This op-ed by Kathy White and David Dyssegaard Kallick appeared on Colorado Newsline on February 27, 2024.
For centuries, the United States has been a beacon for families from all over the world seeking safety and security. Colorado’s no different, and there’s no sign of that changing.
The U.S. Census says nearly 10% of the 5.8 million people who called the Centennial State home are foreign-born, and more are coming. Just last year, approximately 40,000 people arrived in the Denver metro area alone. It’s a humanitarian crisis, however the federal government is treating this influx as a national security threat and resisting proposals that could help. This inaction has made it more challenging for our community to welcome new immigrants with the dignity they deserve now, and less likely that we’ll all benefit from their socioeconomic contributions later.
Washington needs to step up. It’s not just the humane thing to do; it’s the smart thing. Yes, responding to a humanitarian crisis is hard. Local government and community leaders are doing a commendable job of ensuring that new immigrants receive immediate assistance such as food, shelter, and medical care despite limited resources and minimal outside support. Nevertheless, this challenge can also be a catalyst for positive, enduring change — especially with the federal government’s assistance.
A growing and diverse population makes Colorado the vibrant and exciting place it is. New immigrants from more parts of the world means more businesses, more workers and more opportunities for cultural enrichment like new restaurants, music and art.
Cultural and economic expansion go hand in hand. New immigrants can improve Colorado’s economy by filling jobs that a growing number of older workers are leaving, bolstering the workforce in key Colorado industries, and creating new jobs as they bring their talents and a little of their home countries to our state.
New immigrants are an important part of Colorado’s future, especially to some fast-growing employment sectors such as tourism, home health care, and child care, where immigrants play a particularly important role. Remember, too, that immigrants are typically working age adults or young families, while Colorado’s fastest growing demographic are those older than 65.
New research from the Immigration Research Initiative and Colorado Fiscal Institute models what we are likely to see. Once new immigrants are permitted to work, they’re likely to follow a long-established pattern of starting in low-wage jobs and gradually moving up. Along the way, the amount the new immigrants add to economic output and to state and local tax contributions also grows.
Welcoming and integrating new immigrants into our economy and communities as quickly as possible is a smart investment that pays dividends in the long run.
The new findings show that within the first two years of their arrival, each 1,000 new immigrant workers in Colorado are projected to earn $21 million in total aggregate wages, a direct economic benefit to the region in which they are working in both the value of work produced and in added local spending power. As they continue to reside in the U.S., learn English, and gain work experience, their contribution per 1,000 workers is expected to increase to $32 million a year in total wages earned.
New immigrants will also pay Colorado state and local taxes to offset local governments’ costs. Each 1,000 new immigrant workers will add an average of $1.7 million a year to the state and local governments where they settle, which rises to $2.6 million after new immigrants have been in the U.S. for five years. We know from the data that individual immigrants’ wages (and therefore their tax and other contributions) progress over time. Welcoming and integrating new immigrants into our economy and communities as quickly as possible is a smart investment that pays dividends in the long run.
The federal government has provided a trickle of funding, but it should do much more to support state efforts. For example, by forming a White House task force to coordinate new immigrant reception across different levels of government and with civil society organizations. Additionally, it could ease backlogs and expedite work permits, something that every migrant needs to ensure they can get on their feet and support themselves and their families.
Denver, its nonprofit organizations and residents have stepped up. The federal government — Congress and the White House — needs to step up to the plate, too.