Labor-Intensive Industries
Farm Union Organizer Leads 22-day Hunger Strike on National Mall to Fight for Immigration Reform
Over his seven decades, labor leader Eliseo Medina has, quite literally, proven his hunger for immigration reform. In 2013, the retired international secretary-treasurer of the Service Employees International Union (SEIU), a man described by the Los Angeles Times as one of the… Read More
Farm Union Organizer Leads 22-day Hunger Strike on National Mall to Fight for Immigration Reform
Over his seven decades, labor leader Eliseo Medina has, quite literally, proven his hunger for immigration reform. In 2013, the retired international secretary-treasurer of the Service Employees International Union (SEIU), a man described by the Los Angeles Times as one of the… Read More
Immigrants Add Value to Local Economy, Says the Executive Director of Catholic Charities in East Texas
When the Deferred Action for Childhood Arrivals (DACA) policy passed in 2012, Nell Lawrence, the executive director of Catholic Charities in East Texas, didn’t expect it to impact her life very much. DACA shields many young undocumented immigrants from deportation and allows them to work here legally. But Lawrence expected… Read More
Texas Economy Would Collapse if Immigrants Left,’ Says U.S. Businessman
As a businessman and humanitarian, John Kafka sees a dire need for immigration reform. As CEO of Chamberlin Roofing & Waterproofing, a Houston-based company with 700 employees, he struggles to find and maintain a dedicated, legal workforce. As board chair of Catholic Charities in Houston, he has watched immigrants… Read More
Contractor Sees Firsthand How Draconian Immigrant Laws Hurt Arizona’s Economy
In 2012, Luis de la Cruz was at a banquet in Washington, D.C., being held to recognize minority-owned businesses. But when guests learned that he was from Arizona, they walked away in disgust. The state’s recently enacted anti-immigration bill had poisoned his reputation. “The only thing that happens” when… Read More
Third-Generation Georgia Farmer Says The Health of the Agriculture Industry Depends on Immigration Reform
Gerald Long is a third-generation Georgia farmer who has come up with a unique solution to the challenge of finding enough workers to harvest his vegetable crops: About 30 years ago, he started inviting the public to pick his red Irish potatoes, squash and snap beans at his farm. For… Read More
Immigration Policy Standing in Way of Important Construction Work at Austin-Bergstrom International Airport
In early 2016, Chasco Constructors was bidding on a construction job at the Austin-Bergstrom International Airport. It was a big job for the Round Rock, Texas company, and a big opportunity—one that would require about 60 workers with clear background checks and good immigration status. “We just knew that was… Read More
Granting Legal Status Would Reduce Gang Crime and Help Economy, Says Prominent Houston Businessman
Stan Marek knows a thing or two about Houston. The long-time Republican is the CEO of the Marek Family of Companies, a group of construction businesses that stretch back nearly 80 years. “My grandparents built this business around developing a skilled labor force and working hard,” he says. Marek takes… Read More
Immigrants Make it Possible for Manufacturing Giant to Stay in Ohio — and Create American Jobs
When Atlapac, a manufacturer of plastic bags, was founded in Columbus, Ohio, in 1986, it was a small company: Only three machines and five employees. Today, its 60 machines and 80 employees manufacture 380 million bags a year. Chances are, you’ve got Atlapac bags in your home. Nestle dog treats?… Read More
New Americans in Cincinnati
On October 28, 2015, Cincinnati Mayor John Cranley and Cincinnati USA Regional Chamber of Commerce CEO Jill Meyer held a press conference to acknowledge the economic and demographic contributions immigrants have made in the Cincinnati metropolitan area. Drawing on data from a research report produced by New American Economy with the… Read More
Demographic Shifts
Over the last two decades, the size of the U.S.-born population with a high school degree or less has significantly decreased. This trend is particularly evident among young workers, ages 25-44, the group typically most capable of doing physically demanding work. As this population declined, however, the number of jobs for workers with that education level held steady. Thus, real and persistent gaps in the American workforce have opened up, especially in agriculture, hospitality, and meatpacking. Foreign-born workers—a group considerably more likely than natives to lack education beyond high school—step in to fill those jobs that would otherwise remain vacant.
Sources:
1 New American Economy, “A Crucial Piece of the Puzzle: Demographic Change and Why Immigrants are Needed to Fill America’s Less-Skilled Labor Gap,” March 2014. Available online.
2 Bureau of Labor Statistics, National Industry-Occupation Employment Matrix 2014-2024, April 2016. Available online.
Educational Breakdown of Foreign-Born and Native-Born Populations, 2014
Occupations Dependent on Immigrants
The foreign-born make up 16.5 percent of the working-age population in the United States. In some particularly labor-intensive fields, their role is much greater. From 2008 to 2012, for instance, immigrants made up 72.9 percent of field and crop workers. In other large industries, such as construction, foreign-born workers frequently take on the most physically demanding roles, while U.S.-born workers frequently prefer positions that require more English-language skills or experience in management or customer service. In fact, of the top 10 occupations with the largest share of immigrant workers, nine of them are labor-intensive in nature or involve repetitive, manual tasks.
Sources:
3 Author’s analysis of 2015 American Community Survey data.
Top 10 Occupations with Highest Share of Immigrant Workers, 20153
Help Wanted
Across communities and industries, employers report trouble finding enough workers. Between 2002 and 2014, the number of field and crop workers in America declined by 146,000, causing major labor shortages on U.S. farms. A rapidly aging population also strains the healthcare workforce, a problem likely to worsen as more Baby Boomers retire. In many fields, immigrants can and do help businesses find the workers they need to compete and grow.
Sources:
4 “2016/2017 Talent Shortage Survey: The United States Results,” ManpowerGroup, n.d., Available online.
5 Home Care Pulse. “2015 Private Duty Benchmarking Study.” April 2015.
6 New American Economy, "International Harvest: A Case Study of How Foreign Workers Help American Farms Grow Crops – and the Economy," May 2013. Available online.
Jobs Americans Won’t Do: Evidence from the North Carolina Farming Industry, 20116
The Impact on American Workers
Although long a controversial issue among academics and policymakers, there is widespread evidence that the presence of more immigrants with relatively low levels of education does not substantially displace U.S.-born workers. Instead, a greater supply of less-skilled immigrants is linked to a decrease in offshoring7 and an expansion of firms on U.S. soil8—resulting in net benefits for U.S.-born workers across the board. The unique way in which immigrants frequently slot into the workforce—gravitating toward more manual or repetitive tasks—also means an influx of less-skilled immigrants has only a moderate impact, if any, on the wages of less-educated U.S.-born workers, particularly over the long term. Instead, they compete most directly with other immigrant workers.9
Sources:
7 Gianmarco I.P. Ottaviano, Giovanni Peri, and Greg C. Wright, “Immigration, Offshoring and American Jobs," National Bureau of Economic Research, October 2010. Available online.
8 William W. Olney, “IMMIGRATION AND FIRM EXPANSION,” Journal of Regional Science 53 (2013), doi:10.1111/jors.12004.
9 Heidi Shierholz, “Immigration and Wages: Methodological Advancements Confirm Modest Gains for Native Workers,” February 4, 2010. Available online.
10 Ibid.
11 Findings come from an NAE report that examines the benefit of a one standard deviation increase in birthplace diversity among workers in the bottom half of all earners in a given workplace or metropolitan area. More details can be found in the full report, available here.
12 Based on an analysis of 1998-2008 data; William W. Olney, “IMMIGRATION AND FIRM EXPANSION,” Journal of Regional Science 53 (2013), doi:10.1111/jors.12004.
Estimated Impact of Immigration on the Wages of Less-Educated Workers, 1994-200710
Wage Impact Felt by Employees in the Same Workplace or City When the Lowest Paid Workers Become More Internationally Diverse11
Number of New Establishments that are Created when the Share of Less-Educated Immigrants in a Metropolitan Area Rises by 10 Percent12
Costs of a Farmworker Shortage
In 2014, more than 56 percent of entry-level farmworkers in the United States were immigrants. Given this, changes in immigrant labor supply tend to ripple across the U.S. agriculture economy. In the last decade, a 75 percent slowdown in the arrival of young, low-skilled immigrant farmworkers meant shortages for entry-level field and crop positions. Many farmers report that the H-2A visa program, which allows the recruitment of foreign-born farmworkers, is too cumbersome and expensive—leaving them few ways to replenish their workforce. The result is many farms cutting their production of fresh fruits and vegetables.13
Sources:
13 “NCAE Survey of 2010 H-2A Employers - Final Summary," National Council of Agricultural Employers, December 2011. Available online.
Decline of Field and Crop Workers in Key States, 2002-2014
Inadequate Visa Programs
Although immigrants already help fill gaps in the U.S. labor force, our current immigration system does not allow employers to recruit enough of the specific workers they need. Employers can sponsor low-skilled workers for an agricultural visa (the H-2A visa), or for a visa designed to meet seasonal demand at venues like hotels, amusement parks, and ski resorts (the H-2B visa). Both programs, however, are cumbersome and outdated. And many of the fields that struggle the most to find workers, including healthcare and construction, lack a dedicated visa altogether. Improvements must be made so more industries—and specific geographies—can recruit temporary foreign-born workers when no Americans are available for the job.
Sources:
14 “NCAE Survey of 2010 H-2A Employers - Final Summary, "National Council of Agricultural Employers, December 2011. Available online.
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