A Comparison of the Earnings of the Canadian Native-Born and Immigrants, 2001

ABSTRACT/RESUME Since the late 1960s, Canada has been reforming its earlier discriminatory immigration policies preventing entry of individuals from undesirable countries and/or nationalities. This resulted in a dramatic increase in the number of immigrants from non-European countries. Despite more democratic immigration policies, new arrivals still tended to experience significant barriers in terms of labour market integration. Data from the 2001 census was used in this paper to evaluate the earnings of thirty-one ethno-racial groups in Canada. Particular attention was paid to the differences between immigrants and native-born, Whites and visible minorities. I also examined the extent to which income return on education differed between ethno-racial groups and across time. Analyses show that earnings gaps were substantially greater among immigrants than among the native-born. Immigrants, particularly visible minority immigrants, earned substantially less than their British counter-parts. They also experienced a lower rate of return on educational investments. Moreover, there is evidence that the earnings of visible minority immigrants have deteriorated. Among native-born Canadians, visible minorities as a group earned slightly less than non-visible minorities. However, many of the ethno-racial earnings gaps are statistically insignificant. Similarly, native-born Europeans differed little from the charter groups and from each other. Theoretical and policy implications of these findings are discussed. Depuis les annees 1960, le Canada a effectue une reforme au niveau de ses politiques d'immigration discriminatoires qui empechaient l'entree d'individus de nationalites indesirables ou provenant de pays qualifies pareillement. Par consequent, le Canada a ete temoin d'une augmentation du nombre d'immigrants venant de pays non-europeens. Malgre les politiques d'immigration dites plus democratiques, les nouveaux venus rencontrent toujours des obstacles importants qui les empechent d'integrer efficacement le marche du travail. Cet article se base sur des donnees tirees du recensement de 2001 afin d'evaluer les revenus de 31 groupes ethnoraciaux au Canada, en se penchant particulierement sur les differences entre les immigrants et les individus nes au Canada, entre les blancs et les minorites visibles. De plus, il compare la difference entre les groupes ethnoracianx au niveau des avantages economiques tires de l'investissement fait en education. L'analyse demontre que les differences sont beaucoup plus importantes chez les immigrants que chez les natifs. Parmi les immigrants, les Europeens, notamment ceux de minorites visibles, gagnent substantiellement moins que leurs pairs britanniques. De plus, l'investissement qu'ils font au niveau de leur education mene a un retour monetaire moindre. Les donnees indiquent qu'il y aurait une diminution des revenus des immigrants de minorites visibles. Parmi les individus nes au Canada, les minorites visibles gagnent un peu moins que les individus issus de minorites non-visibles. Toutefois, les differences de revenus ne sont pas statistiquement significatives. De meme, il existe peu de difference entre les individus nes en Europe et la majorite culturelle ou meme entre eux. La conclusion de l'article discute des consequences theoriques ainsi que politiques de ces resultats. INTRODUCTION A recent Statistics Canada report revealed that visible minorities are soon expected to constitute more than half the population of major Canadian cities. A Globe and Mail article referring to this population shift was entitled Visible Majority by 2017 (Mahoney 2005). Given the legacy of exclusion and inequality for visible minorities in Canada, such a demographic shift represents various unique and novel challenges for policy-makers. Failure to anticipate and address these challenges may result in significant dissatisfaction, racial unrest, and conflict. The purpose of this paper is to evaluate the extent to which ethno-racial groups designated as visible minorities are economically integrated into Canadian society, attending to their earnings compared to the charter and European groups while also distinguishing immigrants from native-born Canadians. …

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