Recent Newcomers Earn Less
Recent Newcomers Earn Less
Immigrants who came to Canada in the 1980s and 1990s earn approximately one-third less than immigrants who arrived in the 1960s, according to data released by Statistics Canada.
Part of this deterioration in earnings is attributed to changes in the countries of origin of newcomers – between 1965 and 1969, 70% of immigrants came from the United States, Northern, Western or Southern Europe, today almost 70% come from Eastern Europe, Africa, or Asia. As such, fewer have either French or English as a mother tongue, which has traditionally provided access to higher earnings.
But the research also found that the market value of foreign work experience has declined significantly. Immigrants who arrived during the 1960s typically saw a 1.5% increase in earnings for each additional year of foreign work experience, those arriving in the late 1990s were only rewarded with a 0.3% increase for each year of foreign work experience. However, much depends on one’s country of origin. Newcomers from the United States and Northern and Western Europe continue to achieve 1.8% higher earnings for each year of their foreign work experience. As did people born in Canada, who obtain on average 3.5% more for each year of work experience.
Recent newcomers, who had obtained their university degree abroad, earned 38% more than their counterparts without degrees. This was similar to the increase witnessed during the 1960s. However, those who obtained degrees in the United States and Northern and Western Europe, earned significantly more – 47.8% vs. 36.2% for degrees obtained in non-traditional source countries.
Other data released by Statistics Canada reveals university-educated immigrants were twice as likely to occupy jobs that do not fully utilize their education as Canadian-born graduates.
For more information, please visit:
http://www.statcan.ca/Daily/English/040517/d040517a.htm
and
http://www.statcan.ca/Daily/English/040623/d040623c.htm
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Source: United Ways of Ontario's Government Relations Bulletin - Issue dd July 23, 2004
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Page last updated July 24, 2004