CAFO Working Papers,
Linnaeus University, Centre for Labour Market Policy Research (CAFO), School of Business and Economics

Abstract: In this study the 2004 labor market attainment of all immigrants of working age from Estonia, Latvia, Lithuania and Poland on the Swedish labor market is investigated. The analysis is conducted in three steps. Step one investigates labor force participation at the time of observation by estimating the probability of being part of the labor force in 2004. In step two we estimate the probability of employment among those included in the labor force. In the third step we analyze the earnings of those employed while controlling for both types of selection. The data is a special delivery from Statistics Sweden and comprise all immigrants to Sweden from these countries from 1944 onwards. Comparisons are made with a stratified (on age and gender) random sample of persons born in Sweden. The results show that immigrants are less likely to be part of the labor force; that they are overrepresented among the unemployed and that the positive effects from higher education is less than for native Swedes. However, among those being employed the income differences are relatively minor.

Keywords: Migration; Integration; Labor market attainment; Estonia; Latvia; Lithuania; Poland; Sweden

JEL-codes: J21; J23; J31; J61

35 pages, November 21, 2010

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