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Employment Verification Mandates and the Labor Market Outcomes of Likely Unauthorized and Native Workers

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  • Amuedo-Dorantes, Catalina

    ()
    (San Diego State University)

  • Bansak, Cynthia

    ()
    (St. Lawrence University)

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    Abstract

    As recent efforts to reform immigration policy at the federal level have failed, states have started to take immigration matters into their own hands and researchers have been paying closer attention to state dynamics surrounding immigration policy. Yet, to this date, there is not a clear understanding of the consequences of enforcing E-verify on likely unauthorized immigrants and on native-born workers across the United States. This study aims to fill in that gap by analyzing the impact that the enactment of various types of E-verify mandates may have on the employment and wages of these two populations. We find that the enactment of both universal and public-sector only mandates reduce employment of likely unauthorized workers. Meanwhile, employment verification does not affect naturalized Hispanic workers but increases the employment likelihood of native workers. Impacts on wages are positive for likely unauthorized women suggesting a large labor supply reduction. For native-born workers, hourly wages also increase and provide some evidence of substitutability of unauthorized immigrants and non-Hispanic natives.

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    Bibliographic Info

    Paper provided by Institute for the Study of Labor (IZA) in its series IZA Discussion Papers with number 7419.

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    Length: 27 pages
    Date of creation: May 2013
    Date of revision:
    Handle: RePEc:iza:izadps:dp7419

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    Related research

    Keywords: E-verify; undocumented workers; employment; wages;

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    1. Catalina Amuedo-Dorantes & Cynthia Bansak, 2011. "The Impact of Amnesty on Labor Market Outcomes: A Panel Study Using the Legalized Population Survey," CReAM Discussion Paper Series 1106, Centre for Research and Analysis of Migration (CReAM), Department of Economics, University College London.
    2. Cynthia Bansak & Steven Raphael, 2001. "Immigration reform and the earnings of Latino workers: Do employer sanctions cause discrimination?," Industrial and Labor Relations Review, ILR Review, Cornell University, ILR School, vol. 54(2), pages 275-295, January.
    3. C. Bansak & S. Raphael, . "Immigration Reform and the Earnings of Latino Workers: Do Employer Sanctions Cause Discrimination?," Institute for Research on Poverty Discussion Papers 1181-98, University of Wisconsin Institute for Research on Poverty.
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