Migrants in Germany earn less across generations

Migrants living in Germany earn nearly 20 percent less than native-born workers, a study has found.The research authors concluded that the reason wasn't because foreign-born workers were paid unfairly for the same jobs, but because they were often shut out of higher-paying sectors.

What did the study reveal?

The wage gap in Germany stands at 19.6 percent for first-generation migrants. But three-quarters of that difference comes down to limited access to better-paying industries, roles, and employers — not unequal pay for identical work.The research was published by the journal Nature, with contributions from Germany's Institute for Employment Research (IAB) in Nuremberg.It compared Germany to eight other Western nations: Canada, Denmark, France, the Netherlands, Norway, Spain, Sweden, and the US.

While all showed income gaps between migrants and locals, countries like Sweden and Canada are closing those gaps faster — especially by the second generation.In Germany, the wage gap for second-generation migrants still averages 7.7 percent — far above the 5.7 percent international average. Descendants of migrants from Africa and the Middle East remain particularly disadvantaged."Integration is primarily about breaking down structural barriers to access well-paid jobs," said study co-author Malte Reichelt.

The report highlights several key factors to improve access: language support, recognition of foreign qualifications, expansion of professional networks, and better information sharing.Among first-generation migrants, the largest wage disparities were found in Spain (29.3 percent) and Canada (27.5 percent), followed by Norway (20.3 percent), Germany (19.6 percent), and France (18.9 percent). The US, Denmark, and Sweden reported significantly smaller gaps.Canada leads the way in generational progress — with just a 1.9 percent wage gap for second-generation migrants. In contrast, Norway still shows an 8.7 percent disparity.