U.S. States That Could Have Greatest Benefit from Immigrant Labor

This blog has published many posts about the U.S. need for immigrant labor.[1] Now a Washington Post article supplies a national statistical analysis of that need.[2]

The article opens with the following general statements:

But this “shortage is not distributed evenly across states.” Here is a list of the 15 states with the most shortage measured by unemployed workers for every 100 job openings:

Rank State Unemployed Workers for Every 100 Job Openings
1 South Dakota 29
2 Maryland 32
3 North Dakota 36
4 Vermont 37
5 New Hampshire 40
6 Nebraska 40
7 Alabama 40
8 Maine 43
9 Massachusetts 43
10 South Carolina 43
11 Montana 47
12 Virginia 47
13 Tennessee 50
14 Colorado 50
15 District of Columbia 50

“Generally, it is the states with fewer immigrants that are experiencing the most severe labor shortages.” Many of them also suffer from an aging population and thus a native labor force that is hardly growing. Yet the state with the greatest need for workers, South Dakota, has a governor, Kristi Noem, who “ is doing all she can to keep foreigners out, sending troops from the state National Guard to ‘stand alongside’ troops from Texas at the ‘war zone’ at the southern border.”

It also is instructive to look at the following list of the top U.S. industries with foreign-born workers.

Industry Share of Foreign-Born Workers
Construction 30%
Transportation & warehousing 25%
Accommodation & food services 24%
Manufacturing 21%
Wholesale trade 19%
Health care & social assistance 18%
Real estate & rental 17%
Information 17%
Retail trade 16%
Finance & insurance 16%
Educational services 14%
Arts, entertainment & recreation 13%

“Of course for migrants to help, they must be legally allowed to work, and the U.S. laws and bureaucracy for same is drastically in need of reform, and Republicans in control of the U.S. House of Representatives have been blocking that effort.

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[1] See, e.g., these posts to dwkcommentaries.com:Washington Post Editorial: Improving U.S. Asylum Law and Procedures (Nov. 28. 2023);Migrants from All Over Flocking to U.S. (Nov. 4, 2023);100,000+ Cubans Obtain Humanitarian Parole in U.S. (Oct. 23. 2023); Congressional Dysfunction Hampers U.S. Immigration Policies and Actions (Oct. 7, 2023); U.S. Has Long-Term Labor Crisis (Sept 26, 2023);Overwhelmed U.S. Immigration Court System (Sept. 1, 2023); Increasing Migrant Crossings at U.S. Border Call for Legal Change (Aug. 16, 2023); Wall Street Journal Editorial: U.S. Needs More Immigrants (July 25, 2023);Iowa State Government Encouraging Refugee and Migrant Resettlement (Feb. 3, 2023); Other States Join Iowa in Encouraging Immigration to Combat Aging, Declining Population (Feb. 22, 2023).

[2]  Porter & Zhou, Here’s which states could benefit most from migrant labor, Wash. Post (Feb. 14, 2024),

 

More Details on U.S. and Other Countries’ Worker Shortages

This blog already has discussed the current declining and aging populations of many countries, and their impact on employment in those countries. [1]

Here are some additional articles on these subjects.

Wall Street Journal Analysis [2]

“Employers in healthcare, education, leisure and hospitality and other services such as dry cleaning and automotive repair . . . [accounted] for 63% of all [recent U.S,] private-sector job gains. .. . In January alone, restaurants and bars added a seasonally adjusted 99,000 jobs. The healthcare industry grew by 58,000, and retailers added 30,000 jobs.”

This result is helped by “more workers . . .searching for jobs: bigger paychecks and benefits, diminishing fear of getting sick, and financial worries amid high inflation.” Also “more women are flowing back into the labor force, which could help service-sector employers fill positions that traditionally have been held by women.”

Increased U.S. Immigration [3]

Last year U.S. net immigration increased by about a million people, and the “foreign-born work force grew much more quickly than the U.S.-born work force.” This “helped power the job recoveries in leisure and hospitality and in construction, where immigrants make up a higher share of employment, and where there were bigger increases in wages and job vacancies.”

This employment result happened despite the inadequate staffing of the U.S. immigration agencies, resulting in huge delays in acting on asylum applications as well as those for green cards and work permits. “One of the few industries with unlimited immigrant visas is agriculture, where the number of guest worker visas “has risen by double-digit percentages over each of the last few years, reaching 371,000 in 2022.”

Difficulties in Raising Birth Rates [4]

Echoing the pessimism of Ross Douthat of the New York Times caused, in part, by China’s recent declining birth rate and population, other Time’s authors say, “History suggests that once a country crosses the threshold of negative population growth, there is little its government can do to reverse it. And as a country’s population grows more top-heavy, a smaller, younger generation bears the increasing costs of caring for a larger, older one. . . . That’s because the playbook for boosting national birthrates is a rather thin one. Most initiatives that encourage families to have more children are expensive, and the results are often limited. Options include cash incentives for having babies, generous parental leave policies and free or subsidized child care.”

This more recent Times article claims, “many young Chinese are not interested in having large families. Vastly more young Chinese people are enrolling in higher education, marrying later and having children later. Raised in single-child households, some have come to see small families as normal. But the bigger impediment to having a second or third child is financial, [and] many parents cite the high cost of housing and education as the main obstacle to having more children.”

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[1]  See these posts to dwkcommentaries.com: Another Defining Challenge of the 21st Century (Jan. 28, 2023); Skepticism About Douthat’s Defining Challenge of the 21st Century (Jan. 30, 2023); Comment: Developments in Africa and Italy Accentuate Douthat’s Concerns (Jan. 31, 2023); Iowa State Government Encouraging Refugee and Migrant Resettlement (Feb. 3, 2023);Comment: National Worker Shortages in U.S. (Feb. 3, 2023); Economists Surprised by January’s  New Jobs Data (Feb. 4, 2023); Sub-Saharan Africa Is ‘New Epicenter’ of Extremism, Says UN,  (Feb. 8, 2023); Migrant Workers Being Paid Premium Wages in U.S. Tight Labor Market, (Feb. 8, 2023).

[2]  Cambon & Smith, Mass Layoffs or Hiring Boom? What’s Actually Happening in the Jobs Market, W.S.J. (Feb. 9, 2023).

[3] DePills, Immigration Rebound Eases Shortage of Workers, Up to a Point, N.Y. Times (Feb. 6, 2023).

[4] Jacobs & Paris, Can China Reverse Its Population Decline? Just Ask Sweden, N.Y. Times (Feb. 9, 2023).