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This report presents the microsimulation model developed for multidimensional population projections. It contains a concise description of the model's specifications coupled with a detailed description of its labour force and employment modules. The report also presents scenarios of economic integration of immigrants from the third countries and a summary of the scenario assumptions. Demographicmodelling is based on analysis of the existing gaps in labour force participation and employment using Labour Force Survey data. We look at two dimensions of economic integration of immigrants – labour force participation and employment. At fixed demographic trends and labour force and employment of EU-born, we can evaluate the impact of improved, continued or worsened economic integration of immigrants in the EU and in individual member states. Our results illustrate that integration policies should not focus only on addressing barriers to employment for the job seekers of migrant background. Activation policies are highly relevant in the contexts where labour force participation of immigrants is lower than among the native-born.