Abstract:

The sustainability of a region depends strongly on its ability to attract and retain adequate flows of talent to meet the evolving needs of its underpinning economy and the production ecosystem. In the current landscape, there is an increasing demand for qualified individuals that is creating important challenges for territories namely for medium and low-density urban areas. Many regions, despite having a promising industry and strong employment prospects, are struggling to retain talent and to keep the pace with the rapid changes in the demands for qualified personnel. In Europe, these difficulties seem to be more prominent for low and medium density urban areas, often characterized by an industry population of small and medium companies. Often, these regions have attracted higher education institutions to their territories, and despite that, they fail to retain the young graduates that flow every year to the job market. Other social and demographic factors, including migrations and a growing participation rate of women, are coming together to give new shapes to the regional patterns for the demand and supply of labour. Engaging all available talent, including women, youth, immigrants will be critical in mitigating the talent shortage.

This paper addresses the determinants of attraction of talent by a region, notably for young graduates. Understanding the drivers behind migratory flows, as well as the variables that have a direct effect on people's choices can be used as a basis for policies that focus on attracting highly skilled people. Research results have supported that geographic flows can be explained by financial issues and goals of social upgrading. Likewise, variables associated with the pursuit of quality of life are also part of the explanation.

Individuals with higher qualifications usually exhibit stronger mobility and migratory flows. For this reason, it is important to understand what are the factors of territorial attraction for such populations. Recent policy debates have been calling attention to the importance of the feminine workforce. In Europe this topic is particularly important, given the consistent increase that has been observed in female job market participation rates, a growth that is expected to continue and is considered vital for an ageing Europe.

This study reports the results of an exploratory questionnaire targeted to the students of the University of Aveiro. Aveiro is a medium density Portuguese urban region, whose attractiveness is recognized by the growing tourism flow as well as by the substantial inflow of new higher education students every year. Aveiro hosts a vibrant university and a competitive industry basis, with plenty of job opportunities, but is struggling to retain talent, as qualified young people are consistently drained to larger urban centres in the country. The study asked respondents to express their opinions about the importance of several regional attractiveness determinants identified in the literature including the cost of living, accessibility and transport infrastructures, criminality, cultural and leisure offer, among others. The paper discusses the results towards the existing literature and explores the existence of differences in the importance of the attractiveness factors across ages and graduates of different gender, offering timely and relevant insights to policymakers and company managers and for the development of talent attraction and retention initiatives.

Keywords:

Talent, qualifications, higher education, regional attractiveness.