How Deportations Help American Workers

If you're concerned about income inequality, you should be a fan of President Donald Trump's immigration policies.

Trump has been racking up wins on immigration. In May 2024, the Biden administration released more than 62,000 illegal immigrants into the country. Last month, the Trump administration released none. Would-be illegal immigrants know the border is closed, too. In May 2024, Border Patrol encountered almost 118,000 aliens on the southwest border. Last month, it was 8,725. That's a 92.6% decline. Illegal immigrants in the United States are leaving, too. Over Trump's first four months in office, Don Luskin with Trend Macro estimated that the foreign-born population had dropped by a bit under 800,000.

Not everyone is a fan of enforcing immigration laws. Companies in many industries are panicking about losing workers. Earlier this month, they even appeared to convince Trump.

"Our great Farmers and people in the hotel and leisure business have been stating that our very aggressive policy on immigration is taking very good, long time workers away from them, with those jobs being almost impossible to replace," he wrote on Truth Social. He pledged, "Changes are coming!"

Hours later, Trump reversed himself.

"I campaigned on, and received a Historic Mandate for, the largest Mass Deportation Program in American History," he wrote. "Polling shows overwhelming Public Support for getting the Illegals out, and that is exactly what we will do."

That's a good thing.

Since Trump took office, blue-collar workers have enjoyed their fastest wage growth in more than half a century. There are many factors in that statistic, and reducing immigrant labor is one of them.

Here's an example of why. In a Washington Post interview, Rachel Blumberg, the CEO of a Florida retirement community, said she anticipates losing almost 40 workers due to Trump's immigration policies. She plans to use higher wages, costing her company $600,000, to recruit new employees. In other words, as immigrant labor declines, wages for Americans go up. It's basic supply and demand.

Think about the trade-offs involved when an influx of illegal immigration pumps millions of unskilled workers into the labor force. Economically, this is great for many wealthy Americans. Business owners and CEOs who need to hire low-skilled workers can lower their labor costs. They're likely to earn higher profits or bonuses for reducing expenses. They can hire nannies and gardeners for less. Cheaper labor can reduce the cost of things like food and hotels.

Now, imagine that you're a low-skilled worker. The same influx of illegals that generates more income for some at the top hurts you economically. Your wages and potential job options plummet. This is why labor unions once opposed illegal immigration. You're more likely to disengage from the workforce, limiting future opportunities. As a final insult, the sudden increase in demand helps push home prices even further out of reach.

For many low-skilled Americans, the message of illegal immigration is that you aren't needed. America's elitists will import a cheap, foreign labor force to replace you. Little wonder that a 2024 Pew poll found less than 40% of low-income Americans believe the American Dream is possible.

It shouldn't be like this, and what Trump has accomplished shows it doesn't have to be. This dynamic helps explain Trump's popularity among blue-collar workers, especially among men.

The left constantly rails against the rich and for redistributionist policies. The irony here is that Trump's anti-illegal immigration efforts will shrink the wealth gap that the left claims to be so concerned about.

If you want to help low-income American workers, deport the illegal immigrants who undercut their wages.

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