2006–

Wage Policies and the Integration of Immigrants

Policy Paper No. 86

Author(s): Simon Ek and Per SkedingerKeywords: Integration of immigrants; Minimum wages; Wage policiesPages: 31Published: May 29, 2019JEL-codes: J08; J31; J38; J50

Wage Policies and the Integration of Immigrants Simon Ek and Per Skedinger

Most Nordic countries struggle with the integration of low-skilled immigrants. Relying on research from primarily the Nordics, we discuss to what extent minimum wage reductions can improve labour market prospects for immigrants, whether unskilled and low-pay jobs serve as stepping stones to more qualified and higher-paid jobs and how wages of incumbent workers would be affected by lower minimum wages. We argue that targeted minimum wage reductions aimed at new, previously non-existing jobs and increased differentiation of minimum wages according to experience provide an appropriate balance between the conflicting goals of high employment and low wage inequality. 

Per Skedinger

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per.skedinger@ifn.se

Interdisciplinary European Studies

The European Union in a Changing World Order

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This book explores how the European Union responds to the ongoing challenges to the liberal international order. These challenges arise both within the EU itself and beyond its borders, and put into question the values of free trade and liberal democracy. 

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