Determinants of immigrant self-employment in Spain

Abstract

Purpose

The purpose of this paper is to examine immigrant self-employment in Spain. The study aims to determine the likelihood of immigrants being self-employed, the differences between Spaniards and immigrants in terms of self-employment and differences among immigrants from different regions of origin.

Design/methodology/approach

Data from the Labour Force Survey for 2005-2011 are used for a descriptive analysis of self-employment. Logit regressions allow us to study the determinants of immigrant self-employment.

Findings

Unlike research conducted in other countries, the rate of immigrant self-employment in Spain is lower than that of nationals, although differences exist according to the region of origin. Men and older individuals are more likely to be self-employed. Those with higher levels of education are also more likely to be self-employed – this may be attributable to the decreased availability of skilled positions for immigrants.

Research limitations/implications

The sample size does not allow for differential analyses regarding the region of origin or the existence and influence of enclaves.

Practical implications

Self-employment may be an opportunity for immigrants to improve their position in the labour market, especially in the case of highly skilled workers.

Originality/value

In Spain, analyses of immigrant self-employment are rare and generally focus on case studies. However, this study covers the whole population within a highly specific economic situation.

Citation

Cueto, B. and Rodríguez Álvarez, V. (2015), "Determinants of immigrant self-employment in Spain", International Journal of Manpower, Vol. 36 No. 6, pp. 895-911. https://doi.org/10.1108/IJM-10-2013-0233