So things are getting worse in the 3 largest European countries, not better. (The paper had no data on second generation immigrants to Sweden, but I am pretty sure they do better than the first generation).
Why is this happening? One reason may be that the first generation contains people who moved to Europe in order to work. Because they were selected on this trait, they have above average work ethic for their group. The second generation only has some of this advantage left.
Perhaps these are not actually parent-children pairs, and the only cause of the results is that the composition of first generation immigrants changed for the better before they had time to have children (I doubt this).
Another, more troubling possibility is that the second generation are assimilating into a completely new culture. This is not the standard, successful western-European culture, but a new kind of mixed ghetto culture that emphasizes grievances, hostility to the host society, weak norms and a lack of a work ethic…
Comparing Second generation male immigrant relative employment rates with the first generation immigrants:
UK -10%
France -13%
Germany -19%
Comparing Second generation female immigrant relative employment rates with the first generation immigrants:
UK +15%
France +8%
Germany +2%
Employment rates (the figure in the parenthesis compared immigrants to the native born):
U.K
Native Men: 79.0%
First generation non-European immigrant Men: 67.8% (-14%)
Second generation non-European immigrant Men: 60.0% (-24%)
Native women: 66.5%
First generation non-European immigrant Women: 43.3% (-35%)
Second generation non-European immigrant Women: 53.5% (-20%)
France
Native Men: 66.3%
First generation non-European immigrant Men: 61.6% (-7%)
Second generation non-European immigrant Men: 53.0% (-20%)
Native Women: 58.9%
First generation non-European immigrant Women: 37.6% (-36%)
Second generation non-European immigrant Women: 42.4% (-28%)
Germany
Native Men: 75.3%
First generation non-European immigrant Men: 68.5% (-9%)
Second generation non-European immigrant Men: 53.9% (-28%)
Native women: 65.8%
First generation non-European immigrant Women: 42.5% (-35%)
Second generation non-European immigrant Women: 43.8% (-33%)