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How do e-verify mandates affect unauthorized immigrant workers?

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Abstract

A number of states have adopted laws that require employers to use the federal government?s E-Verify program to check workers? eligibility to work legally in the United States. Using data from the Current Population Survey, this study examines whether such laws affect labor market outcomes among Mexican immigrants who are likely to be unauthorized. We find evidence that E-Verify mandates reduce average hourly earnings among likely unauthorized male Mexican immigrants while increasing labor force participation and employment among likely unauthorized female Mexican immigrants. In contrast, the mandates appear to lead to better labor market outcomes among workers likely to compete with unauthorized immigrants. Employment and earnings rise among male Mexican immigrants who are naturalized citizens in states that adopt E-Verify mandates, and earnings rise among U.S.-born Hispanic men.

Suggested Citation

  • Pia M. Orrenius & Madeline Zavodny, 2014. "How do e-verify mandates affect unauthorized immigrant workers?," Working Papers 1403, Federal Reserve Bank of Dallas.
    • Handle: RePEc:fip:feddwp:1403
    DOI: 10.24149/wp1403
    Note: Published as: Orrenius, Pia M. and Madeline Zavodny (2015), "The Impact of E-Verify Mandates on Labor Market Outcomes," Southern Economic Journal 81 (4): 947-959.
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    Cited by:

    1. Lim, Sunghun & Paik, SongYi, 2021. "The Impact of E-Verify Immigration Policy on the U.S. Agricultural Labor Shortage," 2021 Conference, August 17-31, 2021, Virtual 315125, International Association of Agricultural Economists.
    2. Murat Demirci, 2020. "International students and labour market outcomes of US‐born workers," Canadian Journal of Economics/Revue canadienne d'économique, John Wiley & Sons, vol. 53(4), pages 1495-1522, November.
    3. Edwards, Ryan & Ortega, Francesc, 2017. "The economic contribution of unauthorized workers: An industry analysis," Regional Science and Urban Economics, Elsevier, vol. 67(C), pages 119-134.
    4. Bandyopadhyay, Subhayu & Pinto, Santiago M., 2015. "Illegal Immigration and Fiscal Competition," IZA Discussion Papers 9061, Institute of Labor Economics (IZA).

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    More about this item

    Keywords

    unauthorized immigration; immigration policy; electronic verification; E-Verify;
    All these keywords.

    JEL classification:

    • J15 - Labor and Demographic Economics - - Demographic Economics - - - Economics of Minorities, Races, Indigenous Peoples, and Immigrants; Non-labor Discrimination
    • J31 - Labor and Demographic Economics - - Wages, Compensation, and Labor Costs - - - Wage Level and Structure; Wage Differentials
    • J61 - Labor and Demographic Economics - - Mobility, Unemployment, Vacancies, and Immigrant Workers - - - Geographic Labor Mobility; Immigrant Workers

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