Two Dimensions to Immigrants’ Economic Incorporation: Soviet Immigrants in the Israeli Labour Market

Anastasia Gorodzeisky, Juan March Institute
Moshe Semyonov, Tel Aviv University

The present research examines the economic integration of immigrants from the Former Soviet Union in the Israeli labour market in terms of occupational mobility (decreasing occupational disparities) and earnings mobility (decreasing earnings disparities) in comparison with several Israeli Jewish sub-populations. The data were taken from the Income Surveys conducted between the years 1995 and 2006. Analysis of the data reveals little occupational and earnings mobility of Soviet immigrants throughout the period and substantial occupational and earnings disadvantages compared to all Jewish sub-populations. Although Soviet immigrants have experienced some socioeconomic advancement over the years, fifteen years after arrival in Israel, they are still lagging behind all Jewish sub-populations, especially behind Jews of European-American origin, in attainment of socioeconomic outcomes. The findings are discussed in light of the assimilation model suggesting that the socioeconomic circumstances associated with the arrival of Soviet immigrants in Israel have long lasting consequences for their economic assimilation.