If enacted, the Senate stimulus bill would fund over $100
billion in new government construction projects with the goal of
providing additional jobs to unemployed Americans. The House-passed
stimulus bill contains explicit language to bar employment of
illegal immigrants in these construction projects. However, the
Senate bill deliberately omits this language.
If the Senate version of the bill becomes law, a great number of
the workers employed in government construction programs will, in
fact, be illegal immigrants. About one out of seven (or 15 percent)
of workers employed in construction in the U.S. is an illegal
immigrant.[1] Unless strong mechanisms are put in place
to prevent the hiring of illegal immigrants, it is reasonable to
expect that a similar proportion of workers hired for construction
projects under the stimulus bill would be in the country
illegally.
Construction Funding and Employment of
Illegal Immigrants
The Senate stimulus bill would provide roughly $104 billion in
funding for a variety of construction projects including highways,
schools, and renovation of public housing. This funding will be
spread over five to seven years. Normal government estimates
indicate that each $1 billion spent on construction will create
around 19,500 construction jobs, each lasting a year.[2] Thus
$104 billion in funding in construction projects would ostensibly
create construction-related jobs for about 2.04 million workers
over several years. Without specific mechanisms to ensure that
workers are U.S. citizens or legal immigrants authorized to work,
it is likely that 15 percent of these workers, or 300,000, would be
illegal immigrants.
House Bill Blocks Employment of
Illegal Immigrants
The House-passed version of the stimulus bill (H.R. 1, the
American Recovery an Reinvestment Act) contains explicit language,
introduced by Congressman Jack Kingston (R-GA), requiring that all
contractors receiving funds under the bill use the federal E-Verify
system to determine whether workers are U.S. citizens or legal
immigrants authorized to work.
E-Verify is a real-time, web-based verification system run by
the Department of Homeland Security and the Social Security
Administration. E-Verify can determine with great accuracy the
authenticity of the personal information and credentials offered by
employees and new hires.[3] In most cases, verification occurs almost
instantly.
Some 99.4 percent of lawful workers receive immediate positive
verification, while the other 0.6 percent of lawful workers receive
positive verification after a brief visit to their local security
office, generally lasting only a few minutes. Despite years of use
and screenings of millions of employees, there has never been a
single instance in which a lawful worker lost permanent employment
as a result of erroneous information provided by the E-Verify
system.[4]
E-Verify is a very effective mechanism for determining the legal
status of potential workers. E-Verify is inexpensive for employers
to use, costing between $4 and $20 for each employee screened.[5]
E-Verify is in wide use; currently about one in 10 new hires in the
U.S. economy are screened through the E-Verify system.
At present, all federal employees are checked by the E-Verify
system, but outside contractors receiving federal funds (such as
construction firms) are not required to use the system. Requiring
contractors receiving stimulus funds to use E-Verify will greatly
reduce the probability that those funds will be used to employ
illegal immigrants.
Senate Bill Does Not Block Use of
Federal Funds to Employ Illegal Immigrants
The stimulus bill currently being debated in the Senate
deliberately omits the E-Verify provision from the House bill.
Later this week, Senator Jeff Sessions (R-AL) will introduce an
amendment to include the House E-Verify language in the Senate
bill. However, if the current Senate bill were to become law
without language requiring contractor use of E-Verify, the
inevitable result would be billions in federal funds spent to
employ illegal immigrants.
Robert Rector is Senior
Research Fellow in the Domestic Policy Studies Department at The
Heritage Foundation.
[2]Department of Transportation, Federal Highway
Administration, "Employment Impacts of Highway Infrastructure
Investment," April 7, 2008. This report no longer appears on the
DOT website. Contact the author for the original PDF file. Of
course, government spending is not a free lunch. Federal highway
dollars must first be taxed or borrowed from the private sector,
which will then lose a similar number of jobs. Consequently, these
programs merely transfer resources and jobs from one part of the
economy to another. See Ronald D. Utt, "More Transportation
Spending: False Promises of Prosperity and Job Creation," Heritage
Foundation Backgrounder No. 2121, April 2, 2008, at http://www.heritage.org/Research/budget/bg2121.cfm.