Migrants and Labour Market Outcomes
CONCLUSIONS
It is clear that migrant-related characteristics provide, at best, a relatively small reason for the differing labour market outcomes for migrants.
The large majority of the differences in labour market outcomes across the various sub-groups of the population can be attributed to non-migrant-related characteristics. In particular, differences in age composition and highest qualifications possessed are most important.
The migrant-related factor that remains important is the number of years in New Zealand. It is clear that there is a selection of inferior labour market outcomes for migrants with less than five years in New Zealand.
However, once migrants have resided in New Zealand for more than 15 years, their labour market outcomes, after controlling for qualifications and age, become almost indistinguishable from New Zealand born.
Conversely, birthplace is an insignificant[15] factor across most of the measures of labour market outcomes investigated. Consequently, we would conclude by arguing the most appropriate of the alternative propositions suggested is that labelled C:
Labour market outcomes in New Zealand for some migrant groups, according to their place of birth, are significantly different from the New Zealand born population, but these differences become less significant the longer the migrants remain in New Zealand.
The policy implications of these findings suggest a focus should be on the qualifications of migrants and their retention (i.e. ensuring they stay in New Zealand). In this context, the reduction in outmigration, from 42 per 100 arrivals over 1996-2001 to 24 per 100 arrivals over the latest five years, is indeed a promising change. Of course, this also suggests the importance of further study to establish and understand the determinants of outmigration such as policy, migrant characteristics or the buoyant economy.
[15] Or has relatively weak explanatory power.
