Immigration, ethnic wage differentials and output pay in Canada

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Date

2010

Authors

Heywood, John S.
Fang, Tony

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Volume Title

Publisher

Wiley-Blackwell

Abstract

Recent work suggests that ethnic minority wage differentials in Canada are smaller among those receiving performance pay and that the returns to performance pay are larger for ethnic minorities. This article adds to these findings. First, it demonstrates critical gender differences. The earlier findings are generated almost exclusively by males, as we show that the minority wage differential is small or zero for women in both the time rate sector and the performance pay sector. Second, accounting for immigration and language tends to move the ethnic wage differential in favour of minorities. Minority women on output pay are shown to earn more than non-minority women. While the differential often remains negative for minority men on time rates, it becomes insignificant in our most narrow comparison.

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Citation

Fang, T. and Heywood, J.S. (2010). Immigration, ethnic wage differentials and performance pay in Canada. British Journal of Industrial Relations, 48(1), 109-130.