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Job Loss and Immigrant Labor Market Performance

Author

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  • Bratsberg, Bernt

    (Ragnar Frisch Centre for Economic Research)

  • Raaum, Oddbjørn

    (Ragnar Frisch Centre for Economic Research)

  • Røed, Knut

    (Ragnar Frisch Centre for Economic Research)

Abstract

While integration policies typically focus on labor market entry, we present evidence showing that immigrants from low-income countries tend to have more precarious jobs, and face more severe consequences of job loss, than natives. For immigrant workers in the Norwegian private sector, the probability of job loss in the near future is twice that of native workers. Using corporate bankruptcy for identification, we find that the adverse effects of job loss on future employment and earnings are more than twice as large for immigrant employees.

Suggested Citation

  • Bratsberg, Bernt & Raaum, Oddbjørn & Røed, Knut, 2016. "Job Loss and Immigrant Labor Market Performance," IZA Discussion Papers 9729, Institute of Labor Economics (IZA).
    • Handle: RePEc:iza:izadps:dp9729
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    Cited by:

    1. Graziella Bertocchi & Marianna Brunetti & Anzelika Zaiceva, 2023. "The Financial Decisions of Immigrant and Native Households: Evidence from Italy," Italian Economic Journal: A Continuation of Rivista Italiana degli Economisti and Giornale degli Economisti, Springer;Società Italiana degli Economisti (Italian Economic Association), vol. 9(1), pages 117-174, March.
    2. Chassamboulli, Andri & Fontaine, Idriss & Gálvez-Iniesta, Ismael & Gomes, Pedro, 2024. "Immigration and labour market flows," Labour Economics, Elsevier, vol. 86(C).
    3. Bratsberg, Bernt & Kotsadam, Andreas & Walther, Selma, 2021. "Male Fertility: Facts, Distribution and Drivers of Inequality," IZA Discussion Papers 14506, Institute of Labor Economics (IZA).
    4. Petri Böckerman & Tuomas Kosonen & Terhi Maczulskij, 2018. "Job Displacement, Inter-Regional Mobility and Long-Term Earnings," Working Papers 323, Työn ja talouden tutkimus LABORE, The Labour Institute for Economic Research LABORE.
    5. Bratsberg, Bernt & Raaum, Oddbjørn & Røed, Knut, 2020. "Immigrant Responses to Social Insurance Generosity," Labour Economics, Elsevier, vol. 65(C).
    6. Alstadsæter, Annette & Bratsberg, Bernt & Markussen, Simen & Raaum, Oddbjørn & Røed, Knut, 2023. "Social Gradients in Employment during and after the COVID-19 Pandemic," IZA Discussion Papers 16260, Institute of Labor Economics (IZA).
    7. Huanan Xu, 2018. "First fired, first hired? Business cycles and immigrant labor market transitions," IZA Journal of Migration and Development, Springer;Forschungsinstitut zur Zukunft der Arbeit GmbH (IZA), vol. 8(1), pages 1-36, December.
    8. Aldén, Lina & Hammarstedt, Mats & Miao, Chizheng, 2020. "Financial Capital and Immigrant Self-Employment: Evidence from a Swedish Reform," Working Paper Series 1359, Research Institute of Industrial Economics.
    9. Erika Gubrium & Mariann Stærkebye Leirvik, 2022. "Taking Time Seriously: Biographical Circumstance and Immigrant Labor Integration Experience," Journal of International Migration and Integration, Springer, vol. 23(1), pages 303-320, March.
    10. Athey, Susan & Simon, Lisa K. & Skans, Oskar N. & Vikstrom, Johan & Yakymovych, Yaroslav, 2023. "The Heterogeneous Earnings Impact of Job Loss across Workers, Establishments, and Markets," Research Papers 4148, Stanford University, Graduate School of Business.
    11. Edvard N. Larsen & Adrian F. Rogne & Gunn E. Birkelund, 2018. "Perfect for the Job? Overqualification of Immigrants and their Descendants in the Norwegian Labor Market," Social Inclusion, Cogitatio Press, vol. 6(3), pages 78-103.
    12. Hoseini,Mohammad & Dideh,Mahsa Jahan, 2022. "How Do Shared Experiences of Economic Shocks Impact Refugees and Host Communities ? Evidence fromAfghan Refugees in Iran," Policy Research Working Paper Series 9915, The World Bank.
    13. Stefan Jestl & Maryna Tverdostup, 2023. "The Labour Market Entry and Integration of Refugees and Other Migrants in Austria," wiiw Working Papers 231, The Vienna Institute for International Economic Studies, wiiw.

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    More about this item

    Keywords

    migration; job loss; firm closure; unemployment;
    All these keywords.

    JEL classification:

    • F22 - International Economics - - International Factor Movements and International Business - - - International Migration
    • H55 - Public Economics - - National Government Expenditures and Related Policies - - - Social Security and Public Pensions
    • J24 - Labor and Demographic Economics - - Demand and Supply of Labor - - - Human Capital; Skills; Occupational Choice; Labor Productivity
    • J65 - Labor and Demographic Economics - - Mobility, Unemployment, Vacancies, and Immigrant Workers - - - Unemployment Insurance; Severance Pay; Plant Closings

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