What to Know Wednesday

The U.S. Economy Is Feeling the Loss of Foreign Workers

As U.S. immigration enforcement ramps up under recently passed legislation, American employers across multiple sectors are reporting widespread labor shortages.  The cause, according to industry leaders and policymakers interviewed by Politico, is the steady loss of foreign-born workers due to stricter immigration laws, expanded deportations, and delays in visa processing.

These shifts are directly tied to new policies enacted through the “One Big Beautiful Bill”, which prioritizes enforcement over legal immigration access.  Though the bill’s stated goal was "national security," economic fallout is becoming increasingly visible—especially in industries that have long relied on immigrant labor.

Why This Matters

The effects of labor shortages are already being felt across the country:

• Agriculture: Farmers report difficulty finding workers to harvest crops, raising concerns about supply disruptions
• Health Care: Nursing homes and rural hospitals are struggling to fill essential care positions
• Transportation and Logistics: Fewer available workers mean delivery delays and reduced trucking capacity
• Hospitality and Food Service: Businesses are cutting hours or limiting services due to lack of staff
• Construction and Manufacturing: Employers report fewer applicants for skilled labor positions, despite wage increases

According to economic analysts cited by Politico, reduced access to immigrant labor could lead to higher consumer prices in the second half of 2025.

What Is Causing the Labor Decline?

Several recent policy changes have directly impacted the availability of foreign workers:

• Expansion of E-Verify:  Employers are now required to verify employment authorization through DHS systems, with real-time alerts
• Increased ICE enforcement:  More audits, inspections, and worksite operations are creating fear in immigrant communities
• Rising immigration application fees:  Higher costs for visa, asylum, and green card applications are pricing out many eligible workers
• Delays in visa processing:  Backlogs at U.S. Citizenship and Immigration Services (USCIS) are slowing down hiring timelines
• Expansion of expedited removal:  Some long-term residents now face deportation without access to full hearings

These policy decisions have the consequence of reducing the available workforce during a time of low unemployment.

What Employers Need to Know

If your business is experiencing labor shortages, the following considerations are essential:

• Ensure full E-Verify and I-9 compliance to avoid costly penalties
• Do not take adverse employment actions based solely on E-Verify alerts—consult legal counsel first
• Prepare for delays in hiring foreign workers, especially in H-2A, H-2B, and EB categories
• Document recruitment efforts to show good-faith hiring practices
• Engage in policy advocacy through industry groups and chambers of commerce

What Immigrant Workers and Families Should Understand

If you are a foreign national living or working in the United States:

• Track the expiration of your work permit, visa, or I-94 regularly
• Speak with an immigration attorney if your employer receives a DHS alert or if you are contacted by ICE
• Retain records of your employment history and proof of continuous residence
• Begin renewal or adjustment applications early due to USCIS processing delays
• Seek information from verified legal aid sources—not social media rumors

Workers with valid immigration status may still face employment disruptions.  Legal guidance is key to protecting your rights and your future.

Final Note

The U.S. labor market is tightly linked to immigration policy.  As enforcement expands and legal pathways narrow, the economic cost is becoming clear:  fewer workers, slower growth, and increased pressure on essential services.

📩 If you are a business owner, employee, or job seeker affected by recent immigration changes, contact the Law Office of Julia L. Stommes at [email protected] for personalized legal support.

If you have questions about your visa status or if you are an employer exploring immigration options, we are here to help.  At the Law Office of Julia L. Stommes, we are committed to helping individuals and businesses navigate complex legal landscapes.
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The information provided in this blog is intended for general informational purposes only and should not be construed as legal advice.  To schedule a Consultation to discuss your legal immigration options, please email us at [email protected].