Monday, May 28, 2012

Money & Business

Immigration reform: Who wins and who loses

By Marty Nemko
Posted 5/10/06

Immigration reform could give an estimated 12 million illegal immigrants in the United States the right to work in this country. Such a profound change in the American workforce would, of course, create winners and losers–and not just among unskilled workers. Here's how to prepare, whether you're an employee or a manager or are thinking of starting a business:

Winners

Entrepreneurs. As most business owners know, finding low-cost, reliable workers is a continual challenge. A flood of new immigrants would let employers be far pickier. "Employers already hire millions of illegals. Mass legalization will simply add to the pool of cheap, compliant labor for employers to choose from," says Mark Krikorian, executive director of the Center for Immigration Studies, a Washington think tank that advocates slowing immigration.

News You Can Use: If you're thinking of starting a business, consider one that uses low-skill workers who needn't speak much English, such as a construction or landscaping company or a restaurant. Food outlets may get an additional long-term boost from migrants—more low-paid laborers working in the agriculture and meat-processing industries are likely to drive down the cost of food.

Workers seeking government jobs. Thousands of government employees would be hired to administer the provisions of mass legalization and provide the government services that the largely low-income population of immigrants would want: English-language and bilingual/bicultural education programs, healthcare, public assistance, subsidized housing, and so on. And because government jobs are becoming the last bastion of job security and pensions, such positions may be particularly desirable.

News You Can Use: Learn Spanish, and work to understand Latino culture.

Illegal immigrants and their families. Illegal workers, on average, earn eight times as much as the average worker in Mexico. "As soon as they cross the border, they have no trouble finding a job," says Gabriel Escobar, associate director of the Pew Hispanic Center, which generally encourages expanded immigration. And if they became legal immigrants, their economic conditions would improve dramatically, according to Slavia Jimenez, policy analyst for the National Council of La Raza, a nonprofit that advocates for Hispanic rights. "They can organize for better wages and benefits." Of the 12 million illegals in the United States, the Pew Center estimates that nearly 6 million are dependents–mainly grandparents, spouses, and children. But they would benefit from mass legalization because they would become eligible for a wider range of taxpayer-provided services.

Losers

Teenagers. Mass legalization would take a particularly heavy toll on American teenagers, who often seek low-skill, after-school, and summer jobs at restaurants, construction firms, and retail outlets. Those launchpad jobs are an important part of training for success in life. Part-time jobs teach high school students that in the real world, there's no grade inflation–come in late and do sloppy work, and you're likely to be fired.

News You Can Use: Visit your high school's career center, or explore www.careervoyages.org to identify a potential career. Then, try to find a job or internship working for someone in that profession. For example, want to become a teacher? Get a job at a summer camp or in your city's local recreation department teaching kids something you enjoy–for example, sports or art.

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