This paper examines the influence of individual characteristics on the chance of being unemployed. Most of the attention is focused on the characteristics specific to migrants; birthplace, period of residence, and proficiency in the English language. The analysis is based on data from the 1981 Census. The results indicate that a migrant is less likely to be unemployed the longer he has been in Australia. The likelihood of being unemployed falls most during the first two years after arrival for all birthplace groups. Most of the higher unemployment rate for migrants relative to Australian‐born is due to the high chance of recently arrived migrants being unemployed. It is argued that immigration policy should not be determined without regard to the labour market situation
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