Labour Force Outcomes of Engineers in Australia

Transcription

1 Labour Force Outcomes of Engineers in Australia Sabbia Tilli School of Mechanical Engineering, The University of Western Australia & James Trevelyan School of Mechanical Engineering, The University of Western Australia Corresponding Author: Sabbia Tilli, School of Mechanical Engineering, The University of Western Australia, 35 Stirling Highway, Crawley 6009, Perth, Western Australia. Telephone , Fax: , sabbia@mech.uwa.edu.au

2 Labour Force Outcomes of Engineers in Australia Abstract Like other developed countries Australia imports skilled labour, including engineers, to meet labour market requirements. Despite the demand for skilled labour, there are claims in the migration literature about brain-waste of skilled migrants in host countries. To investigate if brain-waste is an issue for engineering migrants, this paper reviews census data to compare if the employment and occupational experiences of skilled migrants in Australia with foreign engineering training with those of the locally born or child migrants. The investigation was inspired by a Canadian study (Boyd & Thomas 2001) and follows similar methods. The result of the study shows that, in general, those with foreign engineering qualifications and training, have poorer labour market outcomes than the locally born and those that migrated as children and have Australian engineering qualifications. Three factors emerged from the study as influencing labour market outcomes for foreign trained migrants: duration in the host country; level of educational qualification; and region of origin. Also, an unexpected finding from the study is that 50% for the native born and 60-70% for the foreign born are not working in the engineering industry. Keywords: Brain waste, Employment outcomes, Engineer, Skilled migration. 2

3 Labour Force Outcomes of Engineers in Australia Introduction Engineering work not only provides infrastructure that underpins the functioning of modern society, but engineering industries are very significant for Australia s economic wellbeing (Institution of Engineers Australia 2002). Thus a sufficient supply of engineers is necessary for maintenance of the current standard of living. Despite this requirement, Australia is unable to supply its own engineering labour force needs from the locally born population and so, like other developed countries, accepts migrants to fill gaps in the market (Birrell et al 2001). Although migrant skilled workers are hosted in countries in North America, Australasia and Western Europe, issues of brain-waste and the under-utilisation of this category of worker have emerged in the migration literature. In response to these issues Boyd and Thomas published work about the employment and occupational patterns of immigrant engineers in Canada (Boyd and Thomas 2001). This paper builds on Boyd & Thomas research about the experience of migrants in the engineering profession by extending it to the Australian context. We ask if the problems of employment slippage and occupational mis-match recognised by Boyd and Thomas affect foreign-born engineers in Australia? The question is answered by undertaking a study based on the 2001 Australian Census. This study is part of an on-going research project at the University of Western Australia whose aim is to increase our understanding of engineering work and to 3

4 improve engineering skills in industry. Any attempt to do this requires, as its basis, an examination and understanding of what engineers do. However, the research of this group has shown that there is only indirect and limited evidence about how engineers do their work, less still on how all the other people they work with contribute to their projects (Tilli & Trevelyan 2005). The little that has been written about engineering work seems to be based on out-dated or inaccurate understandings. This study contributes to the project by providing a picture of the skill utilisation of a significant sector of the engineering profession migrants. The significance of engineers in the labour force The employment patterns of engineers are worthy of attention for four reasons 1 : 1. Engineering services are an important part of the global economy and the work of this profession is very significant to the economy North America and Australia accept significant numbers of engineers annually The employment experience of foreign-born engineers in the US tends to be different from the native born. 4 1 The first three reasons are taken from Boyd & Thomas (2001). 2 Institution of Engineers Australia (2002: 3). 3 Australia accepts approximately 1200 skilled engineering migrants annually as part of the skilled migration intake. Figures are from Department of Immigration and Multicultural Affairs (2001), Birrell et al (2001) and Department of Immigration, Multicultural and Indigenous Affairs (2004: 21). The number is significant compared to the annual number of 6109 non-overseas graduates from Australian universities (Kryger & Agnew 2003). 4

5 4. Much has been written about the significance of the migration of science and technology workers, of which engineers are part, and the consequences of an international shortage. 5 Reasons 1 and 2 involve money and immigration statistics, and so are quantifiable. This information makes it possible to illustrate the significance of migrant engineers to the Australian economy. When migrant engineers enter the Australian workforce in their chosen profession, they are joining a group that makes a very significant contribution to the economy. For example, data from the UK shows manufacturing engineering "contributed about 156 billion to UK goods exports the production and construction industries accounted for 27% of GDP" and " Total engineering manufacturing was valued at around 64 billion in 2002, representing 7 per cent of total UK GDP" 6. It is reasonable to assume these figures are similar for engineering work in other industrialised countries, noting that defence, energy and essential utilities, transport and communications services also rely on engineering work. The UK estimates help to illustrate the value of engineering to an economy and thus the importance of the work of engineers. Australia imports 23% of its engineering labour needs. 7 These migrant engineers make a direct and an indirect contribution to the economy: bringing skills that are 4 Boyd & Thomas (2001). 5 See Johnson & Regets (1998), Desai, Kapur & McHale(2001), Cornelius et al (2001) Mahroum (2000), National Bureau of Economic Research Conference (2003), Smith (1996). 6 Engineering and Technology Board. Media- Engineering Facts [Online] Engineering and Technology Board [30/01/04]. 7 Australia receives approximately 1200 engineers annually through the skilled migration program (Birrell et al 2001). This supplements the 6600 engineers that graduate from Australian universities annually. Since this number includes 5

6 costly to acquire in Australia; and possibly increasing competition in the engineering industry. By forgoing migration, the only other way for Australia to supply its engineering labour needs would be to educate more locals. 8 Our estimates show that an engineer raised in Australia represents an investment of approximately Au$900,000 (this includes both public and private investment). 9 Thus migration allows the state to acquire additional skilled labour without making a proportional increase in investment. Also, by accepting more local students into engineering schools, the average level of ability of engineering students would decline. This is because more students of lower ability would need to be accepted into tertiary engineering courses. In our research into the nature of engineering work we are exploring a possible indirect economic contribution of migrant engineers. Migration brings engineers into economies such as Australia where they compete for work with locals, thus increasing competition for employment in the engineering labour market. This reduces the cost of engineering products and services, but perhaps not only by decreasing engineering labour costs as classical labour market economics suggests. Perhaps this increase in labour competition and imported skills result in more innovation and hence productivity improvements in host countries providing significant benefits for their inhabitants. 10 approximately 1400 foreign full fee paying students, who are usually required to leave Australia after graduation, this means 23% of the country s engineering labour needs is supplied by migrants. These numbers are from the Department of Education, Science and Training publication Students 2000: Selected Higher Education Statistics, and include completions in the categories of Bachelor's Pass. Bachelor's Honours, and Bachelor's Graduate Entry of Engineering and Surveying. Please note, the statistics do not differentiate between engineering and surveying and so it is not possible to obtain a more accurate number. 8 Locals is used to refer to Australian citizens or Australian permanent residents. 9 See Trevelyan and Tilli (2002) 10 See Easterly & Levine (2001), and Kalafsky & Macpherson (2002). 6

7 Undervaluation of credentials and abilities/brain waste The discussion above has demonstrated that an industrialised country like Australia is economically advantaged by the presence of skilled migrants in general and engineers in particular. Given the potential value of skilled engineers to an economy, we should ask if they are employed in positions that take full advantage of their skills? Or, are they underemployed and unable to use their full range of talents? 11 Underemployment is associated with the widely used term brain waste. The problem of under-utilisation of skills, or 'brain waste', has become prominent in the general migration literature 12, and available literature on the work of engineers shows that this profession is also affected by the phenomenon. 13 Research points to the under-use/valuation of migrant engineers in the countries under study. Boyd and Thomas (2001, 112) demonstrate employment slippage and occupational mis-match for migrant engineers in Canada. Remennick (2003) reports on the shortcomings in occupational adjustment that numbers of Russian engineers endured after migrating to Israel. Hawthorne (1994), illustrates 'brain waste' in migrant engineers in Australia in the early 1990s. Tang (1993) and Boyd (2001) highlight the difficulties faced by engineers in areas of North America. 11 Portes & Borocz (1989) refer to the utilisation of migrant skills as mode of incorporation. In their work they categorise the integration of skilled migrants along a range of modes of incorporation : disadvantaged, neutral and advantaged. 12 See Gbosi, A. N. (2000), Iredale (1999) and Mahroum (2000). 13 See Remennick (2003), Tang (1993), Boyd (2001) and Iredale (1999). 7

8 It is noteworthy that this problem of under-utilisation of skills is not simply a function of an economic downturn. Although the study by Hawthorne examines migrant engineers during a less than prosperous phase in the Australian economy, the work of Tang (1993) and Boyd (2001) examines migrant engineers over a 16 year period commencing in the early 1980s and also recognises "brain-waste". The literature shows that migrant engineers (like other skilled migrants) often find it difficult to obtain employment or become employed in areas that underutilise their skills. There is a range of reasons given for under-employment of skills, and these can be divided into four categories: shortcomings of the migrant (eg, lack of local language skills, inappropriate job seeking strategies); shortcomings of prospective employers (eg, discrimination, undervaluation of foreign credentials); clash of cultures (eg, differences in training or experience, leadership styles) and structural issues (eg, strict regulation of the profession) Work by Tang (1993) and Boyd (2001) examine statistics for foreign-born engineers in parts of North America and show that "the review of surveys and census data on foreign-born engineers between 1980 and 1996 has pointed to multiple signs of discrimination, including underemployment, having jobs below ones qualifications, and blocked mobility, of foreign engineers in general and those of Asian origin specifically. Even in the booming high-tech industries of Silicon Valley, immigrant specialists were found to be disadvantaged due to the differences in training and experience, their lack of English-language social 8

9 networks, and lack of 'human capital skills' (eg different leadership style)"(remennick 2003: 703) 14 A four-year study ( ) of newly immigrated engineers in Australia undertaken by Hawthorne illustrates the problems faced by migrant engineers, and particularly focuses on the settlement and attempted labour market integration of these professionals (Hawthorne 1994). Hawthorne's study states that apart from English language competence and skill level, race and crosscultural differences significantly influence employment outcomes. Of the study sample, all English speaking background (ESB) engineers secured full-time employment within five months of arrival regardless of age, year of arrival or field of expertise. These migrants encountered minimal barriers to employment and workplace acceptance. The case was more complex for non-esb engineers. The study recognised five major barriers to employment: lack of Australian experience; inadequate English language skills; inappropriate job-seeking strategies; differences in technological requirements, and cross-cultural issues. As part of the study Hawthorne interviewed engineering employment agents, engineering employers and middle management engineers. The interviews demonstrated a level of ethnic stereotyping, with agents reporting an employer preference for known non-esb groups over relatively alien groups. Ethnicity proved to be the most important factor in total employment outcomes. Of the independent variables tested including ethnic background, age, engineering 14 Friedberg (2000) discussed the lack of earnings parity between locals and immigrants earnings, returns to human capital investment and when catch-up will occur. However, these issues beg the question of why such disparity exists and how to reduce it. 9

10 field and language level - the sole significant predictor of employability was ethnic background. Remennick (2003) recognises 'external' obstacles - structural conditions of the host economic marketplace that are barriers to successful occupational adjustment for her interviewees. "This includes the demand for a specific occupational group (eg for software designers in the years of high-tech boom), the supply of native specialists, and their reaction to the competition with the immigrants in the form of stricter access regulation, barriers to senior posts, etc."(remennick 2003: 17) Boyd & Thomas (2001) find greater slippage and occupational mismatch for permanent residents arriving at age 28 or later than for the Canadian born or those permanent residents who immigrated before age 19. (Boyd & Thomas 2001: 112) They attribute this to the undervaluation of engineering education and engineering credentials held by Canadian migrants. One explanation they offer for this is the under-valuation of foreign engineering education. That is, for various reasons the productivity of a migrant engineer is assumed by prospective employers to be below that of an engineer with Canadian qualifications. Another explanation they offer is the under-recognition of foreign credentials by the tightly regulated Canadian engineering labour market. Friedberg (2000) suggests that "Since engineering and technical/industrial work is much less embedded in local culture and language than work in education or medicine, the skills of immigrant engineers are ostensibly transferable to the host 10

11 country and employment prospects should be shaped mainly by factors of demand and supply of the local professional market(friedberg 2000) (Remennick 2002: 703)". 15 However, the studies mentioned above demonstrate that this is not the case. The widespread notion that engineers are technologists who spend their time working with machines or computers is questionable. Engineers spend much of Comment [ST1]: Am not sure how to reference this. This is a quote from Remennick where she is talking about an attitude that comes out in Fridberg s paper. She is not referring to something on a particular page. Is it OK for me to leave the quote and reference as is. I could rewrite it ( paraphrasing Friedberg or Remennick?) but she says it so well! their time organizing other people and the finance needed to pay for their work rather than on technical issues. 16 Nugyen (1998), Riemer (2002), Caspersen (2002), Ahmed & De Saram (1998), and Moretti (2002) in their research on engineers emphasis that the possession of communication skills, team management skills, and knowledge of economic and political issues are at least as important for an engineer as technical skills. Questions about brain-waste in Australia Since Hawthorne's 1994 work on Australian engineers conducted in Australia to document any changes to the problems listed above or to note if any new patterns or issues have arisen. The literature shows that in some countries the skills of migrant engineers may not be fully exploited. One response to this information is to ask whether the situation is similar in Australia. Boyd and Thomas (2001) address this general question for migrant engineers in the Canadian labour market by seeking answers 15 Mahroum also sees engineers as a profession that are pulled and pushed primarily by economic factors. He says they would go to where the demand for their skills is most needed and most rewarded (Mahroum 2000: 26). 16 See: Winch & Kelsey (2005), Zussman (1985), Darr (2000) and Darr (2002) 11

12 to three specific questions (Q1-3 below). This paper asks the same questions, and adds two more (Q4-5 below): Q1. Do permanent migrants with foreign training in engineering have the same labour market insertion profiles (employment) as do those who are Australian born or immigrated as children. Q2. Are immigrants with foreign engineering training likely to exhibit the occupational patterns (type of jobs) observed for the native born or for those who immigrated as children? Q3. With increasing duration in Australia, do the employment and occupational characteristics of immigrants with foreign training approximate those observed for the Australian born or those who immigrated as children? Boyd & Thomas (2001) raise the point that migrant engineers in Canada may have their qualifications and credentials devalued. This possibility raises questions about the relationship between qualifications and outcomes in the labour market, thus we further ask: Q4. Do the educational qualifications of foreign educated migrants influence their employment and occupational patterns in the same way as for the Australian born or those who immigrated as children? As it has been stated above, some research shows that engineers from certain backgrounds fare worse in the employment stakes in the host country than others. To examine this connection between region of origin and outcomes in the job market, we ask: 12

13 Q5. Are immigrants from certain regions, and with foreign engineering training, likely to exhibit the occupational patterns observed for the native born or for those who immigrated as children? To answer these questions we extracted relevant data from the 2001 Australian census. To enable a comparison between the Canadian and Australian engineering labour-force patterns, we used data similar to that used by Boyd and Thomas. Differences in census statistics between Australia and Canada made an exact data match impossible. For some classifications we chose different data to reflect Australian conditions. The data in this study is based on the details of people who in the 2001 census were between years of age 17 and who stated they had a bachelor degree or higher qualification in the field of engineering. 18 Other information was then extracted from the census regarding those in this sample group, as shown below. Specific area of engineering study for their highest degree: This information was categorised as: Mechanical, Civil, Electrical/Electronic and Other. 17 Boyd and Thomas sample set included those between the years of age, which they justify by saying By focusing on this age group, we remove variation associated with school completion and selective early retirement (2001: 110). I saw no reason to exclude those years, particularly because: a) education is usually completed before this age and b) youth is preferred by immigration authorities. Suitability for skilled migration is determined by a number of factors that are allocated points, with the higher the points one has the more likely one is to be accepted. Age is one of the factors that is allocated points, and those aged are allocated more points than potential migrants of any other age group. See General Skilled Migration Booklet 6, DIMIA, 1119 (Design date07/05a) Available from on 2/8/05 18 Qualifications were recorded as: Bachelor, Masters, PhD. 19 The fields of study included in these four categories are listed below based on the Non-School Qualification Fields of Study listed in the Census Dictionary , 2 nd release p : -Mechanical - Manufacturing engineering and technology (0301), Process and resource engineering (0303), Automotive engineering and technology (0305), Mechanical and industrial engineering technology (0307) - Civil Civil engineering (0309), Geomatic engineering (0311) - Electrical/Electronic Electrical and electronic engineering and technology (0313) 13

14 Whether the person was Australian born or foreign born. Sex of the respondent: Boyd &Thomas only focus on men, stating that Most engineering majors are men and the comparatively small number of women constrain the analysis, particularly when examining variations by level of degree (2001: 110 ). However, this paper includes males and females. As table 1 shows the percentage of women in various degree levels is remarkably similar to that of men, and so Boyd & Thomas concerns are not warranted in this sample set. Also, since at the time of the census women with engineering qualifications constituted 11% of the engineering degree-qualified workforce, to exclude the experiences of this group would not provide an accurate picture of this profession. The employment status of those in the sample group. Status was recorded as either: employed, unemployed or not in the labour force. Occupation characteristics of those recognised in the census as employed. Jobs reported by the employed in the sample group were categorized as either: engineers; managers (in engineering areas); technology-based workers; or all other jobs. 21 This is consistent with the categories used by Boyd & Thomas. - Other Aerospace engineering and technology (0315), Maritime engineering and technology (0317), Other engineering and related technologies (0399) 20 Boyd& Thomas (2001) include Chemical engineer as a separate field of study. However, in Australia the proportion of chemical engineers is much smaller than Canada and so did not warrant a separate category, and most universities do not teach such a course. In this study Chemical engineering fell into the category Other. 21 In the category Engineer we included the following occupations, listed in the Australian Standard Classification of Occupations: Civil engineer (2124); Electrical and Electronics engineer (2125); Mechanical, Production and Plant Engineer (2126); Mining and Material Engineer (2127); Other building and engineering professionals (2129) Although the last occupation in the list includes other building professionals, the sample has already selected for those with an degree in engineering. (Australian Bureau of Statistics:38). In the category Manager we included the following occupations, listed in the Australian Standard Classification of Occupations: General Manager (1112); Building and construction manager (1191); Manufacturer (1193); Finance Manager (1211); Human resource manager (1213); Engineering manager (1221); Production Manager (1222); Supply and distribution manager (1223); Information Technology Manager (1224); Sales and Marketing Manager (1231); Policy and Planning Manager (1291); Education Manager (1293); Other Specialist managers (1299). (Australian Bureau of Statistics: 36). 14

15 They explain that their choice of these four categories captures the four types of outcomes for engineers observed in other studies (2001: 111). Working as an engineer may be seen as typical for someone with an engineering degree, and movement upward in the employment hierarchy leads to management. Yet, being unable to find employment as an engineer may lead those with engineering qualifications to take jobs as a technician/technologist, where one is still using knowledge and skills from engineering education and experience, but at a lower level in the social hierarchy and often, pay scale. Still others choose to work in areas unrelated to engineering and where their engineering education is not used. However, Boyd &Thomas categorization of what constitutes a manager is different to this study because they use the term manager to be inclusive of all types of managers, while this study only included those manager jobs that relate to the engineering industry. 22 It is noteworthy that the census does not permit us to build a picture of recent employment held by those who were unemployed at the time of the census. For example, it would be useful to know the type of occupation they undertook prior to unemployment. In the category Technology worker we included the following occupations, listed in the Australian Standard Classification of Occupations: Engineering technologist (2128); Medical and Science technical officer (311); Building and Engineering associate professional (312); Computing support technician (3294); Mechanical Engineering tradesperson (411); Fabrication Engineering Tradesperson (412); Electrical and electronics Tradesperson (431); Chemical, Petroleum and Gas plant operator (4987); Power Generation Plant operator (4988). (Australian Bureau of Statistics: 43-51). In the category Other we included all occupations not already listed in the three categories above and found in the Australian Standard Classification of Occupations. 22 In Boyd & Thomas study The management category consists of over 40 different occupational groups. Almost one in five are classified as Engineering and Science Managers. Some are senior or general managers in fields clearly related to engineering such as manufacturing, construction, utilities and transportation. A smaller but still significant proportion (over 12%) is sales or purchasing managers. Others are managers involved in regulation and inspection for government and the financial services industries or are officers in the military. (2001: 130) This shows that in the Boyd & Thomas study the category manager includes people working in a very wide group of industries, including those that are unrelated to engineering and do not involve the use of engineering education or training. For example, a childcare manager. That is, Boyd & Thomas use a broad definition of manager. In contrast, we use a narrower definition of manager. In this study the ASCO occupations that were put into the category of Manager were only those we recognised as having some connection to the engineering industry. A list is provided in footnote No. 23. Remaining manager occupations we viewed as unrelated to the engineering industry were placed into the category Other. 15

16 The country of birth of the foreign born in the sample group. This was grouped together into major regions: Western Europe, Eastern Europe, Middle East, Africa, South Asia, Central Asia, South East Asia, North Asia, Oceania (excluding Australia), North America, South America, Australia. 23 Boyd and Thomas (2001) do not include information regarding the country of origin of the migrants in their sample set. Age of migration to Australia by the foreign born. We classified this data into the following age brackets: 0-18 years, 19-25, 26-30, 31 years and older. Duration of time in Australia since migration. For the foreign born in the sample group we classified time since migration within the following time periods: 0-5 years, 6-10, 11-15, 16 or more years. This differs from Boyd & Thomas, because they choose intervals of 2-4 years, 5-9, and years. It is noteworthy that Boyd & Thomas point out that we compare three groups (1) the Canadian born; (2) permanent residence who immigrated to Canada by age 18; and (3) permanent residents who immigrated to Canada at aged 28 or later (2001: 110). They are able to differentiate these groups because of census questions about citizenship and residency status. In comparison, the Australian census does not ask questions that allow the citizenship, residency or visa status of the respondent to be determined. Instead the census obtains information from all people within Australia at the time of census. Like Boyd & Thomas (2001), this paper is interested in comparing employment patterns and occupational characteristics of those in the study, in relation to the 23 Details of which countries where included in each major region is available from the author by request. 16

17 factors: being locally or foreign born; age at arrival and duration of time in the host country; locally or foreign educated. To do this the sample set in this study was divided into: the Australian born; those who arrived as children and so most likely to have an Australian education 24 ; and those who arrived from the age of 26 years or older, because they are highly likely to have foreign training. This study has chosen not to include those who arrived in Australia between the age of years because this would include those who arrived as international students, for whom we can have little certainty over whether they completed all or part of their degree in Australia or a foreign country. Also, while it may be the case that some Australian born in the sample group obtained their engineering qualification overseas, this is not a common occurrence. In addition to the factors listed above that will be examined for a connection to employment and occupational patterns, this study will examine if there is a relationship between the country of birth for the foreign born in the sample set and employment and occupational patterns Hypotheses Given the picture of underemployment painted in the literature about the prospects of migrant engineers in host countries, what does the census data tell us about the situation faced by migrants in Australia? We assume that if underemployment exists, it will be recognisable in lower levels of employment, 24 Even if a person received part of their primary or secondary education in another country, their tertiary engineering studies are most likely to be undertaken in Australia. 17

18 and holding manager and engineer jobs at lower proportions than the locally born and those that migrated as children, Question 1 (of the five questions listed above) asks about the relationship between employment and migrating as an adult with foreign engineering training, and how this compares to the employment of the Australian born or those who migrated as children. Question 3 asks about the same relationship over time. From evidence in the literature it seems likely that foreign trained engineers will have lower employment rates than the Australian born, particularly, during the initial period of settlement. Also, this group is more likely to have a higher proportion out of the workforce, possibly due to the difficulty in finding suitable employment in their early period in Australia. However, over time these difficulties may subside. Initially, the lack of social networks, inappropriate job-seeking strategies and clash of culture issues (eg, differences in training and leadership styles) can contribute to underemployment. However, many migrants are likely to overcome these disadvantages during the settlement period. Thus, it is likely that with increasing duration in Australia, the proportion of unemployed foreigntrained engineers and those out of the labour force will decrease, and the employment levels of these groups may move closer to those of the Australian born and those who migrated as children. Question 2 asks about the relationship between occupation and migrating as an adult with foreign engineering training, and how this compares to the occupations 18

19 of the Australian born or those who migrated as children. Question 3 asks about this relationship over time. From previous research it seems likely that fewer migrants with foreign engineering training will work as engineers or hold managerial positions compared to the Australian born and those who arrived as children. We could expect that these migrants are more likely than their locally trained engineering colleagues, to seek jobs in areas not commensurate with their highest level of qualification that is work as a technician or to leave the engineering industry as a result of being unable to find employment in the profession for which they were trained. However, for the same reasons stated above, over time the factors that led to underemployment of skills are likely to be addressed and negotiated by migrant engineers. Thus, with increasing duration in Australia it is likely that the percentage of those working as engineers and managers will increase, and move closer to the levels of the Australian born and those who migrated as children. Because of this, over time we could expect a fall in the proportion of migrants with foreign engineering training working as technicians or not working in the engineering industry. Boyd &Thomas (2001) describe in detail the way the regulation of the Canadian engineering profession devalues foreign credentials. Permanent residents with foreign engineering training can only become accredited once in Canada. Because this usually takes some time, foreigners are more likely to be unemployed or working as technicians or in non-engineering jobs until they attain accreditation. In Australia there is usually no licensing requirement before being 19

20 allowed to practice as an engineer. 25 Because of this difference, we could expect that the employment rates for foreign-born engineers in the sample set who have been in Australia for 0-5 years will be higher than for the Canadian sample. Also, it is likely that more foreign-born engineers in Canada will be working as technicians, compared to those in Australia. Question 4 asks about the relationship between the engineering qualifications of adult migrants, and employment and occupation. Boyd & Thomas (2001: 112) suggest there may be a relationship between employment slippage and occupation mis-match and the devaluing of foreign credentials in the host country. They give three reasons for underemployment based on devaluing of foreign credentials and experience: -foreign credentials differ from those obtained locally, that is, foreigners have less skill and so less worth. This belief assumes perfect knowledge by employers. -foreign credentials may be the same as those obtained locally, but there is imperfect knowledge by employers about this. Thus, the worth of foreign credentials is undervalued -Deliberate devaluation of foreign credentials to lower labour costs. If the credentials of foreign trained migrant engineers in Australia are devalued, then perhaps the data will show that their employment rates are lower than the Australian born or those that migrated as children who have equivalent educational qualifications. Also, foreign trained migrant engineers will be less likely that the Australian born and those migrating as children to obtain 25 With the exception of the state of Queensland. 20

21 employment as engineers and managers, and more likely than this group to obtain employment as a technician or in a position unrelated to their qualification. It may be that the devaluing of foreign credentials is unrelated to employment and occupational patterns seen in the migrant population. If migrant engineers do not fare as well in the labour force compared to the locally born or those migrating as children, then this could be attributable to a number of factors, some of which were mentioned earlier. Boyd & Thomas admit that testing the relationship between employment and occupational patterns and devaluing of foreign credentials requires an investigation quite different to the one they undertook. If devaluing of foreign credentials of foreign trained engineers with only a bachelor degree qualification is occurring in the labour market, then holding a postgraduate qualification may be one way to overcome this problem. Thus, the data may show that those with higher degree qualifications have similar occupational patterns to those with Australian engineering training, even though locals have lower educational qualifications. If this problem of under-valuing foreign education comes to the attention of potential migrants then the reaction might be to obtain additional qualifications or for those with postgraduate qualifications will be more likely to apply for migration. Or perhaps migrants who believe their qualifications are being undervalued will undertake postgraduate qualification. If either of these situation are the case then the data may show that there is a higher proportion of 21

22 foreign trained engineers with postgraduate qualifications than the Australian born or those who migrated as children. Question 5 explores the relationship between the region of origin of adult migrants with engineering training, and their employment and occupation in the host country, compared to the locally born and those arriving as children. Boyd and Thomas (2001) do not examine this relationship. Given the evidence in the literature about the problems faced by migrant engineers, it seems likely that there will be marked differences in the employment patterns and insertion profiles of some foreign trained engineers, based on their region of origin. In particular, those from non-english speaking backgrounds, non-western countries and those from countries not party to the Washington Accord. These migrants are more likely than other foreign-trained engineering migrants to encounter problems as a result of language and cultural differences. Also, they may be more likely than others to encounter discrimination, ethnic stereotyping and under valuation of foreign credentials. Results Tables 1-4 show general information about the sample set. Sixty one percent of people with engineering degrees in Australia at the time of the Census were Australian born or arrived as children. In Australia there was a lower percentage of engineers with postgraduate degrees, compared to Canada. This is the case for both the local and foreign born. Similar to Canada, migrant engineers in Australia have higher rates of postgraduate qualifications compared to the locally born. This is particularly the case for those who were 26 years of age or older 22

23 when they migrated. There were larger numbers of both the Canadian and foreign born in Canada who complete Master degree level studies, compared to Australia. However, the percentage of those with PhDs is similar in both countries. For both the Australian and foreign born in the sample set, females engaged in the three various degree levels at rates similar to males. This information shows that the concerns of Boyd & Thomas (2001) about variation in degree levels among the sexes, that led them to exclude females from their study, are not justified in this study. Table 2 shows that the numbers of engineers educated in various fields of engineering specialisation differed somewhat between Australia and Canada. It is noteworthy that in both countries the proportion of migrant engineers educated in the fields of specialisation is very similar to that of the native born. This may be because migration decisions are informed by details of demand and supply for engineering labour in prospective host countries. It is very noticeable that the proportion of women in mechanical engineering is much higher than men both for the Australian and foreign born. The reverse is the case for electrical/electronic engineering. In the Canadian sample the proportion of people educated in the other fields of study is larger compared to Australia. 26 Table 3 shows that in the Australian and Canadian samples there are similar percentages of people in the workforce - this includes local and foreign born. 26 This reflects that a larger proportion in the Canadian sample were educated in a wider range of engineering specialisations, including chemical engineering which is 7.2% of the sample. 23

24 Table 1 Degree level Bachelor Masters PhD n % % % Australian born M F Foreign born Arrived aged 0-18 years M F Arrived aged years M F Arrived aged 26+ years M F Canadian born M F Foreign born Arrived aged 0-18 years M F Arrived aged 28+ years M F

25 Table 2 Field of study Civil Electrical Mechanical Other % % % % Australian born M F Foreign born in Australia Arrived aged 0-18 years M F Arrived aged 26+ years M F Canadian born Foreign born in Canada Arrived aged 0-18 years Arrived aged 28+ years

26 Table 3 Labour force status Employed Unemployed Not in the labour force % % % Australian born M F Foreign born in Australia Arrived aged 0-18 years M F Arrived aged 26+ years M F Canadian born Foreign born in Canada Arrived aged 0-18 years Arrived aged 28+ years

27 Notably, a higher proportion of the Australian sample is not in the labour force, compared to Canada. When the information is broken down by sex, then it can be seen that this difference is largely due to the proportion of females out of the workforce, which is larger than males. This difference may be due to family care responsibilities, conventionally shouldered more by women than men. The Canadian sample only includes males. Table 4 shows a snapshot view of the occupational outcomes for migrants compared to locals. In both the Canadian and Australian studies, migrants who arrived at age 26 years (28 years in the Canadian study) or older are more likely than those who immigrated 0-18, and even more so that the native born, to work as technicians and less likely to hold managerial positions. The studies show that the proportion of Canadians working as managers appears significantly higher than the engineering educated in Australia. One explanation for this difference may be that as outlined above, the Canadian study was inclusive of all types of managers, while this study only included those manager jobs that relate to the engineering industry. 27 In table 4 the occupational categories for those in the sample employed at the time of the census shows a very interesting picture. Approximately half the people in Australia with an engineering degree are not working in the engineering industry. The proportion that work in other occupations is higher for the foreign born who migrated at age 26 years or older, than for the locally born. The 27 See footnote Nos 20 and

28 Table 4 Occupation (employed only) Engineer Manager Technician Other % % % % Australian born Foreign born in Australia Arrived aged 0-18 years Arrived aged 26+ years Candian born Foreign born in Canada Arrived aged 0-18 years Arrived aged 28+ years

29 Table 5 Duation in the host country 0-5 years 6-10 years years 16+ years % % % % Foreign born in Australia Arrived aged 0-18 years Arrived aged 26+ years years 5-9 years years years 20+ years % % % % % Foreign born in Canada Arrived aged 0-18 years Arrived aged 28+ years

30 Table 6 Duration in Australia of those who migrated at age 26 years or older Aust born Migrated aged years 6-10 years years 16+ years n Bachelor Degree % % % % % % Employed Unemployed Not in Labour Force n Masters degree Employed Unemployed Not in Labour Force n PhD degree Employed Unemployed Not in Labour Force Duration in Canada of those who migrated at age 28 years or older Canadian born Migrated aged years 5-9 years years years Bachelor Degree % % % % % % Employed Unemployed Not in Labour Force Masters degree Employed Unemployed Not in Labour Force PhD degree Employed Unemployed Not in Labour Force

31 proportion of local and foreign born not working in the engineering industry in the Canadian sample is significantly lower than the Australian sample. In both studies, 60-70% of those who arrived as adults (aged 26 years or older in the Australian study and 28 years or older in the Canadian study) did so within the ten years before the census. For the Australian sample this was the period , and for the Canadian sample it was See table 5. Table 6 shows that the proportion of those in the sample set, in the three categories of labour force status (employed, unemployed and not in the labour force), is similar for the locally born in the Australian and Canadian studies. In contrast, Table 6 shows a labour market pattern in the Australian and Canadian sample sets where the proportion unemployed or not in the job market is significantly higher among those with foreign training, compared to the native born and those who migrated as children. In particular, it is very striking that for those who migrated at 26 years or older and who have only been in the host country for 0-5 years, their levels of unemployment and being out of the job market are remarkably high. Thus, being a migrant with foreign engineering training means that one is more likely to be unemployed or out of the labour market in the host country, compared to the locally born or who migrated as children. This trend dissipates somewhat over time. It is interesting that for those migrating aged 26 years or older the level of unemployment in the first 10 year period of arrival is considerably higher for migrants to Canada than Australia. 31

32 One explanation for this was offered above professional accreditation is not required to work as an engineer in Australia., However, in Canada at the time of the Census, migrant engineers were required by state and national bodies to achieve accreditation after arrival in the host country. Boyd and Thomas discuss the difficulty for migrant engineers of achieving accreditation in Canada. Table 6 shows a relationship between educational qualifications and employment patterns for the foreign trained. In both the Australian and Canadian studies, as the educational qualification increases the level of employment for those that have been in the host country for the same period of time also increases. Table 7 shows the relationship between duration in Australia and employment and occupational characteristics for migrants with foreign training. For the foreign born who arrived at 26 years of age or older, the proportion employed increases with increasing duration in Australia, while the proportion of those unemployed declines as does the proportion not in the labour force. It is noteworthy that even for those who have lived in Australia for more than 16 years (the longest period measured in this study), the proportion of this group in employment is not as high as the native born or those who migrated as children. Nor are the proportion of unemployed or those not in the labour force as low as the native born or child migrants. For those who migrated at 26 years of age or older and who were employed at the time of the census, the proportion of those working as engineers and managers rises with increasing duration in Australia. While the proportion of the foreign 32

33 Table 7 Duration in Australia of those who migrated at age 26+ Australian born Migrated aged years 6-10 years years 16+ years n Occupationss of the employed % % % % % Engineer Manager Technical Other % n Employed Unemployed Not in the labour force %