The Challenges Immigrants Face In Canada

1528 words - 6 pages

For a unit increase in human capital the wage will increase by 13857 holding all the other variables constant. This further supports the human capital theory that higher education leads to higher financial returns in the job market. Assuming that the reference category for sex is female, males get 17436 more in wages than females. Age however showed to have a positive correlation with wage where for each year increase in age, wage will increase by 6528. This could imply also that experience which comes with wage contributes to higher returns in the job market. When we compare the estimates for Quebec, Alberta, and Ontario, the average wage is decreases by 3060 for residents of Quebec. It increases by 9167 for Ontario, and 12828 for residents of Alberta.
Looking the immigrant and non-immigrant categories, the average wage increase for immigrants is 1371 while the wage increase is 7193 for non immigrants. This further confirms existing research on the wage disparity between immigrants and non immigrants in the labour market. For example the income of females residents of Ontario between the ages of 25 to 36 were compared controlling for education, women who were visible minorities and immigrants earned on average 22848 less than females who were not visible minorities and non-immigrants who earned 39410 on average. Holding all others things constant, similar disparities were seen among males where immigrant, visible minority males earned on average 40284 less than non-immigrant males who are not visible minorities- earned 56846 on average.
The analyses also showed that females on average earned less compared to males both within immigrant and non-immigration populations. For example immigrant females with university degrees living in the province of Ontario who are visible minorities earned on average 25908 less compared to males who earned 43344. Similar results were seen in non-immigrant and non-visible minority populations where females earned 39410 less compared to males who earned 56846. Additionally, while wage does have positive relation to wage the income disparities between immigrants and non-immigrants seem to remain the same for as long as people stay in the job market. For example males between holding everything constant, males between the ages of 56 and 64 who are non-immigrants and non visible minorities earn 79492 compared to males the same age who are immigrants and visible minorities.

Discussion and Policy Implications

The results indicate that structural inequalities within the Canadian labour market are greatly influenced by individual characteristics such as gender, visible minority status and immigrant status. The analyses indicated not only were the majority of immigrants’ visible minorities, they also earned comparatively less even though they had higher education on average than non-immigrants. Additionally clear income disparities can be also observed for non-immigrant women and is even amplified in immigrant...

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