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The Economic Contribution of Humanitarian Settlers in Australia

International Migration

Published online on

Abstract

This article assesses the economic role of refugee settlers in Australia. Refugee‐humanitarian labour force participation rates are lower than for other migrant groups or the Australia‐born. However, their labour market performance converges toward that of the Australia‐born over time. Moreover, the second generation performs at a higher level. There are a number of significant impediments to participation including language, education, structural disadvantage and discrimination. Indeed, there is evidence of a significant refugee gap which can only be explained by discrimination. It is shown that refugees represent a significant stock of human capital that is not being fully realized. They suffer more than other groups through non‐recognition and there is substantial “brain waste” with negative results for the economy and the migrants themselves. Finally, it is shown that refugee‐humanitarian settlers show greater propensity to form their own business than other migrants and that risk‐taking, entrepreneurialism and an ability to identify and take advantage of opportunities is a key characteristic of the group.