Many studies point to economic disadvantages experienced by Muslims in Western Europe, particularly in the labor market. However, few studies comprehensively test individual-level explanations for the Muslim employment gap. Using data from the European Social Survey, this research note briefly examines the role of individual-level differences between Muslims and non-Muslims in mediating employment differences. Results reveal that human capital, migration background, religiosity and values, and perceived minority status/discrimination jointly explain about half of the employment variance between Muslims and non-Muslims. Model specifications for first- and second-generation Muslim immigrants reveal a similar pattern, thus suggesting that symbolic boundaries against Islam may translate into tangible ethno-religious penalties.