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Which firms provide jobs for unemployed non-Western immigrants?


  • Sven-Olov Daunfeldt
  • Dan Johansson
  • Hans Seerar Westerberg


Although the refugee immigration crisis is one of the major socio-economic challenges in Europe, we still lack knowledge on what characterizes firms that provide jobs for unemployed immigrants. We provide an answer by investigating firms that recruit unemployed non-Western immigrants using matched employer-employee data from Statistics Sweden. We find large industry differences; firms active in the service sectors, such as the hospitality, transport, and healthcare industries, are much more likely to hire unemployed non-Western immigrants than firms in high-tech and manufacturing industries. In addition, after controlling for educational attainment and industry of occupation, firms with at least one non-Western immigrant manager hire more than four times as many unemployed non-Western immigrants than firms without any non-Western immigrant managers. Public policies that target industries might thus also influence job opportunities for immigrants and, thereby, the possibility of their integration into society.

Suggested Citation

  • Sven-Olov Daunfeldt & Dan Johansson & Hans Seerar Westerberg, 2019. "Which firms provide jobs for unemployed non-Western immigrants?," The Service Industries Journal, Taylor & Francis Journals, vol. 39(9-10), pages 762-778, July.
  • Handle: RePEc:taf:servic:v:39:y:2019:i:9-10:p:762-778
    DOI: 10.1080/02642069.2018.1534961

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    Cited by:

    1. Sabina Kubiciel-Lodzinska & Jolanta Maj, 2020. "Experience in Employing Immigrants and the Perception of Benefits of a Diverse Workforce," European Research Studies Journal, European Research Studies Journal, vol. 0(Special 1), pages 803-818.
    2. Daunfeldt, Sven-Olov & Gidehag, Anton & Seerar Westerberg, Hans, 2023. "Do reduced labor costs increase employment among minimum wage workers? Evidence from a Swedish payroll tax cut," HFI Working Papers 26, Institute of Retail Economics (Handelns Forskningsinstitut).
    3. Daunfeldt, Sven-Olov & McKelvie, Alexander & Seerar Westerberg, Hans, 2023. "Right time or the right person? Investigating the hires of high-growth new ventures," HFI Working Papers 25, Institute of Retail Economics (Handelns Forskningsinstitut).

    More about this item

    JEL classification:

    • D24 - Microeconomics - - Production and Organizations - - - Production; Cost; Capital; Capital, Total Factor, and Multifactor Productivity; Capacity
    • L25 - Industrial Organization - - Firm Objectives, Organization, and Behavior - - - Firm Performance
    • L26 - Industrial Organization - - Firm Objectives, Organization, and Behavior - - - Entrepreneurship


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