Labor Migrants

Abstract

This study explores the relationship between migration and household resilience during a global crisis that eliminated the option to migrate. We link prior data from four populations in Bangladesh and Nepal to new phone surveys conducted during the early months of the COVID-19 pandemic. While earnings fell universally, pandemic-induced declines were 14%–25% greater among previously migration-dependent households and urban migrant workers, with household remittance losses far exceeding official statistics. Heightened economic exposure during the pandemic erased prior gains achieved by transnational migrants and caused fourfold greater prevalence of food insecurity among domestic subsistence migrants. Economic distress spilled over onto non-migrants in high-migration villages and labor markets. We show that migration contributed to economic contagion independent of its role in disease transmission. Losing the option to migrate differentially increased the vulnerability of migration-dependent households during a crisis.

Read more here. 

Geographic mobility is a key component of labor supply elasticity. In this paper we document a reversal in the relative migration elasticity of Mexican-born workers in the U.S. In 2000–2010, Mexican immigrants’ choice of location within the U.S. was more responsive to local economic conditions than that of native-born Americans, with the gap expanding over the decade. This pattern subsequently reversed, and by 2020 native-born workers had a greater internal migration elasticity than their Mexican-born counterparts. This reversal is unique to immigrants of Mexican origin and not explained by the occupational or demographic composition of the Mexican-born labor force.

Read more here.

Abstract: This study explores the relationship between migration and household resilience during a global crisis that eliminated the option to migrate. We link prior data from four populations in Bangladesh and Nepal to new phone surveys conducted during the early months of the COVID-19 pandemic. While earnings fell universally, pandemic-induced declines were 14–25% greater among previously migration-dependent households and urban migrant workers, with household remittance losses far exceeding official statistics. Heightened economic exposure during the pandemic erased prior gains achieved by transnational migrants and caused fourfold greater prevalence of food insecurity among domestic subsistence migrants. Economic distress spilled over onto non-migrants in high-migration villages and labor markets. We show that migration contributed to economic contagion independent of its role in disease transmission. Losing the option to migrate differentially increased the vulnerability of migration-dependent households during a crisis.

Read more here.

Abstract: Why do farm workers become more vulnerable as countries get richer? As countries get richer, the share of workers employed in agriculture falls. In richer countries, hired farm workers do ever more of the work on the fewer and larger farms that produce most farm commodities.

These hired workers are among the most vulnerable. They include local workers who lack the skills and contacts needed to get nonfarm jobs that usually offer higher wages and more opportunities as well as legal and unauthorized migrants from poorer countries who may not know or exercise their labor-related rights. Government enforcement of labor laws depends on complaints, and vulnerable workers rarely complain.

The Prosperity Paradox explains why farm worker problems often worsen as the agricultural sector shrinks, and lays out options to help vulnerable workers. Analysis of farm labor markets in the US, Mexico, and other countries shows that unions and fair trade efforts to protect farm workers cover a very small share of all workers and are unlikely to expand quickly.

Most labor-intensive fruits and vegetables are eaten fresh. Unsafe food that sickened consumers led to voluntary industry and later government-mandated food safety programs to ensure that food is safe when it leaves the farm, with protocols enforced by both government inspectors and buyers who refused to buy from non-compliant farms. This food safety model offers the most promise to launch a new era in protective labor policies.

Read more here.

Abstract

Low-wage Latina/o workers are subject to an array of workplace abuses. This study focuses on whether educational attainment may moderate inequality in knowledge or claims-making across individuals with different legal statuses. This question is motivated by research which, while highlighting the role of education in promoting civic and political engagement, has not examined the interaction between education and legal status for worker claims-making. We draw from the 2008 Unregulated Work Survey, which is representative of the 1.64 million low-wage workers in Chicago, Los Angeles, and New York, three of the largest immigrant destinations in the United States. Using the Latina/o subsample, we test whether education impacts workers’ procedural knowledge of the claims process, as well as their actual claims-making behavior, across four categories of workers: U.S.-born citizens, naturalized citizens, documented noncitizens, and undocumented noncitizens. Our findings reveal that all noncitizens have lower levels of procedural knowledge about how to file a complaint with the government, compared to citizens, across educational levels. However, when it comes to claims-making, we find that education has significant positive impacts for noncitizen workers, especially the undocumented. Our results suggest that education may improve the workplace agency of even the most marginalized workers.

Read more here.

Abstract

In this paper we document the impact of immigration on political support for welfare state expansion, using national election data of twelve European countries between 2007 and 2016. We match individual information on party voting with a classification of the political agenda of 126 parties during 28 elections. We first investigate the impact of local immigration on individual voting behavior, keeping the political platform of parties fixed. We then shift focus from voters to political parties, and investigate how immigration affects the political agenda of European parties. To attenuate omitted variable and selection bias concerns, we implement an instrumental variable approach that exploits cross-regional variation of immigrant settlements in 2005, along with the skill and nationality composition of recent immigrant flows. We find that larger inflows of highly educated immigrants are associated with European citizens shifting their votes toward parties that favor expansion of the welfare state. On the other hand, inflows of less educated immigrants induce European parties to endorse platforms less favourable to social welfare.

Read more here.

Abstract: As countries develop, agriculture’s role as domestic employer declines. But the broader agri-food system also expands, and the scope for agriculture-related job creation shifts beyond the farm. Historically, technological revolutions have shaped, and have been shaped by, these dynamics. Today, a digital revolution is taking hold. In this process of structural transformation, societies evolve from having a surplus to a shortage of domestic farm labor, typically met by foreign agricultural wage workers. Yet anti-immigration sentiments are flying high in migrant-destination countries, and agricultural trade may be similarly challenged. Robots in the fields and packing plants offer an alternative to a diminishing labor supply. COVID-19 will reinforce trends of digitization and anti-globalization (including in food trade), while slowing economic growth and structural transformation. In the world’s poorest countries, particularly in Africa, labor productivity in agriculture remains at historically low levels. So, what role can the agri-food system play as a source of employment in the future? This viewpoint elaborates on these trends and reviews several policy options, including inclusive value chain development, better immigration policies, social insurance schemes, and ramp up in agricultural education and extension.

Read more here.

Abstract

Recent technological changes have been characterized as “routine-substituting” because they reduce demand for routine tasks and increase demand for analytical and service tasks. Little is known about how these changes have impacted immigration, or task specialization between immigrants and native-born individuals. In this paper, we show that such technological progress has attracted immigrants who increasingly specialize in manual-service occupations. We also suggest that openness to immigration attenuated the job and wage polarization faced by native-born from technological changes. We explain these facts with a model of technological progress and endogenous immigration. Simulations show that unskilled immigration attenuates the drop in routine employment proceeding from technological change, enhances skill upgrading for native-born and raises economy-wide productivity and welfare.

Read more here.

Abstract

In this article, we review the internal geographic mobility of immigrants and natives in the United States in the recent decades, with a focus on the period since 2000. We confirm a continuing secular decline in mobility already pointed out by the existing literature, and we show that it persisted in the post great recession period. We then focus on foreign-born and establish that, on average, they did not have total mobility rates higher than that of natives. However, their mobility response to local economic conditions was stronger than the response of natives in the period from 1980 to 2017. A review of recent research reveals that the higher elasticity of mobility of immigrants to economic conditions is a combination of lower sensitivity to local prices, higher propensity to move in the early years after immigration, and strong economic success of cities that were immigrant enclaves in the 1980s.

Read more here.

Emigration of young, highly educated individuals may deprive origin countries of entrepreneurs. We identify exogenous variation in emigration from Italy by interacting past diaspora networks and current economic pull factors in destination countries. We find that a one standard deviation increase in the emigration rate generates a 4.8% decline in firms creation in the local labor market of origin. An accounting exercise decomposes the estimated effect into four components: subtraction of individuals with average entrepreneurial propensity, selection of young and college-educated among emigrants, negative spillovers on firm creation and selection on unobservable characteristics positively associated with entrepreneurship.

Read more here.