|
@MILLS |
_____________0.05 |
____________2.31 |
____________-0.08 |
___________-4.63 |
_____________0.07 |
___________5.73 |
|
N_______ |
__________1337 |
__________5851 |
_________7188 |
Description of the variables in Appendix
The estimation of two wage equations helps to explain the phenomenon. First, the wage difference
between migrants and non-migrants can be observed through the constant term. All other variables
being equal to zero, the predicted wage for a migrant is 4897 FF as against 6025 FF for a non-migrant.
Second, It seems that we have two complementary effects. A positive selection effect appears on
potential migrants, their characteristics predisposing them to obtain a higher wage. At the same time, a
negative selection effect emerges on non-migrants. People who refuse as a matter of course to migrate
receive a lower wage than other.
The other dimension of human capital introduced in the model concerns knowledge acquired from
education and from employment. The higher the educational level the more the non-migrant earns. In
contrast, the impact of educational level is not significant for migrants. This is a somewhat surprising
finding in the light of classical results. An explanation could be the narrow educational level spread in
our sample. Once again, on-the-job experience (time spent in the present job) increases the non-
migrant wage (but not the migrant wage) significantly.
The hypothesis to the effect that an individual needs time to capitalise on human capital would repay
further exploration and testing.
Wage and job characteristics
The type of work contract binding employer and employee has a classically significant and important
impact on wage irrespective of whether or not migration takes place4. People in permanent
employment enjoy a higher wage than all other categories. In temporary employment, the lowest wage
is to be found in so-called “assisted” jobs, i.e. benefiting from public assistance or funds. For migrants
and non-migrants alike, wage levels reflect job qualifications in accordance with a well-established
gradient: unskilled workers/skilled workers/intermediate categories.
The number of hours worked by week varies from one person to another and the wage estimation used
by us corresponds to the equivalent full-time work (39-hour week). We have taken as our basis the
hours of work actually declared by the individual and not the time mentioned on the pay slip. If
overtime, i.e. hours worked in excess of 39 hours a week, were really paid at a higher rate (as it should
be according to the law) we would expect to see longer working hours reflected in a higher full-time
wage. But this is not the case. After 46 hours per week (more than 9 hours per day for a 5-day week),
wage levels significantly decrease. This phenomenon seems to be particularly pronounced in the case
of migrants.
Wage and firm characteristics
4 Seasonal workers are the only exception to the rule. We hypothesise that in migrants, jobs connected with the
tourist industry are over-represented and these jobs are known to be very poorly paid.