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Workplace Concentration of Immigrants

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Author Info

  • Fredrik Andersson
  • Monica Garcia-Perez
  • John Haltiwanger
  • Kristin McCue
  • Seth Sanders

Abstract

To what extent do immigrants and the native-born work in separate workplaces? Do worker and employer characteristics explain the degree of workplace concentration? We explore these questions using a matched employer-employee database that extensively covers employers in selected MSAs. We find that immigrants are much more likely to have immigrant coworkers than are natives, and are particularly likely to work with their compatriots. We find much higher levels of concentration for small businesses than for large ones, that concentration varies substantially across industries, and that concentration is particularly high among immigrants with limited English skills. We also find evidence that neighborhood job networks are strongly positively associated with concentration. The effects of networks and language remain strong when type is defined by country of origin rather than simply immigrant status. The importance of these factors varies by immigrant country of origin—for example, not speaking English well has a particularly strong association with concentration for immigrants from Asian countries. Controlling for differences across MSAs, we find that observable employer and employee characteristics account for about half of the difference between immigrants and natives in the likelihood of having immigrant coworkers, with differences in industry, residential segregation and English speaking skills being the most important factors.

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File URL: ftp://ftp2.census.gov/ces/wp/2010/CES-WP-10-39R.pdf
File Function: Revised version, 2011
Download Restriction: no

File URL: ftp://ftp2.census.gov/ces/wp/2010/CES-WP-10-39.pdf
File Function: First version, 2010
Download Restriction: no

Bibliographic Info

Paper provided by Center for Economic Studies, U.S. Census Bureau in its series Working Papers with number 10-39r.

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Length: 61 pages
Date of creation: Nov 2010
Date of revision: Nov 2011
Handle: RePEc:cen:wpaper:10-39r

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Related research

Keywords: concentration; segregation; immigrant workers; social networks;

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References

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  1. Carrington, William J & Troske, Kenneth R, 1997. "On Measuring Segregation in Samples with Small Units," Journal of Business & Economic Statistics, American Statistical Association, vol. 15(4), pages 402-09, October.
  2. Judith Hellerstein & David Neumark, 2004. "Workplace Segregation in the United States: Race, Ethnicity, and Skill," PPIC Working Papers 2004.05, Public Policy Institute of California.
  3. Michael Kremer & Eric Maskin, 1996. "Wage Inequality and Segregation by Skill," NBER Working Papers 5718, National Bureau of Economic Research, Inc.
  4. Hellerstein, Judith K. & McInerney, Melissa & Neumark, David, 2008. "Measuring the Importance of Labor Market Networks," IZA Discussion Papers 3750, Institute for the Study of Labor (IZA).
  5. John M. Abowd & Bryce E. Stephens & Lars Vilhuber & Fredrik Andersson & Kevin L. McKinney & Marc Roemer & Simon Woodcock, 2002. "The LEHD Infrastructure Files and the Creation of the Quarterly Workforce Indicators," Longitudinal Employer-Household Dynamics Technical Papers 2002-05, Center for Economic Studies, U.S. Census Bureau.
  6. Montgomery, James D, 1991. "Social Networks and Labor-Market Outcomes: Toward an Economic Analysis," American Economic Review, American Economic Association, vol. 81(5), pages 1407-18, December.
  7. Harry J. Holzer, 1987. "Hiring Procedures in the Firm: Their Economic Determinants and Outcomes," NBER Working Papers 2185, National Bureau of Economic Research, Inc.
  8. Antonio Cabrales & Antoni Calv�-Armengol & Nicola Pavoni, 2008. "Social Preferences, Skill Segregation, and Wage Dynamics," Review of Economic Studies, Oxford University Press, vol. 75(1), pages 65-98.
  9. Lang, Kevin, 1986. "A Language Theory of Discrimination," The Quarterly Journal of Economics, MIT Press, vol. 101(2), pages 363-82, May.
  10. Åslund, Olof & Nordström Skans, Oskar, 2005. "Measuring conditional segregation: methods and empirical examples," Working Paper Series 2005:12, IFAU - Institute for Evaluation of Labour Market and Education Policy.
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Citations

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Cited by:
  1. Sari Pekkala Kerr & William R. Kerr & William F. Lincoln, 2014. "Firms and the Economics of Skilled Immigration," NBER Working Papers 20069, National Bureau of Economic Research, Inc.
  2. repec:cen:wpaper:11-30 is not listed on IDEAS
  3. Liliana D. Sousa, 2013. "Human Capital Traps? Enclave Effects Using Linked Employer-Household Data," Working Papers 13-29, Center for Economic Studies, U.S. Census Bureau.
  4. Sari Pekkala Kerr & William R. Kerr & William F. Lincoln, 2014. "Skilled Immigration and the Employment Structures of U.S. Firms," William Davidson Institute Working Papers Series wp1071, William Davidson Institute at the University of Michigan.
  5. Ana Damas de Matos, 2012. "The Careers of Immigrants," CEP Discussion Papers dp1171, Centre for Economic Performance, LSE.
  6. Udo Kreickemeier & Jens Wrona, . "Two-way Migration Between Similar Countries," Discussion Papers 11/07, University of Nottingham, GEP.

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