Immigrants in Europe and North America earn 18% less than natives – here’s why

Sat, 19 Jul 2025 03:53:04 +1000

Andrew Pam <xanni [at] glasswings.com.au>

Andrew Pam
<https://theconversation.com/immigrants-in-europe-and-north-america-earn-18-less-than-natives-heres-why-261188>

"As many countries grapple with ageing populations, falling birthrates, labour
shortages and fiscal pressures, the ability to successfully integrate
immigrants is becoming an increasingly pressing matter.

However, our new study found that salaries of immigrants in Europe and North
America are nearly 18% lower than those of natives, as foreign-born workers
struggle to access higher-paying jobs. To reach this conclusion, we analysed
the salaries of 13.5 million people in nine immigrant-receiving countries:
Canada, Denmark, France, Germany, the Netherlands, Norway, Spain, Sweden and
the United States. Data was taken from the period of 2016 to 2019.

Immigrants in these countries earned less primarily because they were unable to
access higher-paying jobs. Three-quarters of the migrant pay gap was the result
of a lack of access to well-paid jobs, while only one-quarter of the gap was
attributed to pay differences between migrant and native-born workers in the
same job.

The high-income countries we examined in Europe and North America all face
similar demographic challenges, with low fertility rates resulting in an ageing
population and labour shortages. Pro-natalist policies are unlikely to change
this demographic destiny, but sound immigration policies can help.

Across these countries with vastly different labour market institutions and
immigrant populations, a common theme emerged: countries are not making good
use of immigrants’ human capital."

Cheers,
       *** Xanni ***
--
mailto:xanni@xanadu.net               Andrew Pam
http://xanadu.com.au/                 Chief Scientist, Xanadu
https://glasswings.com.au/            Partner, Glass Wings
https://sericyb.com.au/               Manager, Serious Cybernetics

Comment via email

Home E-Mail Sponsors Index Search About Us