The U.S. labor market is being aided by immigrant workers.

The U.S. labor market is being aided by immigrant workers.
The U.S. labor market is being aided by immigrant workers.
  • Last year, the Bureau of Labor Statistics reported that immigrant workers comprised 18.6% of the workforce, which is a new record.
  • Agriculture, technology, and health care are attracting many workers due to labor shortages in these fields.
  • Over the next decade, the influx of immigrant workers is expected to increase GDP by $7 trillion, according to government predictions.

The post-pandemic jobs market has been strengthened by the immigrant workforce in America, and as Americans age out of the labor force and birth rates remain low, economists and the Federal Reserve emphasize the significance of immigrant workers for future economic growth.

Last year, the Bureau of Labor Statistics reported that immigrant workers comprised 18.6% of the workforce, marking a new record. Immigrants are filling open positions in agriculture, technology, and healthcare, where there has been a shortage of workers.

Although the U.S. added fewer jobs than expected in April, the labor force participation rate for foreign-born workers increased slightly to 66%.

The labor force is not growing enough due to a decline in birth rate and a lack of workers taking jobs, according to Jennie Murray, CEO of the National Immigration Forum.

The influx of immigrant workers is projected to increase U.S. output and boost gross domestic product by $7 trillion over the next decade, according to Congressional Budget Office director Phillip Swagel in a February statement accompanying the 2024-2034 CBO outlook.

The labor force in 2033 is expected to be 5.2 million larger due to higher net immigration. This will result in an estimated increase of $7 trillion in GDP and $1 trillion in revenues from 2023 to 2034 compared to what would have been otherwise. We are still evaluating the impact of immigration on revenues and expenditures.

'Huge competition'

Goodwin Living, a nonprofit faith-based eldercare facility in Northern Virginia that serves 2,500 older adults daily, heavily relies on immigrant workers. With 40% of its 1,200 employees being foreign-born, representing 65 countries, according to CEO Rob Liebreich, the facility will need even more workers to fill the gaps as Americans age and require assistance.

"One expert predicts that approximately 70% of 65-year-olds will require long-term care in the future. To meet these needs, Liebreich suggests that we need a lot of help. Currently, the best way to find this assistance is through individuals from other countries, who are highly skilled and in high demand."

Goodwin's citizenship program, launched in 2018, offers financial resources, mentorship, and tutoring to workers seeking U.S. citizenship. As of now, 185 individuals - 160 team members and 25 of their family members - have either obtained citizenship or are in the process of doing so through Goodwin.

Four years ago, Wilner Vialer, 35, started working at Goodwin as an environmental services team lead, where he sets up and cleans rooms. Vialer, who immigrated to the U.S. 13 years ago from Haiti, lost his job during the pandemic but was given an opportunity at Goodwin due to his mother's employment at the facility.

The Goodwin Living Foundation covered Vialer's U.S. citizenship application fee of $725 after he worked there for six months, and his 15-year-old daughter received a citizenship grant and became a U.S. citizen in 2023.

Vialer's desire is for his wife to reunite with the family in Haiti, where they have been apart for six years.

""This job supports me financially, allowing me to help my family back home," Vialer said."

Goodwin team members who become U.S. citizens are not obligated to remain with the facility, but those who do stay are there for an average of 20% longer than those who do not participate in the program, Liebreich stated. To remain competitive in a global economy, speeding up the path to citizenship is crucial, he emphasized.

To attract and retain the global workforce we need, we must simplify the process, according to Liebreich.

In November, immigration will be a major issue on the presidential campaign trail and for voters. Both President Joe Biden and former President Donald Trump have recently visited the southern border to address the growing number of migrants entering the country.

by Kate Rogers

Markets