Six in ten Americans believe there is an immigration crisis on the border with Mexico. And congressmen who want to restrict migration often consider those who arrive without prior authorization as a burden on the economy.
As an economist who has researched immigration and employment, I am certain that economic trends and research results contradict those arguments.
The United States is experiencing shortages in the labor market that are likely to last into the future as the native-born population ages, slowing growth in the number of workers.
More than a drain on the economy, a rebound in immigration represents an opportunity to alleviate this shortage. Data from my own research and studies by other scholars show that immigrant workers in the US are more likely to be active in the labor market – either employed or looking for work – and tend to work in professions with the highest unsatisfied demand.
Scarcity of manpower
The U.S. had 9 million job openings in December 2023, according to the Bureau of Labor Statistics. The government agency also found that there were 6.1 million unemployed people actively seeking paid work.
Economists often compare both figures to calculate labor shortages. It currently stands at nearly 3 million workers, and the bureau expects this gap to grow as the population ages and people have fewer children over the next decade.
In other words, the United States faces a long-term shortage of people looking for jobs.
That shortfall would be much larger without foreign-born workers, who accounted for an all-time high of 18.1% of the U.S. civilian workforce in 2022, according to the Bureau of Labor Statistics.
More active in the demand for employment
Another reason immigrants can help fill that big hole in the American labor market is that many of them tend to be employed or looking for work.
About 65.9% of all people born elsewhere had a job or were actively looking for one in 2022, compared to 61.5% of people born in the United States.
This gap has been consistent since 2007, according to research by the Peterson Foundation, a think tank that focuses on long-term budget problems.
In a study I conducted a few years ago, I found that immigrants who come to the United States as refugees fleeing violence and persecution in their home countries are ultimately more likely to be employed or looking for work than people born in USA.
More home health assistants and janitors
Some of the biggest gaps in the labor market are especially acute in professions that tend to attract immigrants, such as home health aides.
The healthcare and social services sector as a whole has nearly 1.8 million unfilled jobs, most of which are currently available.
The U.S. had nine million job openings in December 2023, according to the Bureau of Labor Statistics.
Professional and business services follow, with 1.7 million vacancies. This category ranges from legal services to janitorial work, including cleaning and grounds maintenance.
Currently, regarding 22% of employed immigrants work in one of those two high-demand categories or in another service occupation.
Facilitate aging at home
A team of economists has found that the cost of home health care and support services is lower than average in places with large numbers of migrant service workers. This, in turn, increases the likelihood that older people will avoid institutionalization and remain in their own homes.
But, without a doubt, the migrant workers who provide these vital community support services often endure exploitative working conditions.
Labor market data not only make clear that the U.S. economy can absorb large numbers of immigrants, it demonstrates that these newcomers might be a much-needed solution to a labor supply crisis.
However, people who arrive in the United States as political asylum seekers experience delays and difficulties in obtaining employment authorization, which delays their entry into the labor market.
Wouldn’t it make more sense for Congress to expand the pathways to legal employment for immigrants? From an economic perspective, it seems the most prudent measure.
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