Skip to comments.Report: American Born Workers Struggle To Compete With Immigrants
Posted on 06/27/2014 5:37:41 AM PDT by PoloSec
The number of U.S.-born workers has steadily decreased since 2000, causing the labor force participation rate to reach its lowest rate since records have been maintained, according to a new report.
The Center for Immigration Studies released a study to mark the one-year anniversary of the passage of the Senate Gang of Eight immigration bill on Friday, discrediting the notion that adding millions more workers through comprehensive immigration reform is necessary due to a coming labor shortage.
Analyzing statistics from the Census Bureau, the report found that native-born U.S. citizens have struggled to compete with both illegal and legal immigrants for more than a decade.
The findings show that employment growth has been weak over the last 14 years and has not kept pace with population growth and new immigration, the report said. Among the working-age (16 to 65), what employment growth there has been has entirely gone to immigrants (legal and illegal).
This is truly remarkable because natives accounted for two-thirds of overall population growth among the working-age population, it said.
According to the Census Bureaus Current Population Survey, there are 17 million fewer working-age natives with a job than there were in 2000. That year there were 131.9 million people in the working age population who were employed. The number has only grown by 5.6 million since, despite the addition of 25.7 million workers due to population growth.
In short, natives accounted for two-thirds of the growth in the number of potential workers, but none of the growth in the number of actual workers, the report said.
The labor force participation rate for working-age natives also shows a steady deterioration, declining from 77.1 percent in 2000 to 71.5 percent today.
Among working-age natives, labor force participation is the lowest it has been since the CPS began identifying immigrants and natives in 1994, the report said.
Immigrants have fared much better, as a disproportionate share of employment growth went to immigrants since 2000.
All of the net increase in employment went to immigrants in the last 14 years partly because, even before the Great Recession, immigrants were gaining a disproportionate share of jobs relative to their share of population growth, the report said.
According to the Census Bureau data, the number of employed immigrants has risen by 5.7 million since 2000.
Prior to the recession between 2000 and 2007, the number of natives holding a job increased 2.9 percent while the number of immigrants with jobs increased 28.7 percent.
Furthermore, since the jobs recovery began in 2010, 43 percent of employment growth has gone to immigrants, the report said.
The findings in this report are shocking, and represent a dramatic indictment of immigration policy in Washington D.C., Sen. Jeff Sessions (R., Ala.) said in a statement. This report also underscores the economic catastrophe that would have ensued had the Gang of Eights legislation, passed in the Senate one year ago today, been moved through the House and signed into law.
Young American-born citizens have especially felt the impact of unemployment.
Among young natives 16 to 24 years old the share holding a job was 12.4 percentage points lower in 2014 than it was in 2000, the report said.
8.7 million native college graduates, 17 million with some college, and 25.3 million with only a high school diploma are not working.
[Y]oung people, particularly the less educated, have not found jobs over the last 14 years, the report said.
The Center for Immigration Studies points to a variety of factors for why immigrants have done better in the U.S. job market than native-born Americans, including government programs that incentivize the hiring of legal and illegal immigrants.
The report references the Summer Work Travel Program, which allows employers to hire temporary workers without having to pay into Social Security and Medicare. The H1-B visa program also does not allow immigrants to change jobs easily, allowing employers to take advantage of the program.
Immigrants may also be more willing to work off the books, for lower pay, or endure worse working conditions than natives, causing employers to prefer them as workers, the report said.
While noting that the Gang of Eight bill would make the employment situation worse for Americans, the report adds that the current system is impeding job growth.
[G]iven that the labor force participation for natives shows an almost uninterrupted 14-year decline, it seems unlikely that labor force participation will ever return to the 2007 or 2000 level, particularly if immigration stays at its current level, the report said.
There is no doubt that a long, sustained period of high immigration, combined with increased automation and the offshoring of jobs, has produced a loose, low-wage labor market, Sessions said. In spite of this, the president continues to champion legislation that would place further substantial downward pressure on wages.
The sensible, conservative, fair thing to do after 40 years of record immigration is to slow down a bit, allow assimilation to occur, allow wages to rise, and to help workers of all backgrounds rise together into the middle class, he said.
The Chamber of Commerce & WSJ will just whip out the ‘immigrants as scapegoats’ canard and rub salt in the wound.
The American born workers are disadvantaged by things like having to follow laws and stuff like that.
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Ant to top it all off:
PELOSI TO GREET NEW ARRIVALS AT BORDER
U.S. workers are disadvantaged by having to pay income taxes to this lousy federal government instead of getting paid in cash that is tax-free. Illegals can work cheaper and still make money that way. The taxpaying citizens pay for the education, medication, and incarceration of the illegals. That’s how it works in Texas.
George Soros always said that the USA was the biggest obstacle to his global dictatorial Utopia.
I am told in Boston skilled nurses aids who once commanded 16 to 20 per hour are being replaced by immigrants at 13 dollars an hour.
In a just, reasonable world there'd be a moratorium - one generation at least - to allow integration of those who have arrived legally over the past decades. Illegals would go straight back home.
The benefits to this country would be immense.
But we no longer live in a reasonable world.
If all foreign nationals in the USA were to become legal many would probably be fired.
If someone working at a company 10 years under the table starts working as a statutory employee wouldn't the employer be liable for back payroll and other taxes?
Exactly. This is when the special interests of the open borders lobby takes over the government on both sides of the aisle. They have been sold to the highest bidder.
It is finally at the breaking point. The government no longer works for the middle class citizen taxpayer whatsoever.
This country is being destroyed right before our eyes by feckless politicians only concerned with power and their bank accounts.
That is because the Kenyan Squatter is looking long term, not short term. The left will have their permanent underclass that will forever get government benefits (collected from those who actually work and funneled to those who vote for them). They will control all three branches of government for the foreseeable future. They will then set the minimum wage at whatever they want it to be. Their argument is that such will create an increased middle class. But we know that it will lead to runaway inflation and further destruction of the middle class. That is the goal of the community organizer who hates the United States of America.
In the engineering world probably 20% of all workers are foreign with many projects outsourced overseas. Wanna know why the quality of so many products sucks and no American kid really wants to enter college as an engineer?
This is exactly why I’ve changed my mind on minimum wage laws.
American low-skill workers desperately need them to compete in the new low-skill labor market that is rigged against Americans
It’s actually more attractive for an employer to hire an illegal alien, because they’ll work off the books and for less money.
What kind of moron who failed Eccon 101 asserts that this is “just the free market in action?”
In a true free market, everyone would work “off the books.” But only Americans are hamstrung by government rules and taxes that cost money. So it’s NOT a free market. There’s a black labor market that pits those in the country illegally who pay no taxes against Americans.
And the American will be underbid for the job every time.
Since the government refuses to do its job and enforce immigration law, the only protection American motel maids and burger flippers have is a government that will enforce a minimum wage.
The Democrats and Establishment GOP hate traditional Middle-class Americans that demand things like accountability, liberty, prosperity, and firearms. They mean to do us in.
Sources: U.S. Census Bureau; Statistical Yearbook, Bureau of Citizenship and Immigration Services Average 195,000 per year from 1921-1970
We have 22 million immigrants in the workforce with an estimated 8 million of them being illegal aliens. By increasing the supply of labor between 1980 and 2000, immigration reduced the average annual earnings of native-born men by an estimated $1,700 or roughly 4 percent. Among natives without a high school education, who roughly correspond to the poorest tenth of the workforce, the estimated impact was even larger, reducing their wages by 7.4 percent. The reduction in earnings occurs regardless of whether the immigrants are legal or illegal, permanent or temporary. It is the presence of additional workers that reduces wages, not their legal status.
We need to focus more on legal immigration. We bring in 1.1 million legal permanent immigrants a year and have been since 1990. If we had a shortage of labor, wages would be going up, not down. We need a drastic reduction in LEGAL IMMIGRATION.
We need a drastic reduction in LEGAL IMMIGRATION.
We need a drastic reduction in ALL IMMIGRATION.
Agree. I don’t consider illegal aliens to be immigrants. They are lawbreakers and should be deported.