The Determinants of Income towards Brain Drain – The Case of Malaysians in New Zealand

Over the recent years, the globalization has created people to become increasing mobile within and across borders in response to the social and economic challenges. Employment has been regarded as the heart of most human movement in the 21st century and has allowed host countries led by organizations to seek foreign professionals to overcome shortfall of among competent professionals. The demand for efficiency in production and services as well as with global competition has geared greater professionals’ mobility. As a result most of the developing countries have regarded this outflow or professional mobility that explains the departure or emigration of their competent professionals from their country to another country as brain drain. Similarly, Malaysia is one of the developing country from South East Asia has not been spared from this phenomenon. There are various socioeconomic factors that have been associated with the recent brain drain of Malaysians. However, it has been argued that the dominant factor of the recent brain drain in Malaysia would be the level of income in Malaysia. In recent years, Malaysians professionals have favored New Zealand as proven from the growth rate of Malaysians migrating to New Zealand. The high incomes and quality lifestyle in New Zealand as well as other factors have urged many Malaysians to move to New Zealand. Thus, this paper explores the determinants of income towards brain drain of Malaysians from the perspectives of Malaysians in New Zealand.