Summary of the International Labour Organization Report on the Migrant Pay Gap
Key Findings
Global Scope: Analysis of the migrant pay gap includes data from 49 countries (33 High Income Countries (HICs), 16 Low and Middle-Income Countries (LMICs)), covering about 25% of global wage employees.
Average Earnings:
- Migrant workers in HICs earn approximately 12.6% less than nationals.
- In LMICs, migrant workers earn about 17.3% more than nationals.
Wage Variations:
- Notable disparities exist, with extreme cases, e.g., migrant workers in Cyprus earn 42.1% less than nationals.
Gender Pay Gap:
- Women migrant workers face a 20.9% pay gap compared to male nationals, which is larger than the overall gender pay gap in HICs (16.2%).
- Migrant care workers experience a 19.6% wage gap relative to non-migrant care workers.
Impact of COVID-19: Migrant workers were significantly affected by employment losses and reduced wages during the pandemic.
Underemployment: Higher-skilled migrant workers often occupy lower-skilled jobs and face issues like skills mismatch and inadequate recognition of their qualifications.
Explanatory Factors: Approximately 10% of the migrant pay gap in HICs is unexplained by observable characteristics, indicating potential discrimination in wages.
Policy Recommendations
- Equity Measures: Implement policies ensuring equal pay for work of equal value, focusing on the unexplained wage gaps.
- Gender Considerations: Special attention should be given to reduce wage disparities among migrant women.
- Labor Market Integration: Enhance labor integration measures and skills recognition systems to match migrants with suitable jobs.
- Harmonization of Policies: Align labor migration policies with labor market needs to promote fair wages.
Conclusion
- The report highlights a persistent and complex migrant pay gap, necessitating targeted action to address wage inequalities, particularly for women and migrant care workers, and to ensure equitable labor market policies.