If you ask my friend he will tell you : seeing his fellow doctors leave Nigeria for countries with better wages is a huge irritant to him.
Of course he understands why those people do it. Better wages, safer living conditions, and more hope for the future. However, he also knows that every countryman that he loses is a few hundred people in his country who no longer have someone to care for them.
In Canada we have a term for that. We call it the "brain drain" where we lose valuable and intelligent people to other countries typically by the lure of more money.
But is it worth it?
Wage and Price Disparity
I think I'm in a pretty good position to comment on the realities of relocating to another country for work for a few reasons:
- I relocated from Canada to work in the USA for a decade
- My wife relocated from the Philippines to work in Canada
- I've travelled to many many countries and seen first hand the difference in prices around the world
- I'm part of the #earnspendgive crew who's whole reason is exploring prices and wages wherever one may be
In that light when I was in the USA for my anniversary just a week or two ago the costs of things had a huge impact on me.
As an example: A single drink that my wife purchased in Fort Lauderdale was $25 USD. In translation that would be about #32,000 Nigerian Naira. Go back a few short months and that drink would be the full time minimum wage for a Nigerian worker for a month! Now I think the minimum wage there may have gone up recently but still...that is a princely sum to pay for just a single drink.
As a second example: The minimum wage in California for a fast food worker is $20 USD per hour. That worker working just a few hours will make more than a Nigerian worker for a month.
Looking at that minimum wage it is hard to fathom how an American worker is worth 30x (or more) than a Nigerian one. With a glaring wage disparity like that why would your average Nigerian NOT want to move to the USA? (Sorry JJ)
A personal account
As for myself, I live in Canada. The wages here are typically much less than the USA. In most cases I would say we earn about 40% less than an American for the same job.
When I was a new grad from Pharmacy many years I was making $26CAD per hour and it wasn't bad money 30 years ago. Then in my third year as a pharmacist I had an intern working with me. He was awful. Even simple pharmacy questions he couldn't answer and he was in his 4th year of pharmacy. He openly admitted that he cared nothing about the internship and wasn't trying. That confused me until he told me...I'm just doing my time so I can get my degree. After that I've already got a position lined up in the USA where I will do my internship and exams for real. Why would I bother in Canada for $26/hour when I'll be paid over double that in the USA?
Now, I'm a proud Canadian. At the time I was also deeply in debt with a mortgage and student loans. If this terrible intern would be making twice as much as I was I just couldn't let that slide. I made a phone call to a couple of American recruiters and after a few short interviews I had a signup bonus of $10,000, a moving allowance, and my wage more than doubled (2.43x to be exact).
I worked in the USA for 10 years so I think I'm in a position to say I gave it a good run in a foreign country. After 10 years though it was time to come back home. My mortgage was mostly paid off, my student loans were gone, I had some money in the bank and Canada felt more like home than the USA ever did.
Canada and the USA are not twins
When people think of Canada we are often thought of as the states little brother. Or perhaps we are thought of as a weaker version of the USA. Having lived in both countries I will say that it is untrue. Canadians are not Americans. Sure we share the same language, listen to the same music, watch the same TV stations and probably even eat much of the same food.
However, there is a fundamental difference in how the societies are run which leads to a subtle but very real difference in how we live. It is actually quite hard to explain to someone who hasn't lived in the different countries but quite apparent for people who go back and forth.
If I had to sum it up though (and my apologies to any Americans who read this) : The United States is more about Money and Freedom. Canada is more about getting along and caring for your neighbor.
Now those are pretty broad strokes and summing up millions of people in two sentences if absurd. There are many Americans who are all about community. There are many Canadians who are all about money! Even between different states and provinces there are huge differences in viewpoint and opinion. Just go from the east coast to the west coast in either country and you'll notice a change pretty quickly.
Let me give a couple more concrete examples though:
In the United States there are people who would rather lie wounded on the street and wait for a friend to drive them to the hospital rather than take an ambulance. An ambulance ride can break them financially. In Canada even though an ambulance ride isn't covered by our healthcare system, the cost isn't that much more than a taxi (maybe double but still affordable).
In the United States I saw at least a dozen signs for lawyer services while on a taxi trip from Miami to Fort Lauderdale (maybe 42km ride). In Canada I've never seen an ad for a lawyer service. Indeed when I actually did need a lawyer I found it quite difficult to find one. Why the difference?
- In the United States there is a focus on punishing the guilty
- In Canada the focus is on rehabilitating the criminal.
I'm glad to be back home in Canada
Earn in Dollars, Pay in Dollars
One thing that many immigrants don't understand is that when you earn in dollars you pay in dollars.
When I was asking Nigerians about how much money they paid for housing I was amazed at how inexpensive it was. In Canada it wouldn't be uncommon to pay $35,000/year for a house to live in. In Nigeria I heard some places you could get a home for #35,000 Naira per year. Sure the Canadian dollar is almost 1000x more valuable than a Naira but rent is also 1000x more money also. Yes, I know a Canadian house is unlikely to collapse ( said there are regular reports of houses falling apart due to poor construction) but the fact remains things are just typically more expensive in countries with higher wages.
As another story I was on the Skytrain (pubic transit) and I overheard a new immigrant from the Philippines talking to a friend. She was commenting how expensive it was in Canada. In the Philippines she made less money BUT she had a maid, a cook, and a driver. In Canada she made more money but it was simply impossible to hire any of those people. I had to laugh because was is common an inexpensive elsewhere is incredibly expensive here.
Moving can be beneficial if you are smart
I don't regret the time I spent in the USA. By living a very frugal lifestyle in a tiny apartment and never eating out or getting luxuries I was able to save a lot of money and make myself far more financially stable than I would if I stayed in Canada.
If I fell into the trap of living a "decent life" I likely would have made more money just to spend more money. There is a saying that "expenses expand to fill all available income" and that happens in every country no matter much money that is!
A quick comparison
However, as the Hive Learners asked how money in Canada compares to other countries around? Here are some things I've found.
Compared to the United States my money is worth less, about 40% less. Buying things there is usually more expensive...except for milk, cheese, gasoline and in some cases basic foodstuffs (beans were cheaper down there).
Compared to the Philippines my money is worth more, in many cases 3-4x more. Local products and prepared foods are often much cheaper there. As is transportation, lodging, and many services (like spa treatment, haircuts, maid services, etc).
Compared to England my money is worth less by about 50% and in Iceland many things were cheaper but not food. Food was so expensive it made me wonder how people survived there.
Now there is a little exception to that.
Certain items are "world" products. Gasoline is a good example. Gasoline tends to be about the same price in every county with only the taxes affecting the end price.
The same goes for basic food stuff like flour, beans, corn and so on. As they are sold on a commodity exchange its price is fairly stable across countries. Flour is Canada, Philippines, or even Nigeria are similar in price (with the difference being transportation costs).
Would I ever relocate again?<?center>
Well, I don't think I'd ever relocate. I've done it before and know both the benefits and drawbacks. I could consider moving to the USA for more money..but why? I already have enough.
I could consider moving to the Philippines and I could certainly live more cheaply there. I could even consider moving to Nigeria. I never realized English was widely spoken and it would cost a fraction of what it life in Canada.
But...
Do I really want to live in a place where I will always be a foreigner? Do I want to live in a place where I will never really fit in.
I'm going to say no.
These places may be awesome to visit but in the end.
There is no place like home.
Thanks for taking the time to read the article. As always I love getting feedback :)