December 02, 2005
November’s Job Numbers: Good for immigrants; Bad for the
Rest of Us
U.S. job market sprang back last
month from a hurricane-induced
slowdown as nonfarm employers added 215,000
workers, according to the government’s report on
business payrolls.
But another report—the one based on
a survey of households—reported a 52,000 job decline
from October. More important, from our perspective, is
the composition of that decline:
Thus non-Hispanics
bore the full brunt of the November job decline,
according to the Household survey.
To be sure, the Household survey is
dismissed by MSM pundits as quirky and unreliable.
Yet over the past the past year it has closely tracked
the more widely cited
Payroll Survey: Both surveys report that about 2
million jobs were created over the past 12 months. But
only the Household Survey presents monthly job data by
race and ethnicity.
Neither Survey asks about
immigration status. (Memo to Bush Administration: why
not direct them to add this useful question?). But
because about half of the Hispanics in the U.S. are
foreign-born, we use it as a
proxy for immigrant impact on American workers.
Note this statistical wrinkle: the
overall Hispanic unemployment rate rose to 6.0
percent in November from 5.8 percent the prior month.
The black unemployment rate increased even
more—to 10.6 percent from October’s 9.1. The white
unemployment rate fell slightly, to 4.3 percent
from 4.4 percent.
The big difference, of course, was
that
Hispanics poured into the labor force (their labor
force participation rate went up) while Blacks
and whites retreated (their’s went down.)
After taking labor force
participation rates into account, the real increase in
the black unemployed is larger, and the increase in the
Hispanic unemployed smaller, than their respective
unemployment rates indicate.
In a word, November’s data paint a
classic picture of Hispanics (and, by extension,
immigrants) displacing and discouraging
blacks and
unskilled whites in American labor force. It’s a
story we often tell in graphic form, as follows:

Since the start of the Bush
Administration in January 2001 Hispanic employment has
risen by 2.9 million, or 17.8 percent, while
non-Hispanic employment increased by 1.9 million, or 1.6
percent.
The ratio of the growth rates,
which we call
VDAWDI (the VDare.com
American Worker Displacement Index) rose to a record
116.0 in November, from 115.0 the prior month.
Edwin S. Rubenstein (email
him) is President of
ESR Research Economic Consultants in Indianapolis.