Incidence and Returns to Apprenticeship Training in Canada: the Role of Family Background and Immigrant Status

Immigrant men and women in Canada from recent arrival cohorts have especially low rates of having an apprenticeship credential when compared to either their counterparts from earlier arrival cohorts or the Canadian born. Among the native born, a second generation man is more likely to have completed an apprenticeship if his father’s generation of immigrant men in Canada (from the same source country) have a high probability of apprenticeship completion. The same effect is present for first generation men who arrived in Canada as children. However, this effect is not found for either first generation or second generation women. An analysis of earnings indicates a strong wage return from the completion of an apprenticeship in Canada is found for men. However, women who have completed an apprenticeship in Canada actually have lower weekly earnings than women with only a high school diploma. The empirical results suggest that the increased emphasis on university education in the selection of economic immigrants is creating an imbalance between the supply of both first and second generation immigrants with an apprenticeship, and the demand for workers with these credentials.