The wage gap between the public and the private sector among Canadian-born and immigrant workers

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Title: The wage gap between the public and the private sector among Canadian-born and immigrant workers
Authors: Zheng, Kaiyu
Date: 2017-04-30
Abstract: Using data from the 2011 National Household Survey (NHS), this paper investigates the wage gap between the public sector and the private sector for the Canadian-born and immigrant male and female workers. The public sector includes public administration, educational services, and health care and social assistance, while the other industry categories define the private sector. The average annual wages of public sector employees are generally higher than those of their private sector counterparts with the same endowments. Thus, as was found in earlier studies, there exists a public sector wage premium in the Canadian labour market. The results of an Oaxaca decomposition indicate that immigrants enjoy a higher public sector wage premium than Canadian natives. Comparing Canadian natives to immigrants, the wage gap in favour of male natives is appreciably greater in the private sector than in the public sector, whereas the wage advantage to female natives is slightly larger in the public sector than in the private sector. For both natives and immigrants, wages increase importantly with educational attainment and work experience acquired in Canada in both public and private sectors.
URL: http://hdl.handle.net/10393/36133
CollectionScience économique - Mémoires // Economics - Research Papers
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