Protecting California’s Workforce and Families
Across California, and here in Sacramento, immigrant workers and families form the backbone of our communities and economy. From agriculture and construction to hospitality and entrepreneurship, immigrants keep our state growing. Yet ongoing deportations are already disrupting these industries, separating families, and threatening local economies.
The Latino Economic Council of Sacramento is committed to advancing practical, bipartisan solutions that protect workers, families, and businesses—while strengthening our shared economic future.
The Economic Impact of Mass Deportation in California
The Bay Area Council Economic Institute, in partnership with the University of California, Merced, recently released The Economic Impact of Mass Deportation in California. The report examines how mass deportations would affect the state’s economy and key industries such as agriculture, hospitality, and construction.
Findings show that removing undocumented workers from California could reduce total GDP by an estimated $278 billion, with particularly severe consequences for construction and agriculture. The analysis underscores the deep connections between immigrant labor, economic growth, and community stability across the state.
Key findings include:
California could lose $278 billion in total GDP if undocumented workers were removed.
Construction output would shrink by 16 percent, and agriculture by 14 percent.
Undocumented Californians contribute over $7,000 per year in taxes on average, with an effective state and local tax rate of 7.1 percent, higher than that paid by the top 1 percent of earners.
Read the full report on the Bay Area Council Economic Institute’s website:
https://www.bayareaeconomy.org/report/economic-impact-of-mass-deportation-in-california/.
National Context: The Broader U.S. Impact
Economic & Fiscal Impact
Deporting 13.3 million undocumented immigrants would cost at least $315 billion.
A 10-year campaign deporting 1 million annually could cost $967.9 billion.
U.S. GDP could fall 4.2%–6.8% ($1.1–$1.7 trillion).
Labor Market Effects
Agriculture, construction, and hospitality would face severe shortages and inflationary pressures.
Manufacturing and homebuilding would experience delays and higher costs.
Deporting 1 million undocumented entrepreneurs would disrupt local business ecosystems.
Human & Social Costs
5.1 million U.S.-born children live with undocumented family members—family separation causes trauma and hardship.
Deportations reduce community cohesion and stability.
Source: American Business Immigration Coalition, “Mass Deportations Fact Sheet” (2025), https://abic.us/wp-content/uploads/2025/01/Mass-Deportations-Fact-Sheet.pdf.
Our Call to Action
California’s prosperity depends on keeping families together and ensuring stability for the workers who power our economy.
LEC Sacramento urges policymakers to rededicate themselves to comprehensive immigration solutions, including:
The Farm Workforce Modernization Act – creating a stable, legal agricultural workforce.
The Dignity Act – providing an earned path to legal status for long-term, law-abiding immigrants.
The Registry Act – modernizing outdated immigration provisions for long-settled residents.
Together, these reforms protect families, strengthen industries, and preserve California’s leadership as a place of opportunity and inclusion.