on German soil could seriously jeopardize the entire chain of support to
refugees. What can reduce the risks of a security threat to German society? Officials and policymakers can secure a
safer Germany by establishing a central database, investing in national defense, changing security laws, and
effectively integrating refugees.
RECOMMENDATIONS
LEVERAGE A CENTRAL REFUGEE DATABASE
With a recent batch of proposals to strengthen refugee data and fight terrorism, Germany is working on
implementing a fully integrated central database where complete information is recorded and available to all
39 http://www.theguardian.com/world/2016/jan/30/fears-for-missing-child-refugees 40 https://global.handelsblatt.com/edition/410/ressort/politics/article/coalition-creates-historic-refugee-integration-plan?ref=MTI5ODU1
48 | P a g e
stakeholders. This would be instrumental to improving national security and the fight against terrorism, among other
benefits that it would provide (e.g., registration process as highlighted in the Processing of Refugees section or labor
market assessment as noted in the Corporate Strategy and Response section). One effort currently underway is the
government working to implement and issue refugee identification cards that capture biometric information such
as fingerprints, and other asylum related information such as country of origin, cell phone number, information
about vaccinations, X-rays and other health information, and details about their education and qualifications that
would be captured in a central database available to federal and state agencies.
While Germany works to implement this complex technological effort, its current absence creates substantial
obstacles to information-sharing among government agencies and law enforcement for proper vetting of registered
refugees. There have been cases where some asylum-seekers had been identified as having potential terrorism ties
but by the time they were flagged, the individuals had already left the area or country.41 Absence of a system also
leads to tremendous duplication of effort, as we heard from more than one person that refugees who are denied
asylum will commonly find another arrival center (with or without papers) and apply again; this presents not only a
security risk but also bogs down the system, which is already struggling with massive numbers of people to process.
Another obstacle that has prohibited a central database creation is Germany’s history and sensitivity to data privacy.
We’ve heard and believe this stems from the Nazi era when people were catalogued for expulsion. Another factor
is the decentralized authority model instituted post world war with the intent to limit power into a central body;
however this has allowed some refugees to fake their identity or register multiple times.42
As we recognize the importance of leveraging a central database for proper security screening, we recommend that
leaders have broader discussions on data privacy laws; our perspective is that this information is crucial for national
security, and that policies should be modified or implemented while allowing flexible and responsive action. One
such law that needs revisiting is the purging of private data after three years. This no doubt makes it difficult to have
a central database that can be leveraged; thus, Germany has a future obligation to deal with such a privacy law that
would hinder the effectiveness of a shared database.
Germany must also strengthen the ability of its intelligence agencies to exchange data with foreign counterparts.
More broadly, Germany must work with other European nations and overcome serious legal and bureaucratic
barriers to intelligence information sharing. This is critical as the absence of common European police and
intelligence services magnifies the challenges in locating and monitoring potential extremists. 43 In particular,
unaccompanied minors not in school or without jobs present a heightened risk for becoming radicalized and thus
would be imperative to know how many have entered the country, but more importantly who they are and their
background.
With exposure to significant national security risks, the importance of leveraging a central database, deciding on
privacy laws, and sharing information with the European intelligence community is more apparent now than ever.
This will ensure that agencies and authorities will be informed, but also able to access critical data that is essential
to national security.
41 https://homeland.house.gov/wp-content/uploads/2015/11/HomelandSecurityCommittee_Syrian_Refugee_Report.pdf 42 http://www.homelandsecuritynewswire.com/dr20160115-germany-creates-ids-for-refugees 43 https://homeland.house.gov/wp-content/uploads/2015/11/HomelandSecurityCommittee_Syrian_Refugee_Report.pdf
49 | P a g e
INVEST IN DEFENSE, DIPLOMACY AND DEVELOPMENT
Germany can secure its borders and stem the flow of migrants coming into Germany by investing more in the North
Atlantic Treaty Organization (NATO) defense. This would support efforts to end conflicts in Syria, Afghanistan and
Iraq, many of the leading countries from which refugees hail. NATO also engages in non-military missions such as
patrolling the Aegean Sea to stop illegal smuggling of migrants into the European Union.
Germany has the financial ability to invest more with an historic budget surplus since the reunification of
approximately €19.4 billion in 2015.44 Of course, we recognize that Germany already spends a fair portion of GDP in
supporting the refugees and NATO, but given the ongoing conflicts in Syria, Afghanistan and Iraq, and continual flow
of refugees, they must judiciously invest more to have a meaningful impact. For example, Germany currently spends
1.2% of GDP in NATO defense while much smaller nations such as Greece and Poland spend above 2% of GDP, which
is the NATO alliance target (see Figure 17). While defense is an important element to help stem the flow of migrants,
equally critical and necessary are diplomatic and developmental solutions. Germany must consider investing in
opportunities that address key factors for why people are fleeing their homeland and migrating to Europe. One clear
factor is safety and security of the people. If Syria or Iraq or Afghanistan are made better with safer places away
from war zones, fewer people will feel the urgency to leave their country and migrant to Europe and Germany, which
is struggling to handle the people it’s already received, let alone who is on the way.
Figure 17: NATO Defense Spending as a Percentage of GDP45
44 http://www.dw.com/en/germany-secures-record-budget-surplus/a-19067085 45 http://www.defenseone.com/politics/2015/06/nato-members-defense-spending-two-charts/116008/
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A major challenge to further investing in defense is Germany’s war history, which has led to reluctance in establishing
a large military force overseas. In addition, Germany has a law to have a balanced budget, “Schuldenbremse,” and is
reluctant to overspend or incur debt to finance efforts. In light of the current situation, the existing threat to national
security, and the crisis that Europe faces, Germany must consider investing more to support its defensive, diplomatic
and developmental solutions. While it may not be realistic to expect Germany to make significant contributions all
at once, incremental investments can be made without jeopardizing Schuldenbremse. Such investments will be
necessary if it hopes to make a significant impact to stem the flow of migrants coming into Europe.
CHANGE SECURITY LAWS
Granting law enforcement the authority to perform identity
checks and hold people who are unregistered as asylum seekers
may help Germany uncover individuals who pose as security
threats. While it is widely reported that over one million
refugees entered Germany in 2015, the German Interior
Ministry also reports that an estimated 350,000 to 500,000
unregistered refugees live in Germany and among them could
be the one-percent of so called “jeopardizers” (i.e. potential
terrorists). 46 Furthermore, Germany needs to effectively and
immediately deport asylum seekers who are denied that status,
especially those who are from “safe countries” such as Morocco
that makes the process of deporting easier. Many people who
are denied still live in Germany for one reason being that the
government still provides welfare benefits. Germany needs to
reevaluate these benefit payments and expediently deport
denied seekers out of Germany to not only provide benefits to
those that truly qualify, but also to reduce the risk of a security
threat.
Finally, what appeared to be an airport security gap is our team’s first-hand experience traveling from Cologne to
Berlin (see text box “Airport Security”). Our identification was not checked throughout the entire journey. While this
was alarming from our US perspective, we recognize Europe’s Schengen free-movement principle and how that
impacts Germany’s passport and identification screening laws. However, at the risk of alienating refugees, serious
discussions must be had on proper identification checks at airports with ISIS’s threat of an attack on Cologne-Bonn
airport similar to Brussels,47 many unregistered refugees who may be roaming about the country, and the potential
for more to come.
EFFECTIVELY INTEGRATE REFUGEES SOCIALLY AND CULTURALLY
As despicable as the attacks in Paris and Brussels were, a key lesson learned as it applies to Germany’s current
situation should be to effectively integrate migrants and refugees into society. One of the reasons why this is critical
is to prevent large formations of migrant ghettos. Some suggest that ghettos could be breeding grounds for
homegrown violent extremist who may train with terrorist and return to the EU, or that terrorist groups are preying
on unaccompanied minors and others who seek a sense of belonging and community after leaving their homeland.
46 http://www.dw.com/en/fewer-refugees-in-germany-but-still-work-to-be-done/a-19175067 47 http://www.dailymail.co.uk/news/article-3517012/Islamic-State-urges-attacks-German-chancellery-Bonn-airport-SITE-group.html
Airport Security
Germany can also improve
national security by instituting
better identity check protocols at
airports. A case in point involves
our team traveling from Cologne
to Berlin. At the Cologne-Bonn
airport, our identities were never
verified during the process of
checking in, dropping off
checked bags, or going through
security screening, or at any
point during our journey. If this is
the standard, a terrorist could
readily bypass airport security.
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This threat is more acute in the EU than in the US. In many large cities like Berlin, ghetto formation may already be
happening and could pose problems with an uptick in crime. Germany’s policy of Königsteiner Schlüssel goes some
way to address this by ensuring populations of refugees are dispersed throughout the country; however, effective
cultural and social integration strategies are key to avoid issues experienced in countries like France, Belgium and
Great Britain.
Another lesson that Germany faces is the experience of guest workers from Turkey, primarily in the 1950s and 60s.
Many suggest that the Turkish migrants were never integrated into German culture and society, creating a minority
community that is the largest in Germany. This has led to the continual identity struggle of Turkish immigrants who
feel hampered by a lack of education and prospects for the future. Even Turkish migrants who have German
citizenship still regard themselves as being guest workers or Turks.48 Finally, with growing anti-refugee sentiment,
many Turks are being profiled as Muslims as representative of the current influx of refugees. In summary, the threat
of ghetto formation and minority communities is real and may already be happening in large cities like Berlin. It is
imperative then that Germany learns from its past and dedicates significant efforts to prudently integrate migrants
into their culture at the same time understanding other cultures also.
48 http://www.breitbart.com/london/2015/09/07/immigrants-in-germany-not-always-a-happy-union/
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CONCLUSION: FINAL OBSERVATIONS AND RECOMMENDATIONS
Our primary intention is that the breadth and depth of our compilation of resources, events and interviews be useful
in having a positive impact on the refugee crisis in Germany. We deliberately applied our American perspective while
respectfully including our understanding of the views and experiences of the German people, their history and their
culture. We are also sensitive to how easy it can be to oversimplify the complexities of the crisis.
Recommendations for further study include deeper connection with the anti-refugee voice, as we believe candor is
critical and this perspective is relevant and shapes public perception in many ways. If there had been time, we also
would have liked to have interviewed more small- and medium-sized businesses, as they are "where the rubber
meets the road," as one of our panelists reminded us all. And, to the point one federal political leader we spoke with
made: a similar evaluation in a year, when Germany has had time to get beyond just feeding and sheltering the
masses, would be tremendously beneficial.
CLARITY
What became abundantly clear throughout our research as we spoke to and understood the positions of the various
stakeholders, was that the situation was lacking something it needed the most – clarity. For refugees, greater clarity
in terms of expectations of integration, labor and training structures, migration status, and duration of stay are
fundamental to them in making smart and informed decisions about their future. For instance, fully understanding
how vocational education works paired with knowledge of the likely duration of their stay (whether permanent or
temporary) could help them make critical tradeoff decisions about their long term prosperity. In the same breath,
this clarity could help the German economy realize opportunities to get future taxpayers integrated into the
economy for the long term. Equally, businesses lamented the impact that bureaucracy was having on their ability to
effectively assist and leverage labor opportunities, due to the lack of transparency in terms of migration status, as
well as expected permanency of migration.
Finally, the effort is clearly hindered by the decentralized nature of various levels of government, and the historical
lack of effective information and data sharing systems. While the federal government is taking unprecedented steps
to connect databases nationally, the presence of central data systems to provide greater clarity to local and state
authorities is critical in helping decision makers at various levels make smart decisions when integrating refugees
(with potentially millions more expected), as well as recognizing the importance of such data sharing at a national
level to manage national security and having data for the future to apply lessons learned from this crisis to future
integration attempts.
CENTRAL DATABASE
Decisions made without complete and accurate information are not wise. Up to this point, a central database at the
Federal level has not been established, further challenging Germany’s ability to manage and share critical
information to stakeholders dealing with the refugees. While Germany's sensitivity to data privacy since WWII is
recognized, the difficulties faced without a central database has been clearly highlighted, and perhaps exacerbated,
with the current refugee crisis. With many stakeholders involved who need access to information to make informed
decisions – refugees for clarity, businesses for jobs, agencies for asylum decisions and labor entry approvals, national
security and intelligence sharing, and so on - it has never been more crucial to invest in a complete solution. While
it is uncertain how many more refugees may come to Europe and into Germany after the deal with Turkey, what is
certain is that conflicts have not ended and refugees will continue to seek shelter and safety away from their home
countries. Climate change also represents a significant issue on the horizon as whole countries become threatened
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by rising sea levels, which could increase migration globally. Eventually more will arrive and Germany will be in a
better position with a central database that will inform key stakeholders of the necessary information to make
effective and swift decisions. This not only helps governments and agencies to be more efficient, but more
importantly, for refugees to have clarity and make appropriate decisions best for them.
STRATEGIC CSR
German companies are actively responding to the crises with a spectrum of activities. Some companies are aligning
their CSR activities to tackle the crisis with a short-term view such as providing German language classes and cultural
and vocational orientation programs. Their goal is to make refugees productive members of the German labor force
as quickly as possible. Other companies are addressing the issue with the goal to integrate refugees to the
community, culture, and labor force in the long run. These companies address the crisis from multiple fronts such as
providing education, offering training and internships, supporting governments with housing and technology needs,
etc. We recognize that companies will need to balance both the short term and the long-term needs to successfully
integrate refugees into the German workforce and community. But, more importantly, companies will need to work
together with each other and with other organizations such as the government and aid organizations, to create an
integrated and non-redundant strategy to manage the refugee migration challenge sustainably.
INTEGRATION REQUIRES AN INTEGRATED EFFORT
At the end of our interview with Ralf Heßmann, Nordsee-Treene District Superintendent, he enthusiastically
quipped, “Teamwork makes the dream work!” quoting Stevie Wonder from James Corden’s “Carpool Karaoke.” We
found that this was a recurring theme throughout our time in Germany – it is only when all stakeholders are working
together, communicating openly and frequently, that the integration of refugees is successful. We saw this most
poignantly in the city of Hamburg and the small town of Nordstrand, which are examples of “best practices” of truly
integrated efforts, where refugees are being embraced by entire communities, building relationships, getting an
education, finding jobs, and finding a home. Government, business, NGOs and communities must forsake their silos
and collaborate, each offering what they have in order to make integration a success.
RECOGNITION AND ACCEPTANCE OF HISTORICAL CONTEXT
Throughout our time in Germany – and even beforehand – we were struck by Germans’ recognition and
acknowledgment of the Nazis’ transgressions during WWII. While largely unspoken, we believe this is impacting
elements of the response to the existing crisis that could have negative repercussions to success. Lessons from WWII
seem to impact everything from Germans not wanting to “mandate” culture classes to fearing deportation of people
who were denied asylum, or being skittish of a national database which would provide crucial numbers and analysis
on this crisis. We also suspect that the “We Will Cope” mentality – where all Germans are expected to just “deal
with” the refugee crisis – is stifling an important national conversation about how many refugees are too many, how
people are being impacted, and in what ways the government can help alleviate the challenges. (Without these
conversations, both in the press and elsewhere, we are concerned about a pressure cooker environment, where
eventually the lid bursts with disastrous consequences.) While we commend the German people for understanding
and learning from the impact of WWII on its national consciousness, we also cannot overstate the importance of
recognizing that the world currently has tremendous respect for Germany in its response to this crisis, and encourage
German government, businesses and society to take a closer look at their current reactions and policies to this crisis
to ensure that decisions are being made in the best interest of both today’s citizens and the asylum-seekers who are
entering the country.
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ACKNOWLEDGEMENTS
We are deeply grateful for the direction and support that we received from our Faculty Advisor, Eric Langenbacher.
Dr. Langenbacher is an Associate Teaching Professor and Director of the Senior Honors Program in the Department
of Government at Georgetown University. Eric – we couldn’t have done this without you!
We also wanted to express our gratitude to key people who went above and beyond to help us as we conducted our
research. Special thanks goes to:
Peter Chase, former Vice President of Europe for the U.S. Chamber of Commerce, who provided not only
incredible perspective and context at the beginning of this project, but who also reached deep into his
rolodex and connected us with several people in Washington, DC and Germany. Peter, your insights and
connections were crucial to the success of this project. More than once in Germany we raised a stein, “To
Peter Chase!”
Brent Goff, Chief News Anchor, Deutsche Welle, who recognized our research efforts and highlighted our
findings for the world on The Day with Brent Goff. You can watch our interview with Brent here:
https://vimeo.com/162068383 (minute 20:33)
Keike Lenz, B&B Owner and Volunteer, who hosted us in Nordstrand and connected us with local
government officials, a tour of a reception center, and a remarkable lunch with refugees and Netzwerk
Nordstrand volunteers. Keike, we could not be more grateful for your hospitality and your commitment to
sharing Nordstrand’s refugee story with us.
Thekla Merchert, Volunteer Teacher in Berlin, who spent weeks providing us resources and links, organized
three meals so we could connect with refugees and other volunteers, and served as our tour guide and
translator for one of our days in Berlin. Thekla, thank you for your generosity, candor, and time.
Claudia von Cossel, Speaker for CDU/CSU Bundestag, who not only arranged an interview at her office at
the Bundestag while she was on vacation, but also took our team on a two-hour personal tour of the
Bundestag.
Finally, we would like to express appreciation for our presentation panelists:
Jeffrey Anderson, Director of BMW Center for German and European Studies, Walsh School of Foreign
Service, Georgetown University
Paul Danahar, BBC Americas Bureaux, Editor
Susan Fratzke, Policy Analyst & Program Coordinator, International Program, Migration Policy Institute
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INTERVIEWS AND EVENTS
In total, we conducted interviews with more than 100 leaders from business, trade and industry associations,
government, public policy, research institutions and think tanks, and NGOs and non-profits in Washington, DC and
in Germany. We are not citing personal names in all cases, as many requested to speak “off the record.” We would
like to honor this request, and are deeply grateful for the time and energy that so many people spent to give us their
unique perspective on the refugee crisis and help us understand the impact and opportunities for Germany.
We were fortunate enough to attend the following events in DC while we were conducting our research:
Divided Europe? Straining the Limits of Unity, Georgetown University
Scaling Up Resettlement (Webinar), Migration Policy Institute
What Can Germany and the US Learn From Each Other?, German Marshall Fund
Improving the Labor Market Integration of Refugees and other Migrants, American Institute for
Contemporary German Studies
Migration: from Humanitarian Crises to New Opportunities, Georgetown University
Germany and the Refugee Influx: How to turn risks into potential, Representative of German Industry and
Trade (RGIT)
Farewell to the Welcoming Culture? Angela Merkel and the European Refugee Crisis, Georgetown
University
From Homs to Hamburg: Refugee movements from Syria to Europe and beyond, Brookings Institution
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TEAM BIOS AND CONTACT INFORMATION
ELLEN DAVIS
Senior VP, Research and Strategic Initiatives, National Retail Federation and Executive Director, NRF Foundation
Ellen Davis is a well-respected retail thought leader with over 15 years of experience in strategic communications,
consumer and industry research, talent acquisition and development, and organizational change management. She
is passionate about building programs to maximize stakeholder value and helping people at all levels advance.
Contact: 703-474-3446 or [email protected]
ADAM LUKOSKIE
Senior Managing Director, Procurement, Teach For America
Adam Lukoskie has reshaped how Teach for America utilizes its resources. His team directly manages a $20M
portfolio; indirectly $100M annually. Through negotiations, commodity consolidation, and influencing staff spending
behaviors his team realizes approximately 7.5% cost savings annually. He has advised the Chief Finance and
Administration Officer on overhauling the organization’s procurement policies, processes and staffing structure to
deliver best-in-class procurement systems. He has over a decade of experience specializing in change management
in mission-driven organizations.
Contact: 651-428-1658 or [email protected]
LAURA PRATT
Program Manager, United States Navy, GE Aviation
Laura Pratt is a relationship-focused leader, team builder and technical expert who served as a company commander
in Iraq and an infantry brigade senior logistics officer Afghanistan. As the architect and facilitator of countless training
exercises and real world missions in complex and dynamic situations, she knows the value each member brings to
any team. A multi-functional logistics officer by trade, she is fascinated by the intersection of people and processes
to create value.
Contact: 765-517-0843 or [email protected]
TONY SEWELL
Partner Manager (User Terminals), Inmarsat
Tony Sewell has built a 15-year career in project management, operations and product development within the IT
and telecommunications industry. He currently works for Inmarsat, a London-based satellite communications
company, managing a telecommunications product portfolio and relationships with manufacturing partners in the
UK, Germany, France, Denmark, USA and Singapore.
Contact: 813-712-0539 or [email protected]
KARTHICK SUNDARARAMAN
Director, Digital Products and Innovation, CEB
Karthick Sundararaman has over 15 years of experience in digital substitution, transformation, product
management, business development, and strategic planning. He is highly regarded as a thought leader who excels
at providing big-picture analyses and creating strategic product roadmaps to promote innovation and growth. He
currently works at CEB, a best practice research firm, overseeing multiple enterprise-level digital products.
Contact: 609-865-2221 or [email protected]
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DEBORAH TEPLEY
Operations Manager, USAID Account, Engility Corporation
Deborah Tepley is an Operations Manager with over a decade of experience leading diverse teams and complex
international projects in more than 40 countries in the public and nonprofit sectors. She currently works for Engility
Corporation and was handpicked to work with senior management to improve and institutionalize project
management support systems across the USAID account.
Contact: 202-256-8245 or [email protected]
TAE YOO
Manager, Internal Audit & Advisory Services, The AES Corporation
Tae Yoo is an audit leader in the Internal Audit & Advisory Services group at the AES Corporation. An accomplished
executor of projects, Yoo has over 13 years of experience designing, leading, and executing a broad range of
corporate assurance and advisory initiatives, including enterprise risk management, financial reporting compliance,
operational efficiency, and internal control evaluations. Yoo is an experienced world traveler having visited and
worked in 13 countries who brings international business and cultural acumen.
Contact: 703-867-4766 or [email protected]