JD Vance, the Republican vice presidential candidate, has expressed concern over the surge in foreign-born workers as the number of American-born workers dwindles, as indicated by the latest jobs report.
The Bureau of Labor Statistics reveals that over the past year, native-born Americans have lost 1.21 million jobs, while employment for foreign-born individuals has risen by 1.27 million.
Vance, in a post on the social media platform X, formerly known as Twitter, questioned, "How does it help working-class families in our country to have an economy that benefits the foreign-born more than native-born American citizens?" He further suggested that the media should question Vice President Kamala Harris about this issue.
Although the increase in jobs for foreign workers may seem to starkly contrast with the job losses experienced by native Americans, the unemployment rate has actually risen more among foreign workers. From July 2023 to July 2024, the unemployment rate for foreign-born workers increased from 3.7 percent to 4.7 percent, while for native-born Americans, it rose from 3.8 percent to 4.5 percent.
However, the growing loss of jobs for American-born workers as immigration rates rise has raised concerns among others. E.J. Antoni, an economist at the conservative organization Heritage Foundation, expressed on X, "We're just swapping out American workers at this point, not growing the pie for everyone."
In July, the overall unemployment rate was 4.3 percent, a significant rise from 3.5 percent the previous year. This rate is the highest since October 2021. Employers added a mere 114,000 jobs last month, falling short of the 175,000 jobs economists had anticipated.
According to Newsweek, this is not the first instance of conservatives expressing concerns about the impact of rising immigration rates on American jobs. Former President and current Republican presidential nominee Donald Trump has previously stated that the influx of immigrants poses a threat to American jobs, particularly those once held by Black workers. Speaking at a National Association of Black Journalists event in Chicago, Trump stated, "Coming from the border are millions and millions of people who happen to be taking Black jobs. They're taking the employment from Black people."
The unemployment rate for Black Americans has risen by a percentage point since it hit its lowest level of 5.3 percent during the Trump administration.
However, not everyone agrees with Vance's perspective on the current job situation. Alex Beene, a financial literacy instructor, believes that such comments contribute to political division rather than providing explanations or solutions. He suggests that the focus should be on improving the educational infrastructure for American-born individuals to make them more competitive in the workplace.
Kevin Thompson, CEO and founder of 9i Capital Group, explains that this is simply how our capitalist system operates. He states, "You want to source the lower cost of inputs that produce the highest gross margin. In layman's terms, an American will likely have a higher input cost in regard to labor than a foreign-born person, hence bringing down the overall gross margin."
The unemployment rate reaching 4.3 percent in July has sparked concerns among economists about a potential recession. Michael Ryan, a finance expert and founder of michaelryanmoney.com, notes that while these figures indicate a slowing economy, it's more complex to determine if they're a definitive warning sign of a recession. He points out that the labor force participation rate increase to 62.7 percent is a positive sign, indicating that people are reentering the job market, which can temporarily inflate unemployment figures.
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