Because of dramatic growth of immigration to the US and dispersion of immigrants to new settlement areas, immigrant children are one of the fastest growing segments of the school-aged population.  Their growth creates new challenges for the US school system. The first challenge for US schools is deciding grade level placement for immigrant newcomers. Upon arrival to the US, immigrant children bring with them diverse educational backgrounds that makes it difficult for schools to match the student’s academic ability with the appropriate grade content.  Prior research suggests that upwards of 10%-20% of immigrant youth have experienced interrupted schooling (on average 2 or more years) in their home countries. The consequences are severe. Research by the Pew Hispanic Center indicates that the US high school dropout rate is significantly higher among immigrant teens that have experienced interrupted schooling abroad (70%) than those that have not (10%). 

When deciding immigrant students’ grade level placement, however, schools must consider more than the student’s prior schooling. They must also consider English language skills and social/behavioral issues. The challenge of simultaneously learning a new language and academic content can impede achievement. If immigrant youth, however, are placed in a grade-level where they are older than their classmates (e.g., to make-up for interrupted schooling), they are vulnerable to teasing and behavioral problems.  

Little is known about how schools make grade-level placement decision of under-schooled immigrant newcomers or the consequences of these decisions. Qualitative evidence suggests that the criteria for grade-level placement decisions vary across schools and even within schools. Some schools have developed formalized testing programs, others rely on transcript information, and many simply use student age as a grade-level indicator.

Using data from the Educational Longitudinal Study (ELS 2002) with value-added and fixed effect regression models, this paper explores how grade-level placement decisions affect the academic well-being of immigrant newcomers. First, the paper examines how many immigrant newcomers experience an educational grade gap (i.e. difference between the first grade enrolled in the US and highest grade completed in home country)? Second, the paper assesses the consequences of this educational grade gap on test scores, dropout behavior, and school behavioral problems. Lastly, the paper assesses variation in the effects of the educational grade gap across race/ethnicity.

Preliminary results suggest that most immigrant youth experience an educational grade gap that hinders their ability to be successful in US schools. Upon arrival to the US, almost half of immigrants (46%) are placed in a grade-level at least two years higher than that completed in their home country with an average difference of 5.64 grade years.  About a third of immigrant newcomers (34%) are placed at grade level, and the remainder (20%) repeat grade(s) that they completed in their home country. Immigrant youth who repeat a grade have the highest achievement, while those who experience an educational grade gap have the lowest. The paper discusses the pros and cons of different grade-placement practices in order to help schools develop more informed grade-level placement policies that ensure student success.