How Migrant Crackdowns Threaten Essential Labor Supply for the US Workforce

The Impact of Immigration Policy Changes on Businesses

In Maryland, Victor Moran runs a cleaning company with 1,200 employees. He prioritizes hiring workers with legal authorization to stay in the U.S. However, the recent crackdown on immigrant protections is beginning to affect his business. Since the changes, about 15 of his workers have left. If further actions are taken, he fears even more will follow.

This concern isn’t isolated to Moran. Many businesses across the U.S. are feeling the effects of stricter immigration policies. According to recent census data, nearly one in five workers in the U.S. are immigrants—the highest percentage recorded in decades. This has implications for the workforce, especially as Trump’s administration pushes to increase deportations aimed at undocumented immigrants.

Historically, this approach has shifted focus from targeting only those undocumented to broader measures affecting student visa holders and those with temporary work permits. For many, including people like Justino Gomez, a 73-year-old Salvadoran who has resided in the U.S. for thirty years under Temporary Protected Status (TPS), there’s anxiety about what the future holds. Gomez worries that his status may soon be revoked, subjecting him to deportation.

The economic ramifications of these policies could be significant. Giovanni Peri, an economist from the University of California, Davis, warns that the U.S. could face reduced economic growth as businesses struggle to find workers. Since January, workforce growth has stagnated. Peri notes that a dwindling labor pool can lead to inflation as companies may need to offer higher wages to attract workers.

Industries like healthcare are already feeling the pinch. Adam Lampert, CEO of Cambridge Caregivers, reports that around 80% of his workforce is foreign-born. He recognizes that if immigrants leave due to tightened regulations, it could drive up costs for his business, resulting in higher prices for care services.

Similarly, health systems are bracing for the impact. Esmail Porsa, CEO of Harris Health System in Texas, emphasizes that training new American workers to fill these roles could take years. With an aging population and increasing healthcare needs, the timing of these policy changes couldn’t be worse.

In construction, the National Association of Homebuilders reports a slowdown in work crews, which adds to rising costs in an already strained market. Jim Tobin, the association’s president, believes immigration reform is necessary to alleviate these pressures, yet he anticipates no swift changes in policy.

As these issues unfold, public reactions are mixed, often trending on social media platforms where individuals share personal stories and weigh the pros and cons of tighter immigration measures. For now, many businesses and immigrants alike are left wondering about their future in an evolving landscape influenced by policy changes.

For more information on the economic impacts of immigration policies, visit Pew Research Center.

Source link