The Flâneur Collective

The United States construction industry serves as a cornerstone of economic growth and societal development, providing housing, infrastructure, and employment to millions. However, the workforce of this vital sector relies heavily on immigrant workers, including many without legal documentation, who are crucial to this sector, with around 1 in 4 construction workers in the U.S. being considered an illegal immigrant. A policy of mass deportation, like the one proposed by former and incoming President Trump, would have significant ramifications for the construction industry, such as not labor shortages, higher costs, and severe slowdowns in the industry’s ability to create new housing. Experts and economic studies show that deporting many immigrants would destabilize the construction industry and exacerbate broader economic challenges.

Immigrant workers are really important in construction. According to Anna Shepperson in her article, “Immigrants Are Key to Filling U.S. Labor Shortages, New Data Finds,” immigrants frequently fill labor-intensive jobs that native-born workers are less likely to take. This is especially true in construction, where long hours and physically demanding tasks require a reliable and skilled workforce. Removing undocumented workers would create immediate labor shortages, leaving hard-to-fill gaps. Despite what many Americans believe, undocumented immigrants actually pay 75.6 billion in taxes every year using what is known as an ITIN or Individual taxpayer identification number. This leads to a total of around 29 billion in state and local taxes and 46.6 billion in federal taxes being paid by immigrants each year.

The scope of the problems mass deportation would create is catastrophic. According to the aforementioned study, 24% of construction workers in the United States are immigrants; in California and Texas, that number jumps to as high as 40 percent, with many employed in critical roles like framing, roofing, and masonry, those numbers can jump to as high as 68 percent in some states. Feng and Acevado, in their NBC News article, emphasize that homebuilders are concerned about the effects of mass deportation on their workforce, warning that it would exacerbate labor shortages and further strain an already struggling sector. Without reliable labor, projects would stall, leaving developers unable to meet the demand for housing and infrastructure. According to the National Association of Home Builders (NAHB), the construction industry is already short by approximately 300,000 workers. Mass deportation would worsen this problem in ways few can understand, making it nearly impossible to fix the already significant problem of meeting the housing needs of Americans.

Labor shortages caused by mass deportation would directly result in increased construction costs.  Fewer skilled workers mean higher wages, and builders would either need to cover these costs themselves or pass them on to buyers. Samantha Delouya and Julia Vargas Jones highlight in their CNN article how such policies could drive up housing prices. They note that with fewer homes in development, competition for existing housing stock would intensify, further exacerbating the housing crisis. The NAHB estimates that a 10% increase in labor costs could add up to $9,000 to the price of a newly built home, pushing homeownership further out of reach for many Americans.

Tariffs and other economic rules might make things worse. Eliza Relman, writing for Business Insider, points out that while deregulation efforts might reduce some costs, the combined effects of labor shortages and tariffs on building materials would cancel out these benefits. The average price of building materials has already gone up by 15% in the last two years. Adding a labor shortage and higher tariffs to this issue would skyrocket costs. Mass deportation would cause delays in building, reducing housing availability. 

Mass deportation would not only increase costs but also slow the pace of construction projects, reducing the overall housing supply. Delouya and Jones note that a significant deportation campaign could lead to delays in building new homes, as labor shortages ripple through the industry. This slowdown would be particularly felt in areas already struggling with housing shortages, where construction delays could lead to longer-term economic and social consequences as the dream of home ownership becomes further and further out of grasp for Americans.

Jing Feng and Nicole Acevado’s analysis underscores how reduced labor availability would disrupt the construction of affordable housing, which is often most vulnerable to cost increases and delays. With fewer workers available, developers would likely focus on projects yielding higher profit margins, limiting affordable options. America already lacks 7.3 million affordable housing units. Cutting the workforce would make the crisis worse for hardworking Americans already in need of affordable housing.

The effects of mass deportation would extend beyond the construction industry, affecting the whole economy. Labor shortages in construction would spread, impacting industries like manufacturing, transport, and retail. Shepperson’s research shows that immigrant labor is critical to sustaining economic growth across multiple sectors, suggesting that policies targeting this labor pool could hinder broader economic recovery efforts.

Additionally, the logistical challenges of mass deportation, as detailed by Laura Strickler and her team in their NBC News investigative piece, would strain government resources and disrupt local economies. Implementing such policies would lead to legal and administrative issues, taking focus and funds away from more helpful economic projects. The financial costs of enforcement would far outweigh any perceived benefits, further complicating efforts to stabilize the construction industry. The American Action Forum estimates that removing all undocumented immigrants could cost the U.S. economy $1.6 trillion over 20 years, showing the long-term financial repercussions of such policies.

Some critics argue that reducing the reliance on immigrant labor could incentivize technological innovation and the training of domestic workers. However, these changes would require years to work and do not solve urgent job shortages. Rob Wile’s analysis of JD Vance’s claims about immigration and housing costs reveals that other factors, such as zoning laws and supply chain disruptions, play a more significant role in driving up housing prices. While immigration policies affect the housing market’s dynamics, deporting many people solves a symptom rather than addressing systemic issues. The actual cost and complexity of retraining a domestic workforce to fill roles previously held by immigrants would be highly costly and inefficient in the short term in order to fix a problem that does not require fixing.

Mass deportation would have devastating effects on the construction industry, causing labor shortages, increasing costs, and reducing housing supply. Experts like Delouya and Jones warn that the consequences of such a policy would ripple through the economy, undermining efforts to address housing affordability and economic stability. Policymakers need to see how critical immigrant workers are in sustaining the construction industry and consider more balanced approaches to immigration reform.  Protecting the workforce that holds this vital sector together is crucial not only economically but also socially and morally. By fostering a labor market that values inclusivity and practicality, the United States can ensure the growth and resilience of its construction industry. Balanced immigration policies that acknowledge the economic contributions of immigrants are essential for the prosperity of both the construction sector and the broader economy.

If you are an immigrant looking for resources to help in your fight against deportation, check out https://immigrantjustice.org/know-your-rights/mass-deportation-threats

If you are a student looking for ways to fight against the problem of mass deportation, donate here and see what ways you can help

https://immigrantjustice.org/how-help

Ezra Ponzio

2nd year Accounting student at El Paso Community College