Labour market outcomes of immigrant and racial minority university graduates in Canada

Abstract

Between 1986 and 1996 there has been a significant increase in the racial minority and immigrant populations of Canada and a very significant proportion of racial minorities are of immigrant origin. With the aging of the Canadian population and its persistently low fertility rates the success of the Knowledge Based Economy (KBE) is expected to depend on the economic integration of immigrant racial minorities. In this paper, we frame the discussion of economic integration from a social inequality perspective, and examine how fields of study (FOS) and education credentials impact the earnings of immigrant racial minorities. Our analysis indicates that, in all fields of study, the earnings of immigrant visible minorities, especially those who migrated at an older age to Canada with foreign credentials, are not commensurate with their education level. This suggests that the adjustment mechanisms that have been introduced to recognize the credentials of young adult racial minority immigrants and smooth their entry into the work force have been inadequate and/or ineffective.