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Liability-of-Foreignness Effects on Job Success of Immigrant Job Seekers

Author

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  • Fang, Tony

    (Memorial University of Newfoundland)

  • Samnani, Al-Karim

    (York University, Canada)

  • Novicevic, Milorad M.

    (University of Mississippi, Ole Miss)

  • Bing, Mark N.

    (University of Mississippi, Ole Miss)

Abstract

We examined the liability-of-foreignness (LOF) hypothesis for immigrant and native job seekers by analyzing a national dataset that tracks their use of job-search methods and their associated job outcomes in the Canadian labor market. To our knowledge this is the first empirical test of LOF at the individual-level while controlling for variables at multiple levels. We found support for LOF when job applicants used the rich media job-search methods of social networks and recruitment agencies, but not when they used the lean media of newspaper ads and the internet. Study limitations, implications, and future research are discussed.

Suggested Citation

  • Fang, Tony & Samnani, Al-Karim & Novicevic, Milorad M. & Bing, Mark N., 2012. "Liability-of-Foreignness Effects on Job Success of Immigrant Job Seekers," IZA Discussion Papers 6742, Institute of Labor Economics (IZA).
    • Handle: RePEc:iza:izadps:dp6742
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    2. Rozkwitalska Małgorzata & Magier-Łakomy Ewa, 2015. "Does Country of Origin Matter whilst Evaluating Candidates for Managerial Positions?," Journal of Intercultural Management, Sciendo, vol. 7(2), pages 75-88, June.
    3. Shipilov, Andrew V. & Li, Stan Xiao & Li, Wan, 2020. "Can you do Kung Fu and also act? New entrants’ status attainment in the creative industries," Journal of World Business, Elsevier, vol. 55(3).
    4. Mladen Adamovic & Victor Sojo & Rebecca Schachtman & Adriana Vargas, 2023. "Explaining the relationship between ethnicity and depressive symptoms: The roles of climate for inclusion, job self-efficacy, and job demands," Asia Pacific Journal of Management, Springer, vol. 40(3), pages 903-928, September.
    5. Fang, Tony & Gunderson, Morley & Lin, Carl, 2016. "The use and impact of job search procedures by migrant workers in China," China Economic Review, Elsevier, vol. 37(C), pages 154-165.
    6. Collings, David G., 2014. "Integrating global mobility and global talent management: Exploring the challenges and strategic opportunities," Journal of World Business, Elsevier, vol. 49(2), pages 253-261.
    7. Arpita Joardar & Joseph Sarkis, 2021. "An examination of sustainable development of supply chain using foreignness perspective," Business Strategy and the Environment, Wiley Blackwell, vol. 30(1), pages 630-642, January.
    8. Cerdin, Jean-Luc & Brewster, Chris, 2014. "Talent management and expatriation: Bridging two streams of research and practice," Journal of World Business, Elsevier, vol. 49(2), pages 245-252.
    9. José Mata & Claudia Alves, 2018. "The survival of firms founded by immigrants: Institutional distance between home and host country, and experience in the host country," Strategic Management Journal, Wiley Blackwell, vol. 39(11), pages 2965-2991, November.
    10. Guo, Ying & Rammal, Hussain G. & Benson, John & Zhu, Ying & Dowling, Peter J., 2018. "Interpersonal relations in China: Expatriates’ perspective on the development and use of guanxi," International Business Review, Elsevier, vol. 27(2), pages 455-464.
    11. Fang, Tony & Zhang, Tingting & Hartley, John, 2023. "Examining the Determinants of Managers' Hiring Attitudes Towards Immigrant Workers: Evidence from an Employer Survey," IZA Discussion Papers 16219, Institute of Labor Economics (IZA).
    12. Fitzsimmons, Stacey R. & Baggs, Jen & Brannen, Mary Yoko, 2020. "Intersectional arithmetic: How gender, race and mother tongue combine to impact immigrants’ work outcomes," Journal of World Business, Elsevier, vol. 55(1).
    13. Shayegheh Ashourizadeh & Jizhen Li & Kent Adsbøll Wickstrøm, 2022. "Immigrants` Entrepreneurial Networks and Export: A Comparative Study," International Entrepreneurship and Management Journal, Springer, vol. 18(3), pages 1291-1318, September.
    14. Fernando, Dulini & Patriotta, Gerardo, 2020. "“Us versus them”: Sensemaking and identity processes in skilled migrants’ experiences of occupational downgrading," Journal of World Business, Elsevier, vol. 55(4).
    15. Sinkovics, Noemi & Reuber, A. Rebecca, 2021. "Beyond disciplinary silos: A systematic analysis of the migrant entrepreneurship literature," Journal of World Business, Elsevier, vol. 56(4).
    16. Pankaj Kumar & Swanand J. Deodhar & Srilata Zaheer, 2023. "Cognitive sources of liability of foreignness in crowdsourcing creative work," Journal of International Business Studies, Palgrave Macmillan;Academy of International Business, vol. 54(4), pages 686-716, June.
    17. Shayegheh Ashourizadeh & Jizhen Li & Kent Adsbøll Wickstrøm, 0. "Immigrants` Entrepreneurial Networks and Export: A Comparative Study," International Entrepreneurship and Management Journal, Springer, vol. 0, pages 1-28.
    18. Jennifer Elrick, 2016. "Screening, Skills and Cultural Fit: Theorizing Immigrant Skill Utilization from an Organizational Perspective," Journal of International Migration and Integration, Springer, vol. 17(3), pages 801-817, August.
    19. Yimin Huang & Junjun Cheng & Rongwei Chu, 2020. "Resilience and well‐being production among vulnerable consumers facing systematic constraints," Journal of Consumer Affairs, Wiley Blackwell, vol. 54(4), pages 1328-1354, December.
    20. Joardar, Arpita & Wu, Sibin, 2017. "Liabilities and benefits: Examining the two sides of the foreignness coin from entrepreneurial perspective," International Business Review, Elsevier, vol. 26(6), pages 1157-1167.
    21. Lazarova, Mila & Caligiuri, Paula & Collings, David G. & De Cieri, Helen, 2023. "Global work in a rapidly changing world: Implications for MNEs and individuals," Journal of World Business, Elsevier, vol. 58(1).
    22. Magier-Łakomy Ewa & Rozkwitalska Małgorzata, 2013. "Country-of-origin effect on manager’s competence evaluations," Journal of Intercultural Management, Sciendo, vol. 5(4), pages 5-21, December.
    23. Olivier Bertrand & Marie-Ann Betschinger & Caterina Moschieri, 2021. "Are firms with foreign CEOs better citizens? A study of the impact of CEO foreignness on corporate social performance," Journal of International Business Studies, Palgrave Macmillan;Academy of International Business, vol. 52(3), pages 525-543, April.
    24. Jane W. Lu & Hao Ma & Xuanli Xie, 2022. "Foreignness research in international business: Major streams and future directions," Journal of International Business Studies, Palgrave Macmillan;Academy of International Business, vol. 53(3), pages 449-480, April.

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    More about this item

    Keywords

    labor market; job success; levels of analysis; immigration policy; liability-of-foreignness;
    All these keywords.

    JEL classification:

    • J15 - Labor and Demographic Economics - - Demographic Economics - - - Economics of Minorities, Races, Indigenous Peoples, and Immigrants; Non-labor Discrimination
    • J71 - Labor and Demographic Economics - - Labor Discrimination - - - Hiring and Firing
    • J78 - Labor and Demographic Economics - - Labor Discrimination - - - Public Policy (including comparable worth)

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