Immigration is crucial for population growth, a strong labor force, and economic progress in Massachusetts and the U.S., according to a new study by Mark Williams, Master Lecturer of Finance. The study, “Immigration is Vital to U.S. & Massachusetts,” highlights that sectors like construction, healthcare, and agriculture heavily rely on immigrant labor. Without this participation, Massachusetts and the nation face potential labor shortages and slowed economic growth.
Factors such as population growth, workforce participation, and job creation drive the U.S. economy, but Demographic Shifts—including slowed growth, declining fertility, and rising longevity—are straining economic outlooks. Immigrants and their children have fueled recent labor supply growth, with immigrants more likely than native-born individuals to be entrepreneurs and job creators. “Increased immigration fills labor gaps and fosters new job creation through entrepreneurship,” says Professor Williams.
In Massachusetts, which has the sixth-highest immigrant population in the U.S., immigrants play key roles across the wage spectrum, from STEM fields to construction and service jobs. Immigration also helps counter the state’s outmigration trend, with over 51,000 immigrants arriving in 2023, offsetting 40,000 residents who left. Immigrants make up 1 in 5 workers in the state and represent 26% of entrepreneurs, 29% of STEM workers, and 16% of nurses.
“Immigrants make up an important demographic when it comes to Massachusetts’ future economic success, including immigration targeting unfilled jobs should be one of the state’s major priorities. Facing increased outmigration, the state’s economy is directly tied to its ability to drive population growth, strengthen labor force, and improve workforce participation,” said Professor Williams.
View the full study here.
