The United States has experienced a surge in job growth thanks to immigration, with 303,000 jobs added in March alone. This brings the 2024 average to 276,333 jobs per month, surpassing last year’s average and pre-pandemic averages. However, there are concerns about the sustainability of this job growth rate.
Before the pandemic, it was believed that adding between 60,000 and 100,000 jobs per month would be sufficient to keep up with population growth and the retirement of the Baby Boomer generation. A recent report from the Brookings Institution suggests that the sustainable range for employment growth should be higher, between 160,000 and 200,000 jobs per month. This increase is attributed to stronger immigration flows, which have enhanced the economy’s capacity.
Immigrants have played a significant role in this job growth spree. According to Greg Daco, chief economist at EY-Parthenon, immigration has led to a record high number of employed foreign-born workers as of March. There are currently around 31.1 million foreign-born workers in the labor force, compared to 295 million native-born workers. The labor force participation rate for foreign-born workers was 65.9%, compared to 62% for native-born workers.
Brett House, a professional practice professor at the Columbia Business School emphasized that immigrants bring productivity gains through technological innovation and refinements.
He highlighted that immigrants account for over one third of new business founders in major U.S cities like New York City and Los Angeles.
In conclusion, immigration has played a significant role in increasing job opportunities in the United States. While concerns about sustainability persist, recent data shows that net immigration growth is bringing benefits to American society through increased productivity and entrepreneurship.
