The immigrant wage gap and assimilation in Korea.

This article examines the initial wage disadvantage and subsequent labor-market assimilation of immigrant workers in South Korea, a recently emerging immigrant-receiving country. Using repeated cross-sectional survey data merged with administrative records from 2013 to 2018, the study finds that immigrants earn 17–29 percent less than natives upon arrival, with the wage gap narrowing by about 1.55 percent per year spent in Korea. Assimilation patterns vary by gender and origin: male and Asian immigrants generally experience wage growth over time, while female immigrants show smaller initial gaps and little convergence, and non-Asian and Japanese immigrants initially earn more than natives but face relative wage declines, partly due to positively selected out-migration. The findings highlight Korea's unique immigration context, characterized by rapid growth in immigrant labor, especially in low-skilled sectors, and underscore the importance of accounting for selective return migration when assessing immigrant economic assimilation.