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June 2020 Newsletter

Do native workers fear that immigrants will take their jobs?

Do migrants take the jobs of native workers?

US President Donald Trump signed an executive order on Monday expanding a measure restricting visas to the US until December 31, 2020.

The order primarily affects H-1B visas, for high-skilled workers; H-2B visas, for seasonal employees; L-1 visas, for corporate executives; and J-1 visas, for scholars and exchange programs.

The new measures came into effect on Wednesday, 24 June but it is worth noting that there are broad exemptions for agricultural, health care, and food industry workers. In addition, the status of immigrants already in the US will not be affected.

The White House says the measures are needed to preserve jobs amid the economic downturn caused by the Covid-19 pandemic and estimates 525,000 American jobs will be saved or created as a result.

However, there is a threat that the jobs that these non-U.S. citizens
would have held are ones that U.S. workers can’t or won’t fill.

In addition, Abdurrahman B. Aydemir believes that high-skilled immigrants in the labor market can raise wages for low-skilled native workers struggling with declining labor market prospects. Here is an abstract from his IZA World of Labor article:

“Skilled immigrants increase the receiving country's human capital stock, boost returns on physical capital, and may spur research and innovation that increase the country's long-term economic growth prospects. Admitting high-skilled immigrants to fill short-term skill shortages in rapidly expanding skill-intensive sectors can improve industrial competitiveness and keep jobs in the country. Highly paid skill-based immigrants widen the tax base and help offset growing fiscal challenges, especially those associated with aging populations. These positive prospects help maintain public support for immigration, as opposition to immigration rises with perceptions of poor labor market performance and heavy welfare reliance.”

Read Abdurrahman B. Aydemir's article
Skill-based immigration, economic integration,
and economic performance

Find other articles about the impacts of
immigration on IZA World of Labor.

IZA World of Labor engages leading economists in a range of labor subjects across the world.

We invite journalists and policymakers seeking labor market expertise to get in touch directly with one of our designated topic spokespeople.

What is the economic impact of Covid-19 around the world?

Watch Editor-in-chief Professor Dan Hamermesh in conversation with authors on the impacts in Germany, Canada, Sweden and Spain:

The impact of Covid-19 in Germany

A conversation with Andreas Peichl.

The impact of Covid-19 in Canada

A conversation with Phil Oreopoulos.

The impact of Covid-19 in Sweden

A conversation with Helena Holmlund.

The impact of Covid-19 in Spain

A conversation with Juan Dolado.

Read some of our recent commentaries:

What if you saw reports of thousands of people volunteering as health workers in their communities?

Would you be inspired and join in or sit back knowing that others are filling the void?

Lockdowns and traffic accidents

Reduced economic activity is more likely to reduce mortality, not only by restricting the spread of the coronavirus, but also by reducing pollution, work-related injuries, and traffic accidents.

Effects of Covid-19 on spending and saving

Understanding how and why consumption spending and labor market outcomes have changed during the crisis is critical to informing public policy.

Labor markets in the Covid-19 pandemic: Western Europe and the US

There is a sharp divide between Western Europe and the US, with the UK assuming a position in between.

200 billion hours to spend: The Covid-19 opportunity to upskill

The most efficient strategies may be those which focus on relatively short courses, perhaps six months.

Covid-19’s impact on the economy: Measuring GDP during a pandemic

Correctly classifying the types of spending in the GDP accounts is important in assessing the fiscal stimulus needed to restore growth.

So happy together?

The evidence suggests that spending more time with a spouse is more enjoyable for married people than being alone or even being with friends.

Childcare during Covid-19

Most of the burden of additional childcare has been on mothers, who perform around ten hours more childcare per week than fathers.

Covid-19 and immigrant employment

The immigrant employment advantage has not only disappeared, but was actually reversed.

How can governments mitigate the global decline in labor income share?

While the labor income share has decreased for low-skilled workers, this has been concurrent with an increase for high-skilled workers.

The coronavirus crisis and the next generation

Youths graduating and entering the labor market this year risk experiencing considerable negative impacts on their careers.

The Covid-19 crisis exacerbates workplace injustices

Beyond unemployment, the crisis has already exacerbated inequality between workers and regions.

Measuring employment and unemployment—Primer and predictions

With the onset of the crisis and lock-downs, the unemployment rate has risen from 3.5% to 4.4%

What is happening to unemployment in the post-Covid-19 labor market?

This month, there is likely to be more than the usual amount of uncertainty about exactly what the data tell us.

The long-term consequences of missing a term of school

Labor markets during the Covid-19 crisis: A preliminary view

Why are so many unemployed choosing not to look for work now?

You can find more commentaries on coronavirus
on our opinion page

Articles relating to pandemics and the labor market:

To read more, consult our new key topic page Covid-19—
Pandemics and the labor market.

Visit our parent organization IZA for further analysis
and ongoing crisis response monitoring on the
COVID-19 and the Labor Market platform.

You'll find updated information, new empirical findings, and policy advice in response to the global coronavirus pandemic:

Latest articles

All one-pagers are also available to read and download in German. Find out more.

One-pagers are now available in Spanish. Take a look at the Spanish key topics page.

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However, there is a threat that the jobs that these non-U.S. citizens would have held are ones that U.S. workers can’t or won’t fill.

Read Abdurrahman B. Aydemir's article Skill-based immigration, economic integration, and economic performance

IZA World of Labor engages leading economists in a range of labor subjects across the world. We invite journalists and policymakers seeking labor market expertise to get in touch directly with one of our designated topic spokespeople.

What is the economic impact of Covid-19 around the world? Watch Editor-in-chief Professor Dan Hamermesh in conversation with authors on the impacts in Germany, Canada, Sweden and Spain: