Labour migrant adjustments in the aftermath of the financial crisis

Bernt Bratsberg (), Oddbjørn Raaum and Knut Røed ()

No 1419, RF Berlin - CReAM Discussion Paper Series from Rockwool Foundation Berlin (RF Berlin) - Centre for Research and Analysis of Migration (CReAM)

Abstract: Based on individual longitudinal data, we examine the evolution of employment and earnings of post- EU accession Eastern European labour immigrants to Norway for a period of up to eight years after entry. We find that the migrants were particularly vulnerable to the negative labour demand shock generated by the financial crisis. During the winter months of 2008/09, the fraction of immigrant men claiming unemployment insurance benefits rose from below 2 to 14 per cent. Some of this increase turned out to be persistent, and unemployment remained considerably higher among immigrants than natives even three years after the crisis. Although we find that negative labour demand shocks raise the probability of return migration, the majority of the labour migrants directly affected by the downturn stayed in Norway and claimed unemployment insurance benefits.

Date: 2014-05
New Economics Papers: this item is included in nep-eur, nep-lab and nep-mig
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Citations: View citations in EconPapers (1)

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Related works:
Working Paper: Labour Migrant Adjustments in the Aftermath of the Financial Crisis (2014)
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Persistent link: https://EconPapers.repec.org/RePEc:crm:wpaper:1419

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