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ABSTRACT: Studying the relation between workers’ nationality and their commuting time has been of paramount importance in countries with high immigration rates and ethnical heterogeneity. Most of these studies focus on the spatial mismatch of racial minorities, and consider urban and social structures of the countries/cities where this segregation phenomenon may occur.Currently, immigration is one of the main challenges of the Spanish society. Foreign residents in Madrid region increased 639 % between 1996 and 2004. In this paper we explore the connection between commuting time, residential location and worker’s nationality using an ordered logit model. Our findings reveal that immigrants from ‘transition economies’ and ‘third world’ countries are significantly more likely to suffer higher commuting times compared to natives. These differences can be explained by both housing and labour market restrictions due to discrimination. This commuting penalty is in line with the spatial mismatch hypothesis and residential segregation.