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Challenging previous research
Previous research on the economic integration of immigrants has largely interpreted the length of time in the host country and age as relevant approximations for labour market experience. That research had suggested there was large earnings gap for immigrants compared to native Norwegians and that immigrants were not able to close the gap even after living many years in the country. Such findings have been to some extent interpreted as indication of unsuccessful economic integration.
Emphasis on labour market experience
Galloway uses a slightly different approach in her analysis. The number of years in the country will often be a poor measure of labour market experience, because immigrants can spend varying periods outside of the labour market, particularly in the first few years after arrival in Norway. Galloway thus emphasizes the relevance of labour market experience for studying and understanding earnings developments for immigrants. In addition, Galloway takes into account selection in employment status, that is, that many immigrants may not be employed and therefore not registered with earnings.
Equal earnings
Galloway's results present a much more positive picture of earnings for immigrants than has previously been reported. For persons with highest level of education at the secondary level, she finds that immigrants and native Norwegians earn about the same if both have the same number of years of labour market experience. In other words, an immigrants with a high school education who has lived in Norway for 10 years and been employed during 5 of those years earns the same as a Norwegian with 5 years of labour market experience and the same education level.
Immigrants with low education levels earn more
When Galloway studies persons whose education is below the high school level, she finds that immigrants even earn more than their Norwegian counterparts. With 10 years of labour market experience, for example, immigrants from Pakistan, Vietnam and Sri Lanka earn over 5 percent more annually than native Norwegians with the same level of education and years of experience.
Immigrants with education at the high school level or below make up a substantial portion of the minority population in Norway.
Less of an earnings gap at high levels of education
Immigrants with higher education earn slightly less than their Norwegian counterparts with the same years of labour market experience, but Galloway's results indicate that the earnings gap at this high level of education is smaller than previously suggested.
Differences in labour market experience
Many immigrants arrive in Norway with labour market experience from their home countries. If immigrants earn the same or slightly less than native Norwegians, this may imply that they do not receive pay relative to their total labour market experience, i.e. the sum of experience acquired both in Norway and abroad.
Different patterns of integration
Galloway's PhD thesis also indicates that different immigrant groups experience varied patterns of economic integration in Norway. The percentage of poor among immigrants decreases and employment increases with the time spent in the country for most of the groups studied.