Young person's research summary: Labour market differences between immigrants and UK-born employees

This study was summarised by Rianna Romeo during her internship at ADR England, with input and feedback from Ezgi Kaya who produced the original research. It looks at differences in job quality between UK-born and immigrant workers, using detailed data on pay, working hours, and job types.

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What is this summary about?

The study explores the differences in:

• hourly wages

• the number of paid hours worked each week

• the likelihood of working in low-skilled or temporary jobs

between people born in the UK and those who immigrated to the UK within the last 10 years.

It also looks specifically at people who worked at the same company as at least one other person in the dataset, to understand how much of the difference is due to the employer.

What data did this study use?

The study used de-identified administrative data from:

• the Annual Survey of Hours and Earnings (ASHE), which includes information on job roles, pay, and hours worked

• the 2011 Census, which includes detailed demographic information for people living in England and Wales

These linked datasets allow researchers to compare work outcomes while taking into account personal and job characteristics.

Key messages

Compared to UK-born workers, immigrant workers:

• are paid 7.8% less per hour

• work 5.5 more hours per week, on average

• are 11.4 percentage points more likely to be in low-skilled jobs

• are 7.3 percentage points more likely to be in temporary jobs

While employers play an important role in shaping these differences, the research shows that even when two people have the same job, work for the same employer, and have similar life circumstances, immigrant workers still face worse outcomes.

What needs to change?

This research highlights the need for change, notably through existing regulations, and new policy to ensure equitable treatment of immigrant and UK-born employees.

Why do these unexplained differences exist?

Some possible reasons include:

• language barriers, which may limit access to higher-skilled or better-paid jobs

• visa restrictions, which can tie workers to specific employers

• cultural factors or discrimination, which may affect hiring and pay decisions.

Understanding and addressing these challenges is key to ensuring fair and inclusive employment opportunities for everyone in the UK.