Wednesday, October 23

Florida's new anti-immigrant law could be disastrous for the economy

Governor Ron DeSantis has a crusade against undocumented immigrants in Florida.
Governor Ron DeSantis has a crusade against undocumented immigrants in Florida.

Photo: Joe Raedle/Getty Images

By: Laura Rodriguez

Posted Jul 25, 2023, 15:39 pm EDT

In May, Florida Governor Ron Desantis signed into law SB 1718, anti-immigrant legislation that has caused panic and uncertainty in the state’s immigrant community. The law, which went into effect on July 1 of this year, could harm not only undocumented immigrants in the state, but also Florida’s economy.

SB 1718 imposes stiff penalties on businesses with more than 25 employees if they don’t use E-Verify, in an attempt to crack down on businesses that hire undocumented workers. In addition, it provides additional funds for the controversial ?Unauthorized Alien Transportation Program? of the state, which infamously flew asylum seekers from Texas to Martha’s Vineyard under false pretenses. The law even invalidates certain out-of-state driver’s licenses and criminalizes crossing state lines into Florida with an undocumented family member as “human smuggling.” It is no surprise then that the climate of fear fostered by this law has caused some immigrants to leave the state altogether.

There are also many industries in which undocumented immigrants are overrepresented and form a large part of the workforce. These industries would likely face major challenges, including worker shortages, if undocumented workers were suddenly prevented from doing their jobs, which would affect all Americans. The Florida Policy Institute estimates that without the undocumented workers, labor-intensive industries in the state would lose 10 percent of their workforce. The loss of these wages could cause a $12.6 billion drop in Florida’s gross domestic product (GDP) in just one year (about 1.1%) and, in turn, reduce state and local tax revenue. It’s not hard to imagine this becoming a reality. Following the passage of the anti-immigrant bill, viral videos have shown nearly desolate construction and farm sites.

The reality is that undocumented immigrants play a crucial role in the workforce. Attacks on immigrant communities will only hurt America. If lawmakers focused their attention on actually fixing our broken immigration system, they could stimulate the economy. Our research shows that providing a path to citizenship for all undocumented immigrants in the US would increase GDP by $1.7 trillion over 10 years, create 438,800 new jobs, and raise wages for all US workers, regardless of immigration status. We should strengthen the economy, fix the broken immigration system, and honor the contributions of undocumented immigrants, instead of weakening our economy by needlessly scapegoating immigrant workers.

Laura Rodriguez is the vice president of government affairs at the Center for American Progress.