Analyzes labor market integration effects of early hospitality jobs on refugees, suggesting increased earnings but increased industry segregation.
I examine whether early but temporary access to low-barrier hospitality employment affects refugees’ labor market integration. I exploit within-region, within-year variation by combining the quasiexogenous allocation of refugees to Austrian regions with seasonality in hospitality, where 25% of refugees first find work. Labor market access during high seasonal demand raises early employment probability by 3 percentage points (9% of the mean). Employment gains fade after one year, but treated refugees accumulate significantly higher three-year earnings, with no differences in medium-term wages or job quality. However, early hospitality work increases segregation into refugee-typical industries and firms with fewer Austrian coworkers.
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Felix Degenhardt (2026) studied this question.
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