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When ICE ramped up enforcement, US-born workers didn’t see any economic gains

Researchers found a 4% drop in employment for likely undocumented workers in sectors hit by ICE raids, with no measurable wage gains for U.S.-born workers.

  • Increased ICE enforcement activity during President Trump's second term caused a 4% drop in employment rates for undocumented workers in agriculture, construction, manufacturing, and wholesale sectors.
  • The percentage of apprehensions conducted in public spaces—streets, workplaces, and courthouses—more than doubled, rising from 19% to nearly 50%, as ICE arrests became more indiscriminate and visible.
  • A Wharton study found consumer spending dropped 6.2% weekly in heavily impacted areas, while Pew Research reported 43% of foreign-born respondents feared deportation, creating widespread labor market chilling effects.
  • Research shows mass deportations do not create new job opportunities for Americans; employment and wage growth stagnated in construction during 2025 despite enforcement efforts.
  • Treasury Secretary Scott Bessent claimed in July 2025 that immigration suppressed wages for working-class Americans, yet Minneapolis officials estimated the city lost US$203 million in economic activity.
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When ICE ramped up enforcement, US-born workers didn’t see any economic gains

(The Conversation is an independent and nonprofit source of news, analysis and commentary from academic experts.)

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RealClearMarkets broke the news on Friday, May 29, 2026.
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