Are Canadian immigrant women secondary workers? Alicia Adsera (Princeton University) and Ana Ferrer (University of Waterloo)

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1 Are Canadian immigrant women secondary workers? Alicia Adsera (Princeton University) and Ana Ferrer (University of Waterloo)

2 Interest on immigrant assimilation o Mostly focused on economic assimilation of immigrant males o Immigrant assimilation of women is more complex However, many immigrants move as a family, which means that important decisions regarding assimilation such as participation, education and fertility - are taken within the household Evidence of increasing (male) immigrant skill depreciation sparked interest in understanding the role of immigrant women in supporting family assimilation Adsera & Ferrer Conference on the Economics of Immigration. Ottawa. October 18th, 2013

3 Economists have long considered the interdependence of family members decisions, arguing that family members will efficiently engage in labour division and insure each other against productivity shock s In credit constrained households, shocks to male productivity will affect female s participation Long (1980) Immigrant women should be more likely to participate in the labour force upon entering the country than similar native-born women. As spouses assimilate, immigrant women s participation rates should converge to those of the native born Adsera & Ferrer Conference on the Economics of Immigration. Ottawa. October 18th, 2013

4 Earlier studies: Duleep and Sanders (1993), Worswick (1996, 1999), Baker and Benjamin (1997), Blau et al. (2003) Identifying marital status: Cobb-Clark and Crossley (2004), Basilio et al (2009), Cohen-Goldner, et al. (2009) Mixed evidence depending on country under study and time period: Duleep and Dowhan (2002), Kim and Varansi (2012) Adsera & Ferrer Conference on the Economics of Immigration. Ottawa. October 18th, 2013

5 Distinct interest of the Canadian case (distinct composition of immigration) New data with more detailed information, suitable to study the new immigration. CENSUS Two new dimensions: o Use of linguistic measures developed in Adsera and Pytliková (2012) to assess the role of linguistic proximity between Canada and the country of origin on the earnings assimilation of immigrant women. o Use of skills indexes developed in Imai et al. (2011) from the Occupational Information Network (O*NET) that we match to 4-digit occupation categories contained in the Census NOC to study the skill mobility of immigrant women. Adsera & Ferrer Conference on the Economics of Immigration. Ottawa. October 18th, 2013

6 Use multiple census ( ) to follow immigrant cohorts over time (over 850,000 observations) Interact assimilation profiles with family immigrant status Y it X it 1 j h, w t k kt C jk * t t it We look at LFP and occupational skills X includes, husband characteristics, fertility, a polynomial in age, education, location and linguistic ability Adsera & Ferrer Conference on the Economics of Immigration. Ottawa. October 18th, 2013

7 Table 1. Sample Summary Statistics (Women 18-45). Census Canadian born Immigrant Age LFP 81% 72% in low skill (defined as the bottom 25%) university 7% 19% HS or less Education Non university Bachelor Graduate Interpersonal Skill index Strength Analytical Immigrant women more likely college educated

8 Table 1. Sample Summary Statistics (Women 18-45). Census Canadian born Immigrant Age LFP 81% 72% in low skill 25% 25% university 7% 19% Education Skill index HS or less Non university Bachelor Graduate Interpersonal Strength Analytical Immigrant women work in jobs requiring lower interpersonal and analytical skills, more strength skills

9 Immigrant women will be more likely to participate in the labour force upon entering the country than similar nativeborn women (to finance husband s investments in local skills) As spouses assimilate, immigrant women s participation rates should converge to those of native-born women Higher participation in low skill jobs the greater the gains from husband s investment in local human capital Immigrant women will experience less occupational mobility (flatter occupational profiles) than similar native-born women Adsera & Ferrer Conference on the Economics of Immigration. Ottawa. October 18th, 2013

10 Odds Ratio Odds ratio Participation of immigrant women (Fertility + H s wage + Linguistic D) 1,2 LFP immigrant women NB 1,0 0,8 0,6 0,4 Cohort 91 Cohort 96 Cohort 01 Cohort 06 0,2 LFP in low analytical skills LFP in low analytical jobs - Educated husband 1,2 1,0 1,2 1,0 0,8 0,6 0,4 0,8 0,6 0,4 0,2 0,2

11 Skill Mobility of Immigrant Women 0,30 Strength mobility 0,25 0,20 0,15 0,10 0,05 0,00 0,00-0,10-0,20-0,30 Analytical mobility Cohort 91 Cohort 96 Cohort 01 Cohort 06-0,40-0,50-0,60

12 No high participation that diminishes over time, but low participation that increases over time (like men) Higher participation in low skilled jobs, flatter for earlier cohorts but not for those entering after 1990s. Only slightly larger for those with educated husbands. No reduction over time Flat or declining skill mobility Issues What are the patterns for highly educated women? How do these women compare with other immigrants that are less constrained (those married to NB husbands)? Adsera & Ferrer Conference on the Economics of Immigration. Ottawa. October 18th, 2013

13 Immigrant women participation in low skilled jobs - University Odds Ratio Odds Ratio 2,2 1,8 LFP of university women in low analytical skill jobs 1,4 Univ. NB women 1,0 0,6 2,2 LFP in low analytical skill jobs 1,8 1,4 NB women 1,0 0,6

14 Skill mobility of university educated immigrant women 0,30 Strength mobility University 0,25 0,20 0,15 0,10 0,05 0,00 0,00-0,10-0,20-0,30 Years since migration Analytical mobility - University Cohort 91 Cohort 96 Cohort 01 Cohort 06-0,40-0,50-0,60 Years since migration

15 The fraction of university-educated immigrant women in jobs requiring low of levels skills, remains high for the cohort - particularly later cohorts No assimilation However, university educated immigrant women do experience skill progression over time. It might be slower than that of university educated native born women Adsera & Ferrer Conference on the Economics of Immigration. Ottawa. October 18th, 2013

16 Immigrant women participation in low skilled jobs By family type Odds Ratio Odds Ratio 2,2 LFP in unskilled jobs (low analytical skills) University, IMM husband 1,8 Univ. NB women 1,4 1,0 0,6 LFP in unskilled jobs (low analytical skills) University, NB husband 2,2 1,8 Univ. NB women 1,4 1,0 0,6

17 The patterns of LFP of recent Canadian immigrant females show higher participation in low skilled jobs, driven by a disproportionate fraction of university educated women occupying these jobs. In the long run, the fraction of immigrant women in low skilled jobs converges to that of the native born. Conditional on participation, immigrant women show very little skill progression over time. However, university educated women do. Different from previous results Likely related with new, more educated, type of immigrant woman Employment assimilation patterns of immigrant women are complex and require more research and better data Adsera & Ferrer Conference on the Economics of Immigration. Ottawa. October 18th, 2013

18 Adsera & Ferrer - Melbourne July 1st, 2013

19 Skill Mobility in Mixed and Immigrant couples Immigrant Strength mobility - NB husband Immigrant Strength mobility - Immig. husband 0,25 0,25 0,20 0,20 0,15 0,15 0,10 0,10 0,05 0,05 0,00 0,00 Immigrant analytical mobility - NB husband Immigrant analytical mobility - Immig husband 0,00 0,00-0,20-0,20-0,40-0,40-0,60-0,60

20 Skill Mobility of University females in Mixed and Immigrant couples 0,33 0,25 University female strength mobility - NB husb. University female strength mobility Immig. Husb. 0,33 0,25 0,18 0,18 0,10 0,10 0,03 0,03-0,05 Years since migration -0,05 Years since migration 0,00 University female analytical mobility - NB husb. 0,00 University female analytical mobility Immig. Husb -0,20-0,20-0,40-0,40-0,60 Years since migration -0,60 Years since migration

21 Skill Mobility in Mixed and Immigrant couples 0,25 0,20 0,15 0,10 0,05 Immigrant women Strength mobility - NB husband 0,25 0,20 0,15 0,10 0,05 Immigrant women Strength mobility - Immig. husband 0,00 0,00 0,000-0,100 Immigrant women analytical mobility - NB husband 0,000-0,100 Immigrant women analytical mobility - Immig husband -0,200-0,200-0,300-0,300-0,400-0,400-0,500-0,500-0,600-0,600

22 Odds ratio Odds ratio Participation in low skilled jobs Educated husband (Fertility + H s wage + Ling.D) 1,20 LFP in low analytical jobs - Educated Immig. husband NB educated husband 1,00 0,80 0,60 0,40 1,60 LFP in high strength jobs - Educated Immig. husband 1,40 1,20 NB educated husband 1,00 0,80 0,60 0,40

23 Odds Ratio Odds ratio Odds Ratio Odds ratio Participation in low skilled jobs Educated husband (Fertility + H s wage + Ling.D) LFP in low analytical jobs All husband LFP in low analytical jobs - Educated husband 1,2 1,20 1,0 1,00 0,8 0,80 0,6 0,60 0,4 0,40 1,6 LFP in high strength jobs All husband 1,60 LFP in high strength jobs - Educated husband 1,4 1,40 1,2 1,20 1,0 1,00 0,8 0,80 0,6 Years since migration 0,60

24 Table 3. Odds ratio of Labour force participation of married immigrant women All women University women All jobs Low Quant. skill High Quant. skill Low Quant. skill NB Partner Imm. Partner NB Partner Imm. Partner NB Partner Imm. Partner NB Partner Imm. Partner *** 0.584*** 0.731*** *** ** 2.035*** Cohort *** 0.711*** 0.840*** *** *** *** 0.864*** 0.572*** * 1.416*** ** 0.883*** 0.576*** ** 1.569*** *** 0.337*** 0.814*** 0.772*** 0.660*** 0.627*** 1.333*** 1.499*** Cohort *** 0.636*** 0.689*** 0.938*** 0.825*** 0.757*** *** *** 0.721*** 0.599*** *** 0.820*** *** *** 0.266*** 0.604*** 0.719*** 0.620*** 0.536*** *** Cohort *** *** 0.878*** 0.769*** 0.742*** *** *** 0.269*** 0.662*** 0.826*** 0.520*** 0.441*** 1.277*** 1.830*** Cohort

25 Odds Ratio Odds Ratio Immigrant females participation in low skilled jobs. (Fertility + H s wage + Linguistic D.) 1,6 LFP in high strength jobs Immigrant husband 1,4 1,2 NB couples 1,0 0,8 0,6 Years since migration 1,2 LFP in low analytical jobs Immigrant husband NB couples 1,0 0,8 0,6 0,4

26 University educated immigrant women participation by type of job Odds ratio (relative to similar NB females with NB husbands) 5 first years after migration Adsera & Ferrer - Melbourne July 1st, 2013

27 Odds Ratio Odds ratio Participation in low skilled jobs Educated husband (Fertility + H s wage + Ling.D) 1,20 LFP in low analytical jobs - Educated husband NB couples with educated husbands 1,00 0,80 0,60 0,40 LFP in low analytical jobs All husband 1,2 NB couples 1,0 0,8 0,6 0,4

28

29 % % Odds of LFP for Immigrant women. Entry Cohort 91 Odds of LFP of Immigrant women. Entry Cohort 96 1,0 1,0 0,8 0,8 0,6 0,6 0,4 0,4 0,2 0,2 0, , YSM YSM NB husband Immigrant husband NB husband Immigrant husband

30 NB wife Immigrant wife lnwkwg lnwkwg NB husband Imm. husband NB husband Imm. husband Adsera & Ferrer - Melbourne July 1st, 2013

31 NB wife Immigrant wife Usual hours Usual hours NB husband Imm. husband NB husband Imm. husband Adsera & Ferrer - Melbourne July 1st, 2013

32 NB wife Immigrant wife quantitative skills quantitative skills NB husband Imm. husband NB husband Imm. husband NB wife Immigrant wife physical strength physical strength NB husband Imm. husband NB husband Imm. husband

33 Immigrant women experience wage assimilation during the initial 10 to 15 years since migration (contradicts FIH) Immigrant women married to native born men less so

34 Table 3. Odds ratio of LFP of married immigrant women All women Low Quant. All jobs skill High Quant. skill University women Low Quant. skill *** *** Cohort *** *** *** *** *** *** *** 0.772*** 0.627*** 1.499*** Cohort *** 0.938*** 0.757*** 1.772*** *** *** 1.825*** *** 0.719*** 0.536*** 1.359*** Cohort *** 0.878*** 0.742*** 1.690*** *** 0.826*** 0.441*** 1.830*** Cohort

35 Odds Ratio Immigrant females participation in low skilled jobs. (Fertility + H s wage + Linguistic D.) LFP immigrant women - Imm husbands NB couples 1,2 1,0 0,8 0,6 0,4 0,2 1,2 LFP in low analytical jobs Immigrant husband NB couples 1,0 0,8 0,6 0,4

36 Wage assimilation in mixed and immigrant couples (relative to NB couples) Wage of immigrant women - NB husband 0,00-0,10-0,20-0,30-0,40-0,50-0,60 0,00-0,10 Years since migration Wage of immigrant women - Imm husband -0,20-0,30-0,40-0,50-0,60 Years since migration

37 Wage assimilation in low analytical jobs in mixed and immigrant couples (relative to NB couples) Wage of immigrant women in low analytical jobs - NB husband 0,00-0,10-0,20-0,30-0,40-0,50-0,60 Years since migration 0,00-0,10 Wage of immigrant women in low analytical jobs - Imm husband -0,20-0,30-0,40-0,50-0,60 Years since migration

38 No difference by education or Linguistic distance (LD), but differences by job skills (more assimilation in high analytical jobs) Profiles of assimilation differ between immigrants in mixed couples (no assimilation) and immigrants in immigrant couples (some assimilation) Some differences when looking at broad areas of origin (Middle Eastern and South Asian immigrants) Overall no evidence of FIH

39 Hours Hours Hours of work assimilation in mixed and immigrant couples (relative to NB couples) Hours Hours Female work hours - Immigrant husband Female work hours - Immigrant husband (skills) University female hours of work - Imm. husband 0,0-3,0 0,0-3,0 Non-University female hours of work - Imm. husband -6,0-6,0-9,0-9,0-12,0-12,0-15,0 Years since migration -15,0 Years since migration

40 Hours of work assimilation by broad area of origin (relative to NB couples) 0,0-3,0 US Europe hours of work - Imm. husband -6,0-9,0-12,0-15,0-18,0 Years since migration Rest of Asia hours of work - Imm. husband South Asia hours of work - Imm. husband 0,0-3,0 0,0-3,0-6,0-6,0-9,0-9,0-12,0-12,0-15,0-15,0-18,0 Years since migration -18,0 Years since migration

41 Hours of work assimilation by broad area of origin (cont.) (relative to NB couples) 0,0-3,0-6,0-9,0-12,0-15,0-18,0 Latin-American hours of work - Imm. husband Years since migration 0,0-3,0-6,0-9,0-12,0-15,0-18,0 African hours of work - Imm. husband Years since migration Middle Eastern hours of work - Imm. husband 0,0-3,0-6,0-9,0-12,0-15,0-18,0 Years since migration

42 Odds Ratio Immigrant female participation - Fertility + H s wage + Linguistic D 1,2 LFP immigrant women - Imm husbands NB couples 1,0 0,8 0,6 0,4 Cohort 91 Cohort 96 Cohort 01 Cohort 06 0,2 LFP in low analytical jobs - LFP in high analytical jobs 1,2 1,2 1,0 1,0 0,8 0,8 0,6 0,6 0,4 0,4 0, ,

43 Table 3. Odds Ratio of LFP of married immigrant women All jobs Low Quant. skill *** Cohort *** *** *** Cohort 2001 Cohort 2006 Cohort *** 0.772*** *** 0.938*** *** *** 0.719*** *** 0.878*** *** 0.826***

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