STEM Education and STEM Work: Nativity Inequalities in Occupations and Earnings

AuthorMonica Boyd,Siyue Tian
Date01 February 2017
Published date01 February 2017
DOIhttp://doi.org/10.1111/imig.12302
STEM Education and STEM Work: Nativity
Inequalities in Occupations and Earnings
Monica Boyd* and Siyue Tian*
ABSTRACT
The recruitment of skilled workers with expertise in science, technology, engineering and math-
ematics (STEM) is a core component of North American immigration policies. However, few
studies examine the labour market integration of immigrant STEM educated workers. Multivari-
ate analysis of the 2011 National Household Survey show that STEM educated immigrants who
arrive as adults are less likely than the Canadian born to have STEM jobs and they earn less
than their Canadian born counterparts. These patterns partly ref‌lect their socio-demographic
characteristics, particularly their lower language prof‌iciencies (measured as a combination of
mother tongue and languages spoken at home) and the receipt of their degrees in institutions
outside of Canada. These immigrant workers arrived primarily in the skilled worker programme
that did not require pre-arranged employment. Policy changes in recruitment and their implica-
tions for future STEM immigrant workers are discussed in the conclusion.
INTRODUCTION
Skilled workers with expertise in science, technology, engineering and mathematics (STEM) are
deemed essential for the research and development activities that stimulate economic growth. As
one commentary notes, US scientists and engineers have discovered or pioneered the science
behind one blockbuster product after another from f‌lat-panel screens and robotics to the lithium
batteries that run next-generation power tools and electric cars(Lee, 2010). Migrant workers with
STEM skills are central in this relationship between skill inputs, product development and markets.
Studies note the high percentages of the foreign born as patent holders, or as owners or co-owners
of IT start-up f‌irms, emphasize the necessary and synergistic effects of STEM expertise in the
workplace and in IT related f‌irms, and the external effects of STEM workers on the wages of other
workers (Rothwell, 2013; Walsh, 2015; Winters, 2014).
Not surprisingly, a large and diverse body of North American research on STEM workers exists.
Studies primarily focus on national populations undifferentiated by race or nativity, and they gener-
ally fall into three domains: those who inventory the characteristics of STEM workers; those who
study the retention of STEM degree holders in STEM occupations with particular attention paid to
gender differences in such retentions; and those who analyse earning differentials between STEM
and non-STEM degree holders/workers or among different STEM occupations (for examples see:
Beckstead and Gellatly, 2006; Glass et al., 2013; Hira, 2010; Landivar, 2013a). But less attention
is given to nativity differentials within the STEM workforce. A few studies specif‌ic to the US con-
text compare wages between the native born and H1B visa holders in STEM occupations, mainly
speaking to the policy debate in the US about the proper size and functions of the H1B visa
* University of Toronto
doi: 10.1111/imig.12302
©2016 The Authors
International Migration ©2016 IOM
International Migration Vol. 55 (1) 2017
ISSN 0020-7985Published by John Wiley & Sons Ltd.
(Lofstrom and Hayes, 2011; Luthra, 2009; Martin, 2012). Drawing heavily on US census data and
the American Community Surveys, most other quantitative investigations examine differentials for
migrant and native-born workers in STEM occupations rather than focusing on workers trained in
STEM f‌ields (for two exceptions, see Council of Canadian Academies, 2015a, 2015b; Tong, 2010).
Such emphasis ref‌lects data constraints; f‌ield of study was not asked in American national popula-
tion surveys until the 2010 ACS (Gambino and Gryn, 2011; Landivar, 2013b).
From a policy perspective, looking only at those employed in STEM occupations offers only a
partial and potentially misleading view; by def‌inition, the analysis of STEM workers omits those
who are not employed in the jobs for which they have trained. Our research uniquely contributes
to existing STEM research, immigration integration studies and policy discussion by starting with
STEM f‌ields of study and asking three questions. First, to what extent do immigrants with STEM
f‌ields of study f‌ind employment in their areas of expertise and how does this compare to the native
born? Similarly for those who hold STEM credentials, do earnings gaps exist between native-born
and immigrant workers? Second, do nativity differentials in STEM/non-STEM employment and
earnings ref‌lect nativity differences in socio-demographic characteristics known to be associated
with occupational and earnings outcomes? Specif‌ically, our analysis of 2011 Canadian data exami-
nes the impacts of demographic, language and educational characteristics; we f‌ind that place of
highest education and language use are important in explaining nativity differentials in having
STEM employment and in earnings. Third, what are the implications of the f‌indings for migration
policies? In the conclusion we draw on one lesson from the US H-1B programme to assess the
possible future impacts of new Canadian policy initiatives.
MATCHING STEM FIELDS OF STUDY TO WORK AND WAGES: THE ROLES OF
EDUCATION AND LANGUAGE
A large STEM literature exists; however studies and related estimates that start with STEM f‌ields of
study and examine employment outcomes are both few and primarily focus on the total population
undifferentiated by nativity (see: Beckstead and Gellatly, 2006: 15; Langdon et al., 2011; Lowell
et al., 2009; Mishagina, 2009). Within the North American studies which examine labour market
rewards for foreign-born STEM degree holders/workers, two subgroups can be identif‌ied. First, speci-
f‌ic to the US context are studies comparing the earnings of H1B visa holders with those of native-born
or naturalized US workers. Controlling for demographic, educational, and occupational factors, the
holders of H1B visas do not suffer from lower wages than US born workers. However, compared with
US born workers, temporary workers have earnings disadvantages because of their younger age pro-
f‌ile, poorer benef‌its and lower job security (Lofstrom and Hayes, 2011; Luthra, 2009; Martin, 2012).
Second, a small group of studies adopts a classic integration perspective to study economic
returns to STEM degrees/occupations for immigrants. In particular, two studies emphasize the role
of the place of education in determining how well foreign born science and engineering profession-
als (including those with social science degrees) fare in the labour market (Kaushal, 2011; Tong,
2010). These studies f‌ind that while foreign-born men and women earn signif‌icantly less than their
US-born counterparts who have similar demographic and educational (i.e. levels of education and
f‌ields of study) background, further adjusting for place of education greatly reduces these wage dif-
ferentials (Kaushal, 2011: 328329). Moreover, these two studies also document the importance of
completing education in the US. The foreign born who have no host-country schooling and who
receive foreign bachelors degrees in combination with US higher degrees earn signif‌icantly less
than their US-born counterparts; however, foreign born who complete all their post-secondary edu-
cation in the US earn similar wages to US-born workers (Tong, 2010).
The negative impact of foreign education is well documented in more general studies of immi-
grant integration where it is thought to ref‌lect a number of factors including: the imperfect
76 Boyd and Tian
©2016 The Authors. International Migration ©2016 IOM

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