I have put some thought into this and I hope I will contribute to the different opinions and practices presented here.
Consider what your local migrations actually represent. When working locally with a dev database, I use migrations to update the database in the most convenient way possible when adding columns etc to tables, adding new entities etc.
So, Add-Migration checks my current model (let's call it model b) against my previous model (model a) and generates a migration to go from a => b in the database.
To me it makes very little sense to try and merge my migrations with anyone elses migrations, if everyone indeed has their own database and there then exists some kind of stage / test / dev / production database servers in the organization. This all depends on how the team has it set up, but it makes sense to insulate each other from changes that other people make if you want to truly work in a distributed manner.
Well, if you work distributed and have some entity, Person, for example, that you work on. For some reason, lots of other people are also working on it. So, you add and remove properties on Person as needed for your particular story in the sprint (we're all working agile here, aren't we?), like Social Security number that you first made into an integer because you aren't that bright and then to a string etc.
You add FirstName And LastName.
You are then done and you have ten weird up and down migrations (you probably removed some of them while working since they were just crap) and you fetch some changes from the central Git repo. Wow. Your colleague Bob also needed some names, maybe you should've talked to each other?
Anyways, he has added NameFirst and NameLast, I guess... so what do you do? Well, you merge, refactor, change so it has more sane names... like FirstName and LastName, you run your tests and check his code, and then you push to the central.
But what about the migrations? Well, now would be the time to make a migration moving the central repo, or the branch "test" more specifically, contain a nice little migration from its model a => model b. This migration will be one and only one migration, not ten weird ones.
Do you see what I'm getting at? We are working with nice little pocos and the comparisons of them constitute the actual migrations. So, we shouldn't merge migrations at all, in my opinion, we should have migrations-per-branch or something like that.
In fact, do we even need to create the migration in the branch after merge? Yes, if this database is updated automatically, we need to.
Gotta work some more, those are my thoughts on this, at least.