Dallas Fed warns immigration crackdowns may be slowing Texas job growth
A construction worker moves lumber at a single-family home job site in the Rio Grande Valley, where builders say stepped-up immigration enforcement is worsening labor shortages. Photo Credit | Kristen Mosbrucker-Garza

Researchers inside the Dallas Federal Reserve found that a slowdown in immigration of foreign-born workers may be affecting the growth of the statewide labor market

About one in five businesses across Texas employs foreign-born workers, and a recent business survey conducted by the Dallas Federal Reserve found that about 13% of those companies experienced a negative impact from policy changes on immigration. 

About 60% of the Texas employers surveyed said that they were unable to hire qualified workers because individuals lacked legal work permits, while 38% said that employees missed work due to fear of immigration enforcement. Nearly half of employers told researchers that the shortage of immigrant labor has led to longer hours for existing workers, and one-quarter have decided to outsource the work. 

But two key industries that have long relied on foreign-born workers in the U.S. were not included in that research or in surveys: agriculture and construction. 

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