IDEAS home Printed from https://ideas.repec.org/p/pra/mprapa/28503.html
   My bibliography  Save this paper

How are the Children of Visible Minority Immigrants Doing in the Canadian Labour Market?

Author

Listed:
  • Grady, Patrick

Abstract

This paper examines the performance of the children of immigrants (2nd generation immigrants) to Canada using data from the 2006 Census. As the composition of immigration inflows has shifted after 1980 from the traditional European source countries to the Third World, the analysis focuses on the labour market performance of 2nd generation visible minority immigrants of whom there were 398 thousand aged15 and over who reported employment income in the Census. An encouraging fact revealed by the data is that 2nd generation visible minority immigrants are becoming more highly educated than 2nd generation non-visible minority immigrants and than non-immigrants – 46.2 per cent of 2nd generation visible minority between 25 and 44 earning employment had earned university certificates or degrees compared to 31 per cent of non-visible minority 2nd generation immigrants and 24 per cent of non-immigrants in the same age groups. But, while 2nd generation visible minority immigrants obtained more education than 2nd generation non-visible minority immigrants and non-immigrants, their performance as a group did not measure up in the labour market. In the 25 to 44 age group, accounting for the largest number of 2nd generation visible minority immigrants, they only earned on average $39,814, whereas 2nd generation non-visible minority immigrants earned $45,352 and non-immigrants 40,358. The labour market performance varies significantly among different visible minority groups. 2nd generation Chinese immigrants in the 25 to 44 age group actually earned $48,098, which was actually more than 2nd generation non-visible minority immigrants and non-immigrants. Because of the large number of Chinese included as 2nd generation immigrants, this buoyed up the overall average and masked the unfortunate fact that many other visible minority groups are doing much worse than average overall and falling short of non-immigrants. A troubling aspect of the performance of 2nd generation immigrants, except for Chinese and Japanese, is the extent to which they earn substantially less than non-immigrants and especially non-visible minority immigrants for any given level of education. The paper thus provides no grounds for complacency that the children of the recent, particularly non-Asian visible minority, immigrants who are performing so poorly in Canada’s labour market will catch up with non-immigrant groups, particularly given that their parents are currently performing much worse than earlier visible minority immigrants in the labour market. And it is unlikely that 2nd generation visible minority immigrants as a group will earn enough to make up for the current earnings shortfall experienced by their parents in recent cohorts of underperforming immigrants. Furthermore, the lower earnings of many visible minority groups for any given level of education are likely to continue be used as justification for more affirmative action programs. This will adversely affect the non-visible minority and non-immigrant population, and could become a source of increasing social tension.

Suggested Citation

  • Grady, Patrick, 2011. "How are the Children of Visible Minority Immigrants Doing in the Canadian Labour Market?," MPRA Paper 28503, University Library of Munich, Germany.
  • Handle: RePEc:pra:mprapa:28503
    as

    Download full text from publisher

    File URL: https://mpra.ub.uni-muenchen.de/28503/1/MPRA_paper_28503.pdf
    File Function: original version
    Download Restriction: no

    References listed on IDEAS

    as
    1. Grady, Patrick, 2010. "An Analysis of the Underlying Causes of the Poor Performance of Recent Immigrants Using the 2006 Census PUMF and Some Observations on Their Implications for Immigration Policy," MPRA Paper 24403, University Library of Munich, Germany.
    2. Picot, Garnett & Sweetman, Arthur, 2005. "The Deteriorating Economic Welfare of Immigrants and Possible Causes: Update 2005," Analytical Studies Branch Research Paper Series 2005262e, Statistics Canada, Analytical Studies Branch.
    3. Picot, Garnett, 2008. "Immigrant Economic and Social Outcomes in Canada: Research and Data Development at Statistics Canada," Analytical Studies Branch Research Paper Series 2008319e, Statistics Canada, Analytical Studies Branch.
    Full references (including those not matched with items on IDEAS)

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Grubel, Herbert & Grady, Patrick, 2012. "Fiscal transfers to immigrants in Canada: responding to critics and a revised estimate," MPRA Paper 37406, University Library of Munich, Germany, revised 06 Mar 2012.
    2. Patrick, Grady, 2016. "How are the Children of Visible Minority Immigrants Doing? An Update Based on the National Household Survey," MPRA Paper 71707, University Library of Munich, Germany.

    More about this item

    Keywords

    wages; 2nd generation immigrants to Canada; immigration policy; human capital;

    JEL classification:

    • J61 - Labor and Demographic Economics - - Mobility, Unemployment, Vacancies, and Immigrant Workers - - - Geographic Labor Mobility; Immigrant Workers
    • J24 - Labor and Demographic Economics - - Demand and Supply of Labor - - - Human Capital; Skills; Occupational Choice; Labor Productivity
    • J23 - Labor and Demographic Economics - - Demand and Supply of Labor - - - Labor Demand

    NEP fields

    This paper has been announced in the following NEP Reports:

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:pra:mprapa:28503. 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: (Joachim Winter). General contact details of provider: http://edirc.repec.org/data/vfmunde.html .

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service hosted by the Research Division of the Federal Reserve Bank of St. Louis . RePEc uses bibliographic data supplied by the respective publishers.