USA Immigration: Role of immigrants and US-born children in American economy – Investing Abroad News

Immigrants in America hold a lot of potential for the country and have been instrumental in reshaping the economy and workforce in the US. Indian immigrants in the U.S., such as Sundar Pichai and Satya Nadella, have significantly influenced the tech industry.

The U.S. population is aging as a result of birth rates that have fallen below replacement levels. Falling birth rates also mean that U.S. population growth and by extension U.S. labor force growth, is slowing.

In this context, immigration and the birth of children in the United States to immigrant parents are key to sustaining the growth of the country’s younger population. In fact, immigrants and their U.S.-born children were already responsible for all growth in the under-55 population between 2000 and 2023.

Almost 5.4 million visas were issued to migrants to enter the United States in fiscal years (FYs) 2021–23 as lawful permanent residents or on longer lasting temporary visas, such as the H-1B visa for high-skilled specialty workers.

Migration Policy Institute report examines the projected educational demands of future U.S. jobs and how well the education and training of today’s workers meet those demands. The report notes that the country’s 47.6 million workers who are immigrants or the U.S.-born children of immigrants already play a vital role in meeting U.S. workforce needs, with large numbers well positioned to meet future demand.

Immigrant-origin workers accounted for 29 percent of the overall U.S. workforce in 2023, up from 19 percent in 2000. With U.S. birthrates falling, immigrants and their U.S. born children accounted for the entire growth of the prime working-age (25-54) population between 2000 and 2023—a population that otherwise would have shrunk by more than 8 million people.

Key Findings

Recently arrived immigrants (those entering in 2020 or later) may be among the best prepared for the college attainment requirements of future jobs: 41 percent held a bachelor’s degree or higher, as compared to 36 percent of the third-and-higher generation (those born in the United States to U.S.-born parents). These adults will be well positioned to pursue jobs in fast-growing, high-skilled STEM occupations.

While immigrant-origin adults made up 29 percent of all workers in 2023, they represented 36 percent of those in food and personal services occupations and 34 percent in health-care support and blue-collar occupations.

Among the 29.8 million immigrant-origin adults without post-secondary education or training, many are first-generation immigrants who would need to obtain a high school diploma or its equivalent before considering post-secondary options.