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Economic Benefits of Executive Action For CA
Economic Benefits of Executive Action For CA
Everyone agrees that our immigration system is broken and needs reform. While only Congress has the
power to fix the immigration system once and for all, until it acts, there are important steps the president
can take that will start fixing our system while also increasing tax revenues, and strengthening our
economy. Today, there are nearly 3.2 million undocumented immigrants living in California.
Enabling even a portion of these immigrants to register with the government, request a reprieve from
removal, and apply for a temporary work permit would increase Californias tax revenues by
$904 million, over five years, and lead to a cascade of economic benefits.
Expanding deferred action will permit undocumented immigrants to work legally. Temporary work
permits will provide these workers with the ability to secure jobs that match their skill set and enhance
their productivity. As immigrants get on the books and work legally, their earnings will rise, and so too
will their tax contributions. Executive action on immigration is a step toward fixing our broken system,
and for California, it is a step toward a stronger fiscal and economic future.
Fiscal Benefits of Executive Action in California:
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There are 1,214,000 undocumented immigrants in California who are potentially eligible for
deferred action under President Obamas recent executive actions on immigration. If these
immigrants are able to receive a temporary work permit, it would lead to a $904 million increase in
tax revenues for California, over five years.
Expanding deferred action will significantly strengthen Californias economy. When undocumented
immigrants can work legally, they are able to shield themselves against workplace exploitation and
move freely across the labor market to find jobs just like anyone else. Combined, this leads to an
8.5% increase in their earnings. For the average undocumented immigrant that means they are
taking home an additional $1,872 each year. As these extra earnings are spent throughout the
economy, demand for goods and services rises, spurring job creation and raising the wages of all
American workers.