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The Labour Market Characteristics and Labour Market Impacts of Immigrants in Ireland

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Author Info
Alan Barrett (The Economic and Social Research Institute, Dublin)
Adele Bergin (The Economic and Social Research Institute, Dublin)
David Duffy (The Economic and Social Research Institute, Dublin)

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Abstract

The purpose of this paper is twofold. We first produce a labour market profile of non- Irish immigrants who arrived in Ireland in the ten years to 2003. We then go on to use the labour market profile in estimating the impact of immigration (non-Irish) on the Irish labour market. Immigrants are shown to be a highly educated group. However, they are not all employed in occupations that fully reflect their education levels. The model of the labour market that we use to simulate the impact of immigration differentiates between low-skilled and high-skilled labour. This allows us to estimate the impact of immigrants (a) if they were employed at a level fitting their education and (b) if they were employed in occupations below their educational level. Our results show that under scenario (a) immigrants who arrived between 1993 and 2003 increased GNP by between 3.5 and 3.7 per cent, largely by lowering skilled wages by around 6 per cent and increasing Ireland’s competitiveness. Under scenario (b), the increase in GNP is reduced to 3 per cent because the impact on skilled wages is lower. If we assume that immigration is primarily unskilled, the impact on earnings inequality found under (a) and (b) is reversed.

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Publisher Info
Article provided by Economic and Social Studies in its journal Economic and Social Review.

Volume (Year): 37 (2006)
Issue (Month): 1 ()
Pages: 1-26
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Handle: RePEc:eso:journl:v:37:y:2006:i:1:p:1-26

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References listed on IDEAS
Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.:
  1. Wheatley Price, Stephen & Michael A Shields, 2003. "Immigrant Job Search in the UK," Royal Economic Society Annual Conference 2003 220, Royal Economic Society. [Downloadable!]
  2. Barrett, Alan & FitzGerald, John & Nolan, Brian, 2002. "Earnings inequality, returns to education and immigration into Ireland," Labour Economics, Elsevier, vol. 9(5), pages 665-680, November. [Downloadable!] (restricted)
    Other versions:
  3. Bradley, John & Fitzgerald, John, 1988. "Industrial output and factor input determination in an econometric model of a small open economy," European Economic Review, Elsevier, vol. 32(6), pages 1227-1241, July. [Downloadable!] (restricted)
  4. Frijters, Paul & Shields, Michael A. & Wheatley Price, Stephen, 2003. "Immigrant Job Search in the UK: Evidence from Panel Data," IZA Discussion Papers 902, Institute for the Study of Labor (IZA). [Downloadable!]
    Other versions:
  5. Eckstein, Zvi & Weiss, Yoram, 2003. "On the Wage Growth of Immigrants: Israel, 1990-2000," IZA Discussion Papers 710, Institute for the Study of Labor (IZA). [Downloadable!]
    Other versions:
  6. Joseph G. Altonji & David Card, 1989. "The Effects of Immigration on the Labor Market Outcomes of Natives," NBER Working Papers 3123, National Bureau of Economic Research, Inc. [Downloadable!] (restricted)
  7. John Fitz Gerald & Ide Kearney, 2000. "Convergence in Living Standards in Ireland: The Role of the New Economy," Papers WP134, Economic and Social Research Institute (ESRI). [Downloadable!]
  8. Robert J. LaLonde & Robert H. Topel, 1989. "Labor Market Adjustments to Increased Immigration," University of Chicago - George G. Stigler Center for Study of Economy and State 55, Chicago - Center for Study of Economy and State.
  9. Bradley, John & Fitz Gerald, John & Kearney, Ide, 1993. "Modelling supply in an open economy using a restricted cost function," Economic Modelling, Elsevier, vol. 10(1), pages 11-21, January. [Downloadable!] (restricted)
  10. Friedberg, Rachel M, 2000. "You Can't Take It with You? Immigrant Assimilation and the Portability of Human Capital," Journal of Labor Economics, University of Chicago Press, vol. 18(2), pages 221-51, April. [Downloadable!] (restricted)
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  11. repec:esr:forcas:mtr09 is not listed on IDEAS
  12. Adele Bergin & Ide Kearney, 2004. "Human Capital, The Labour Market and Productivity Growth in Ireland," Papers WP158, Economic and Social Research Institute (ESRI). [Downloadable!]
Full references

Cited by:
(explanations, Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.)

  1. Roche, William K., 2007. "Developments in Industrial Relations and Human Resource management in Ireland," Quarterly Economic Commentary: Special Articles, Economic and Social Research Institute (ESRI), vol. 2007(1-Spring), pages 62-77. [Downloadable!]
  2. David Duffy & John Fitz Gerald & Ide Kearney, 2005. "Rising House Prices in an Open Labour Market," Papers WP166, Economic and Social Research Institute (ESRI). [Downloadable!]
    Other versions:
  3. Alan Barrett & Eilish Kelly, 2008. "How Reliable is the Quarterly National Household Survey for Migration Research?," The Economic and Social Review, Economic and Social Studies, vol. 39(3), pages 191-205. [Downloadable!]
  4. Russell, Helen & Quinn, Emma & King O'Riain, Rebecca & McGinnity, Frances, 2008. "The Experience of Discrimination in Ireland: Analysis of the QNHS Equality Module," Research Series, Economic and Social Research Institute (ESRI), number BKMNEXT120. [Downloadable!]
  5. David Duffy, 2007. "The Housing Tenure of Immigrants in Ireland: Some Preliminary Analysis," Papers WP188, Economic and Social Research Institute (ESRI). [Downloadable!]
  6. Baranowska, Anna & Bukowski, Maciej & Bober, Magda & Lewandowski, Piotr & Magda, Iga & Sarzalska, Malgorzata & Szydlowski, Arkadiusz & Zawistowski, Julian, 2006. "Zatrudnienie w Polsce 2006: Produktywnosc dla pracy
    [Employment in Poland 2006: productivity for jobs]    ," MPRA Paper 5524, University Library of Munich, Germany. [Downloadable!]
  7. Barrett, Alan & Rust, Anna, 2009. "Projecting the Future Numbers of Migrant Workers in the Health and Social Care Sectors in Ireland," Papers WP275, Economic and Social Research Institute (ESRI). [Downloadable!]
  8. Smyth, Emer & Darmody, Merike & McGinnity, Frances & Byrne, Delma, 2009. "Adapting to Diversity: Irish Schools and Newcomer Students," Research Series, Economic and Social Research Institute (ESRI), number RS008. [Downloadable!]
  9. Maite Blazquez & Silvio Rendon, 2006. "Over-Education in Multilingual Economies: Evidence from Catalonia," Working Papers 0607, Centro de Investigacion Economica, ITAM. [Downloadable!]
    Other versions:
  10. Ray Barrell & John FitzGerald & Rebecca Riley, 2007. "EU Enlargement and Migration: Assessing the Macroeconomic Impacts," Papers WP203, Economic and Social Research Institute (ESRI). [Downloadable!]
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