Wage differences: Why immigrants in Germany earn significantly less

Wage differences: Why immigrants in Germany earn significantly less

A comprehensive study of the salary differences between immigrants and natives has shown that immigrants in Germany earn on average 19.6 percent less than their German counterparts. This analysis is based on data from 13.5 million employees in Germany and eight other countries, including Canada, Denmark, France, the Netherlands, Norway, Spain, Sweden and the USA. The study was conducted by an international research team led by Are Hermansen from the University of Oslo and published in the journal Nature. Loud FAU Structural access restrictions are the main reason for these income differences, as immigrants often have limited access to better-paying industries and professions.

A key finding of the study shows that three quarters of the wage gap is due to infrequent employment in high-paying sectors. A quarter of the wage difference results from unequal pay within the same position and the same company. This affects not only the first but also the second generation of immigrants. In Germany, the wage gap for the descendants of immigrants is on average 7.7 percent, with the majority also being due to different sector and occupational allocations. Loud ZDF The intra-company wage inequality of 1.1 percent is low for this group.

International comparisons and specific challenges

The study not only looks at the wage differences in Germany, but also makes international comparisons. Across all countries examined, immigrants earn on average 17.9 percent less than natives. The wage differences among the first generation are particularly strong in Spain at 29.3 percent, followed by Canada at 27.5 percent and Norway at 20.3 percent. In Germany, the wage gap is in fourth place in an international comparison. Smaller differences were found in the USA (10.6 percent), Denmark (9.2 percent) and Sweden (7 percent).

Another key finding of the study is that second-generation descendants of immigrants from Africa and the Middle East are disadvantaged. In an international comparison, the wage gap for this generation is on average 5.7 percent, with Norway having the highest difference at 8.7 percent and Canada having the lowest at 1.9 percent.

Need for action and integration

The study highlights the urgent need for action regarding the integration of immigrants. According to the researchers, important measures to close these gaps include increased language support, the recognition of foreign qualifications and the expansion of professional networks. In addition, better information systems should be established to make it easier for immigrants to access the labor market.

Overall, the comprehensive analysis shows that despite progress in integration, there are still significant challenges that urgently need to be addressed in order to promote equal opportunities on the German labor market.