Lower wages in low-productive firms increase immigrant-native disparities


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The earnings gap between immigrants and natives working in the private sector has increased since the 1990s. More productive firms pay higher wages, but immigrants more often work in low-productive firms and are less likely to move to more high-productive companies. The figure shows average income and share of immigrants among the employees of firms with different average productivity. Each decile contains 10 percent of the firms. Decile 1 has the lowest productivity, decile 10 highest.

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Last modified: 2022-05-17