Labor Markets and Economic Incorporation among Recent Immigrants in Europe

The questions asked in the paper are whether and to what extent the employment situation among recent third-country immigrants differs across European Union countries and how it is related to these countries' labor market characteristics. The European Labor Force Survey data for the 1990s are used to disentangle the roles that the individual characteristics of immigrants, on the one hand, and the structural features of the receiving societies, on the other, play in the process of immigrants' labor market integration. The results of multilevel regression analyses confirm that in receiving countries with stronger demand for low-skilled labor, unprivileged immigrants are less disadvantaged at employment entry. Among men immigrants' employment disadvantages are found to be lower in liberal welfare states marked by their flexible labor markets.