Key issues and good practices in the labour market integration of new arrivals Thomas Liebig International Migration Division Directorate for Employment, Labour and Social Affairs, OECD Paris, 17 April 2013

The integration of new arrivals into the labour market - Some key questions to start with How do the skills and experience of immigrants compare with those of the native-born? Are the skills of immigrants « equivalent » to those of the native-born who have the same formal qualification levels – and does this matter? What means are available to immigrants to « transmit » / « communicate » their skills and experience to employers? 2/8

Lower employment of recent arrivals in most countries, but outcomes vary greatly Percentage point differences in the employment/population ratios between native and foreign-born, years old, Employment rate higher for immigrants Employment rate lower for immigrants Immigrant women tend to face larger gaps vis-à-vis their native-born peers than immigrant men 3/8

Differences in employment rates by education level between immigrants and the native-born are least favourable for the highly-educated Difference in employment rate of foreign- and native-born populations by educational level, , (excluding persons still in education) Immigrants have higher employment rates Immigrants have lower employment rates The differences are particularly large for those with foreign qualifications from non-OECD countries; but in virtually all countries, immigrants’ employment rates increase with their qualification level 4/8

Migrants’ category of entry is the most important determinant of outcomes, Evolution of the employment/population ratios of the 2002 migrant cohort in Norway, by migration motive, compared with the native-born population …but there is some convergence over time 5/8

Some further key observations concerning the labour market integration of new arrivals  Generally, immigrants encounter problems in entering the labour market, but good wage progression once employed  Early labour market entry is an important determinant of long-term labour market outcomes  Programmes which provide a first step into the labour market (work experiences measures) tend to be especially effective, in combination with (language) training and personalised counselling  Wage subsidies have often met with some success, but they are rarely used  New arrivals lack networks and knowledge about labour market functioning => well-designed mentorship programmes proved to be both effective and cost-efficient 6/8

Good practices to facilitate the rapid integration of new arrivals into the labour market  Some examples identified in the OECD country studies (“Jobs for Immigrants”):  Link language acquisition with work experience (Sweden)  Adapt language courses to the needs of the labour market and to immigrants’ competence levels (Australia, Denmark)  Target between 300 and 500 hours of language courses for the majority of immigrants (Sweden, France)  Incentives for municipalities to get immigrants rapidly integrated into the labour market (Denmark, Sweden)  Stepwise introduction into the labour market (“Stepmodel” - Denmark, Sweden)  Welcoming of immigrants via services “under a single roof ” (CNAIs and CLAIs - Portugal)  Target introduction programmes towards immigrants lacking basic skills (Norway) 7/8

For further information on the OECD’s work on integration: Or