Exploring Predictors of Remittance Use By Families in Countries of Origin

Schedule:
Friday, January 16, 2015: 8:30 AM
Preservation Hall Studio 7, Second Floor (New Orleans Marriott)
* noted as presenting author
Mary Lehman Held, PhD, Assistant Professor, University of Tennessee, Knoxville, Nashville, TN
Yolanda C. Padilla, PhD, Professor of Social Work and Women's Studies, University of Texas at Austin, Austin, TX
Background and purpose. Labor migration to the United States has served as a major strategy for Mexican and Central American families to ensure the economic survival of family left behind through the use of remittances. Research shows that remittances improve food security, health, and education outcomes. While information on the uses of remittances exists, this study investigates immigrant characteristics that predict the uses of remittances made to family back home.

Methods. A mixed methods study was conducted using data drawn from the 2000-2007 Mexican Migration Project and the Latin American Migration Project, two large surveys on the migration patterns from Latin America to the United States. Participants were randomly sampled from select Mexican and Latin American communities which were known to have some degree of outmigration and represented four levels of urbanization. Ethnosurveys were employed for data collection. Inclusion criteria for the current study were Mexican and Central American participants who had migrated to the United States and had sent remittances back home (N=844). Separate logistic regression analyses were conducted to examine immigrant characteristics that predicted the most prevalent purposes for which immigrants remitted: food, healthcare, and education. The effects of immigrant characteristics (marital status, age, education, and English proficiency) were analyzed controlling for respondents’ immigration experience and access to social networks. Focus group interviews (N=10) were held in a large urban city to interpret the findings from the perspectives of immigrants residing in the United States who currently remit back home. Focus group questions explored the purpose and meaning of remittances for immigrants and their families Transcribed interviews were analyzed using content analysis techniques.

Results. Analyses of the survey data revealed that 79% of immigrants sent remittances. Of these, 94% reported remitting for food, 37% for educational expenses, and 23% for health expenses. Distinct differences in the predictors of remittance use for health and education purposes were observed. Married immigrants were significantly more likely than unmarried immigrants to remit for education and health purposes. In addition, being younger, less educated, and proficient in English were associated with sending for health expenses. The use of remittance funds for food did not vary significantly based on immigrant characteristics.

The focus group interviews with immigrants in the United States shed light on the allocation of remittance funds for their families. Key themes included the inability of families to access adequate food and healthcare without remittance funds. In fact, multiple respondents reported that remittances were used to purchase life-sustaining medications (e.g., for diabetes management). Funds were used for public education to cover mandatory tuition and uniforms and transportation.

Conclusions and Implications. Use of immigrant remittances by family back home is influenced by immigrant characteristics. The findings suggest that more disadvantaged immigrants (younger, less educated, and less English proficient) were more likely to remit for health expenses, while married immigrants were more likely to remit for education purposes. The study raises awareness for social work practice and future research concerning the consequences of immigrant well-being for their families in countries of origin.