Employment effects of language training for unemployed immigrants

Julia Lang

doi:10.1007/s00148-021-00832-7

Abstract

Proficiency in the host country’s language is an important factor for the successful labor market integration of immigrants. In this study, I analyze the effects of a language training program for professional purposes on the employment opportunities of participants in Germany. I apply an instrumental variable approach and exploit differences in lagged local training intensities. Bivariate probit estimates show that 2 years after the program started, the employment probability of immigrants who were unemployed in 2014 and participated in the program had increased by more than nine percentage points as a result of language training.

Highlights

The social and economic integration of immigrants is a major challenge for migration policies
The results show a negative correlation between the effectiveness of language training and the duration individuals are observed in the German labor market
Standard errors in parentheses, clustered at the job center level small and insignificant in the case of bivariate probit estimates. These results indicate that an early provision of language programs benefits the labor market integration of migrants

Summary

Introduction

The social and economic integration of immigrants is a major challenge for migration policies. In most OECD countries, the labor market performance of immigrants lags behind that of the native-born population (OECD 2016). A crucial factor shaping the career success of immigrants is the acquisition of language skills in the destination country’s language. Language proficiency is necessary to obtain information about jobs and to be able to apply for a job. Many jobs—especially skilled jobs— require language skills in the host country’s language so that workers can communicate with supervisors, peers, customers, and business partners. Immigrants who speak the local language are more likely to find a job and more productive on the job (Chiswick and Miller 2014)

Methods

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Discussion

Conclusion