A Duration Analysis of the Time Taken to Find the First Job for Newly Arrived Migrants in Australia
This paper extends the traditional static focus of research on the labour market assimilation of migrants in Australia by analyzing the dynamics of job search and actual time taken to find the first job after arrival in Australia. The Longitudinal Survey of Immigrants to Australia (LSIA) covers two cohorts of recent migrants to Australia that differ considerably in immigration selection criteria and other policy settings, as well as in the macroeconomic employment conditions at their time of arrival in Australia. This gives rise to very different early labour market outcomes for the migrants in these two cohorts; and this paper looks at one specific aspect of this differing outcome – the time taken to find the first job after arrival in Australia. We analyze the inter-cohort differences in migrant characteristics and job search behaviour, and explicitly model the duration of the time taken to find the first job in Australia for the sub-sample of migrants who were the Principal Applicants in their visa applications. Using a conventional proportional hazards model framework, estimation results are presented for a Cox model specification and for a parameterized version of the baseline hazard which permits a formal test of equivalent hazards faced by the migrants in the two cohorts of LSIA. We find that the hazard rates of time to first job are determined by pre-immigrant characteristics, such as education and qualifications, recent work history in source country, the Australian visa categories, English language proficiency, and whether the migrants had previously visited Australia. The parametric model results show that both the underlying baseline hazards and the proportional hazard coefficients on most variables of interest differ significantly between Cohort 1 (arrived in Australia in 1993 through 1995) and Cohort 2 (arrived in Australia in 1999-2000). We then use the parametric model results to simulate the full distribution of the time taken to find the first job for these two migrant cohorts. We present alternative decompositions of the inter-cohort gap into effects due to differences in the observable characteristics of the migrants, and residual effects which can be attributed to different selection criteria and other policy settings and macro economic conditions that are applicable for the two time periods. The decomposition results suggest that the more favourable outcomes for Cohort 2 migrants are predominantly due to the setting of the Cohort 2 time period. This effect is most pronounced for the sample of female Principal Applicants. Cohort 1 migrants would also have experienced much quicker exits to a first job had they arrived under the macroeconomic and immigration policy setting of Cohort 2. Although the advantage derived from the Cohort 2 setting is not itself further decomposed, our analyses does indicated an important role for changes in migrating selection criteria to affect initial labour market outcomes of migrants after arrival in Australia.
|Date of creation:||Jul 2006|
|Contact details of provider:|| Postal: +61 2 6125 3807|
Phone: +61 2 6125 3807
Fax: +61 2 6125 0744
Web page: http://rse.anu.edu.au/cepr.php
More information through EDIRC
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.:
- Stephane Mahuteau & P.N.(Raja) Junankar, 2004.
"Do Migrants get Good Jobs? New Migrant Settlement in Australia,"
Econometric Society 2004 Australasian Meetings
150, Econometric Society.
- Junankar, Pramod N. (Raja) & Mahuteau, Stéphane, 2004. "Do Migrants Get Good Jobs? New Migrant Settlement in Australia," IZA Discussion Papers 1434, Institute for the Study of Labor (IZA).
- Beggs, John J & Chapman, Bruce J, 1988. "Immigrant Wage Adjustment in Australia: Cross Section and Time-Series Estimates," The Economic Record, The Economic Society of Australia, vol. 64(186), pages 161-167, September.
- Inglis, Paul A & Stromback, Thorsten, 1986. "Migrants' Unemployment: The Determinants of Employment Success," The Economic Record, The Economic Society of Australia, vol. 62(178), pages 310-324, September.
- Deborah A. Cobb-Clark, 2003. "Public policy and the labor market adjustment of new immigrants to Australia," Journal of Population Economics, Springer;European Society for Population Economics, vol. 16(4), pages 655-681, November.
- Cobb-Clark, Deborah A., 2002. "Public Policy and the Labor Market Adjustment of New Immigrants to Australia," IZA Discussion Papers 620, Institute for the Study of Labor (IZA).
- Deborah Cobb-Clark & Marie Connolly & Christopher Worswick, 2005. "Post-migration investments in education and job search: a family perspective," Journal of Population Economics, Springer;European Society for Population Economics, vol. 18(4), pages 663-690, November.
- Prem J. Thapa, 2004. "On the risk of unemployment: a comparative assessment of the labour market success of migrants in Australia," Australian Journal of Labour Economics (AJLE), Bankwest Curtin Economics Centre (BCEC), Curtin Business School, vol. 7(2), pages 199-229, June.
- Prem Thapa, 2004. "On The Risk Of Unemployment: A Comparative Assessment of the Labour Market Success of Migrants in Australia," CEPR Discussion Papers 473, Centre for Economic Policy Research, Research School of Economics, Australian National University.
- Borooah, Vani K & Mangan, John, 2002. "An Analysis of Occupational Outcomes for Indigenous and Asian Employees in Australia," The Economic Record, The Economic Society of Australia, vol. 78(240), pages 31-49, March.
- P. N. Junankar & Satya Paul & Wahida Yasmeen, 2010. "Are Asian Migrants Discriminated Against In The Labor Market? A Case Study Of Australia," The Singapore Economic Review (SER), World Scientific Publishing Co. Pte. Ltd., vol. 55(04), pages 619-646.
- Junankar, Pramod N. (Raja) & Paul, Satya & Yasmeen, Wahida, 2004. "Are Asian Migrants Discriminated Against in the Labour Market? A Case Study of Australia," IZA Discussion Papers 1167, Institute for the Study of Labor (IZA).
When requesting a correction, please mention this item's handle: RePEc:auu:dpaper:527. See general information about how to correct material in RePEc.
For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: ()
If references are entirely missing, you can add them using this form.