President Donald Trump’s mass deportation program is already having an effect on the job market, with gains going to Americans rather than foreign-born workers. The U.S. Department of Labor announced this month that “native-born workers have accounted for ALL job gains since January.”
In a recent podcast, economics editor and attorney John Carney explained that net job growth under the Biden administration went to foreign-born workers, but the Trump administration has reversed that trend. “When you are adding up all the people who gained and all the people who lost, the net increase in jobs is going to Americans,” Carney said. He continued, “Whereas, during the Biden administration, you had fewer Americans being employed every month and more foreigners being employed. So the net gain was all going to foreign workers, to migrants of some sort or another.”
“Now it’s going to Americans,” the veteran economics writer observed. He continued, “It’s going to native-born Americans. That’s actually quite interesting, too: it’s not just going to people who are legal residents of the United States, it’s actually going to … American-born people.” Carney added, “This is very important, again, because that’s fundamentally who the country is supposed to work for, for the people we have here. And it is working for them again, for us again.”
Carney further explained that wage growth is rising as more job growth goes to Americans. “One of the reasons wage growth gets bad is when businesses believe that they can just import new workers. They don’t give people raises because they say, ‘You know what? I’ve got more workers in the pipeline. I can just draw people over the border,’” he said. “So, without that, they have to start bidding against each other, basically a competitive bidding war for American workers. And that’s what we’re seeing in the wage gains.” Carney noted that “the wage numbers are now outpacing inflation, which is, again, the reverse of what we saw under Biden, where inflation consistently outpaced wage gains.”
Even Wendy Edelberg, a senior fellow in economic studies at the left-of-center Brookings Institution, admitted in an interview that mass deportations will drive up American earnings. “As a result of this immigration policy, we will have negative net migration, which is to say more people leaving the country than entering the country this year for the first time in many decades,” she observed. “We’re going to see stronger wage growth in some occupations, stronger wage growth in the agricultural sector, stronger wage growth for home health workers” due to the decreased share of foreign-born workers.
E.J. Antoni, chief economist at the Heritage Foundation’s Grover M. Hermann Center for the Federal Budget, told The Washington Stand, “Political pundits and commentators seem to forget that the labor market is a market, with outcomes determined by supply and demand. Mass deportations will include some unskilled labor, reducing the supply, and therefore putting upward pressure on price, which we call wages.” Antoni continued, “Again, these are simple market dynamics that apply everywhere, but people often pretend the labor market is somehow exempt from the laws of economics.” He added, “Of course, many illegal aliens aren’t working at all, so they’re not participating in the labor market and removing them from the country has no direct effect on the wage rate for unskilled labor.”
U.S. Bureau of Labor Statistics reports have demonstrated that, under the Biden administration, nearly 90% of job growth went to immigrants, not to Americans, with an estimated 60% of new jobs going to illegal immigrants. The Trump administration’s deportation raids have inspired many illegal immigrants to voluntarily leave the workforce in the U.S. and self-deport, resulting in measurably higher wages for Americans in blue-collar jobs.
AUTHOR
S.A. McCarthy
S.A. McCarthy serves as a news writer at The Washington Stand.
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