Immigrants Working in Regulated Occupations A Descriptive Analysis Magali Girard, PhD The University of Montreal Hospital Research Centre March 20 th, 2013 Research Workshop on Foreign Qualification Recognition Regulated Occupations Outside the Health Sector

Background Despite an increase in their educational attainment, labour market outcomes of immigrants in Canada have deteriorated A range of possible explanations have been proposed, many of them are linked to the fact that the source of immigrants has shifted from Europe to other parts of the world, especially Asia One explanation is the problem of transferring foreign credentials

Labour Market Experience of Immigrants Earning gap (newly arrived immigrant men) – 1980: 85% – 2005: 63% Earning gap (newly arrived immigrant women) – 1980: 85% – 2005: 56% Possible causes: – Characteristics of immigrants has changed (language skills, discrimination) – New immigrants are like new labour market entrants – Macroeconomic conditions – More competitions, due to increase in educational levels of Canadians – Lack of foreign credential recognition

The Issue of Foreign Credential Recognition The return to education is lower for immigrants who completed their education outside rather than inside Canada – Discrimination? – a difficulty in recognizing the value of pre-immigration qualifications? – Poorer value of foreign credentials? Canada is losing money because of immigrant skills underutilization 60% of new immigrants did not find employment in the same occupational fields they had prior to arriving in Canada

Existing Research on Immigrants and Regulated Occupations The number of immigrants working in regulated occupations is unknown The bulk of the existing research deals with pay of immigrants Research done on specific regulated occupations Research done on job-skills mismatch Zietsma (2010) looked at the match between field of study and 15 regulated occupations

Definition: An occupation is regulated if a license from a professional association or a government agency is required to practice. 20% of occupations in Canada are regulated Regulated occupations are a provincial responsibility In general, regulated occupations are likely to be distinguished by the high level of education and/or training they require

How Immigrants get their Credentials Recognized Regulated Occupations: Repeat part or all of the occupation’s training program Initiatives to facilitate immigrant transition into regulated occupations (Qc-France agreement, bridging programs, etc.) Unregulated Occupations: Up to employers to evaluate qualifications Some allow for certification/registration on a voluntary basis

Research Project What is the proportion of immigrants in regulated occupations? Are individuals with foreign education less likely to be employed in a regulated occupation than someone with domestic credentials? Proportions of immigrants and of Canadian-born workers in regulated occupations – Determining how many immigrants and nonimmigrants work in regulated occupations – Looking at how education is associated with the likelihood of working in a regulated occupation All 520 four-digit occupation codes in the NOC have been classified into two categories: regulated and unregulated, using information from the “Working in Canada” website

Number and Proportion (%) of Regulated Occupations, by Province N% B-C Alb Sask Man Ont Qc N-B N-S PEI509.7 N-F448.5

Population Under Study Census 2006 (20% sample) All labour force participants, not in territories Native-born and landed immigrants Aged 15 and over Postsecondary education NOC number corresponds to last job held n=1,984,673

Proportions (%) of Landed Immigrants and Native Born in Regulated and Unregulated Occupations

Proportion (%) of Landed Immigrants in Regulated Occupations by Years Since Landed Immigrants Status Granted

Proportion (%) of Landed Immigrants in Regulated Occupations by Region Where Diploma Completed

Proportion (%) of Landed Immigrants and Native Born in Regulated Occupations by Province

Proportion (%) of Landed Immigrants and Native Born in Regulated Occupations by Occupational Groups

Proportion (%) of Landed Immigrants and Native Born Canadians in Regulated Occupations by Annual Earnings

Discussion (1 of 2) The proportion of immigrants in regulated occupations is only moderately lower than that of the native-born Recent immigrants are less likely to work in a regulated occupation than long-term immigrants Immigrants trained in Asia, Latin America and the Caribbean are less likely to work in regulated occupations Analyses reveal provincial differences in terms of the proportion of immigrants working in regulated occupations Earnings of immigrants are determined by whether their occupation is regulated or not

Discussion (2 of 2) Being an immigrant is not what limits access to regulated occupations; it is rather being a new immigrant that matters. It takes a decade for immigrants to be as likely as the native-born to work in a regulated occupation. Foreign credentials are a barrier to access to regulated occupations, even for those trained in the United-States and Europe, but education from some regions of the world, like Asia and Latin America, has even greater detrimental effects.

Policy Implications Immigrants educated in Asia, Latin America, and the Caribbean may have less access to regulated occupations either because employers and licensing bodies fail to recognize the real value of their certificates, diplomas, or degrees or because many of those credentials signal, on average, poorer quality education It is worrying that Asian degree holders are significantly less likely to work in a regulated occupation, since the main source countries for new immigrants to Canada are China and India Initiatives to assist Asian, Latin American and Caribbean immigrants in finding employment, such as the Canadian Immigration Integration Project, funded by CIC, and HRSDC’s Foreign Credential Recognition Program may prove valuable and important

Thank You! Girard, M. Smith, M Working in a Regulated Occupation in Canada: An Immigrant-Native Born Comparison. Journal of International Migration and Integration Magali Girard, PhD The University of Montreal Hospital Research Centre