UPDATE: The U.S. is grappling with an acute labor shortage, with approximately 1 million workers missing due to recent immigration policies. Rebecca Shi, leader of the American Business Immigration Coalition (ABIC), has urgently called for reform as businesses across various sectors face dire consequences.
In an interview on the Rapid Response podcast, Shi emphasized the immediate economic impact of these policies, stating, “We need at least 100,000 jobs created monthly to keep our economy moving.” Last week’s jobs report showed a mere 74,000 jobs added in July, underscoring the growing crisis.
The Trump administration’s mass deportations have significantly disrupted the workforce, leading to fears among immigrants that have resulted in self-deportations. Shi explained that the flawed E-Verify system used to check worker eligibility often misidentifies individuals, compounding the problem for employers who rely on immigrant labor.
“Employers are beginning to face consequences for hiring undocumented workers, but it remains a challenging environment,” Shi noted. She pointed to a recent raid at a Nebraska meat processing plant where 90 workers were detained, even though the employer was E-Verify compliant.
The economic toll of this enforcement-only approach is staggering. Shi warned that if this trend continues, the U.S. economy could incur costs exceeding 350 billion USD annually, with potential job losses reaching 2.5 million. This could lead to rising inflation and skyrocketing food prices, as seen in recent discussions among farmers about the feasibility of domestic dairy production.
Despite the heightened political tension surrounding immigration, Shi remains optimistic. “A majority of Americans understand the need for reform. A recent Gallup poll shows that 79% of Americans view immigration positively, the highest since the pandemic,” she stated. This could provide the impetus needed for legislative change.
The urgency for reform is palpable as businesses and the economy face critical challenges. Shi urges that solutions should focus on allowing immigrants to work legally, thereby enhancing their rights and protections, which ultimately benefits all American workers.
As the nation approaches the September 5, 2025 deadline for Fast Company’s Most Innovative Companies Awards, the conversation around immigration reform is more pressing than ever. Employers and policymakers must confront these realities to safeguard the future of the U.S. economy.
The situation continues to develop, and businesses are watching closely as they navigate this complex landscape. With every passing day, the need for a balanced approach to immigration becomes increasingly critical for sustaining growth and stability in the American workforce.
