Project Manager
Therese NilssonProject manager
The Institute for Business Research FoundationAmount granted
991 000 SEKYear
2021
The proportion of foreign-born people in Sweden has increased in recent decades and now accounts for 20% of the population. Immigration poses new challenges and opportunities for society and the labor market. We study how immigrants, from different countries with different cultural characteristics, manage in and affect the Swedish labor market from two perspectives. We study how cultural factors affect immigrants' labor market integration, focusing on the effects of coming from cultures with different degrees of tolerance, trust, religiosity and individualism. We also study how the multicultural composition of the workforce affects the functioning, profitability and personnel growth of firms.
We know little about these relationships in general, but the conditions for a better understanding are good. We have access to a unique longitudinal company database that is linked to individual data on employees. An additional strength is that we can link indicators of cultural factors and attitudes in immigrants' background countries to individual outcomes. This avoids problems of reverse causality. Our project is based on a real problem: weak labor market integration among foreign-born individuals. The project adds new policy-relevant knowledge that complements previous research. The project provides a basis for designing policies for a more inclusive and equal society, but also insights into the importance of culture for the functioning of the economy.