Federal immigration authorities face off against protesters during an ICE raid at Ambiance Apparel in Downtown Los Angeles on June 6, 2025. Photo by J.W. Hendricks for CalMatters

Good morning, CalMatters reader.

Immigration raids are depressing the labor market, decreasing jobs for both U.S.-born men without a college degree as well as for unauthorized immigrants, a new economic study out earlier this month found.

Researchers at the University of Colorado Boulder found “a meaningful chilling effect”: Roughly six male unauthorized workers stopped working for every single arrest made by ICE in certain areas. The study is a working paper and not yet peer-reviewed. 

The authors examined communities that experienced large, sudden spikes in immigration arrests last year and compared them with other areas less affected by the crackdown. 

Communities with increased immigration arrests showed a 4 to 5 % employment reduction in certain industries, such as agriculture, construction and manufacturing among likely undocumented immigrants who remain in the U.S., according to the study. 

Steven Camarota with the Center for Immigration Studies, an organization that argues for more and tougher immigration enforcement, said the researchers were examining a very short time period. 

“It takes time for wages to adjust, particularly if you are trying to measure them using specific sectors with a survey of this size,” said Camarota, who also pointed to tariffs creating economic uncertainty. He questioned how reliable the count of immigrant workers was after the survey showed erratic swings in the population.

The Trump administration campaigned and won on the promise to “carry out the largest mass deportation campaign in U.S. history,” and White House officials say the president is making good on it. One of the key justifications was the argument that native-born Americans would gain employment. 

White House spokeswoman Abigail Jackson said in a written statement to CalMatters responding to the study’s findings that the Trump administration is implementing “a commonsense agenda to accelerate economic growth and secure our borders to help American workers.”

“By discouraging companies from spamming the system and driving down wages, the President’s executive order mandating a $100,000 fee for H1B worker visa applications ensures, moreover, that American businesses who actually want to bring high-skilled workers into our country have the certainty they need,” Jackson wrote.  

• Tight budget. California tax revenue is soaring thanks to tech stocks. But Gov. Gavin Newsom is proposing more cuts, warning that the boom won't last and Trump cuts will hit the state hard. 

• Living wage. In 2025, only 31.2% of Black full-time workers earned a living wage, compared with 60.4% of white workers. Latino workers stood at 33.3%, a new study finds, according to the Amsterdam News. 

• Border chief out. The latest in a wave of top brass leaving the Department of Homeland Security, Border Patrol Chief Michael Banks stepped down on Thursday after 37 years with the agency. CBP Commissioner Rodney Scott said of Banks' second retirement: “During his time as Chief, the border was transformed from chaos to the most secure border ever recorded.” 

• Equity ranking. California jumped ahead in equity ranking — comparing how fairly it distributes money to districts in high-poverty communities, according to EdSource. It’s now the second-highest in the nation. 

• Wage theft. The California Labor Commissioner’s Office says it recovered $438,000 in unpaid wages and interest for over 90 janitorial workers following a labor law enforcement action involving healthcare facilities. 

• Low-riders. California Democrats are considering a bill to create a specialty license plate honoring lowrider heritage. The proposed legislation was written by Assemblymember Mark González, a Democrat from Los Angeles. It’s designed to celebrate the artistry and history of Chicano and lowrider heritage, and the proceeds from the license plates would directly fund community cultural events and arts programs. 

• Budget boost. Congress moved a step closer to approving another $70 billion in funding through 2029 for federal immigration enforcement agencies this past week. The money is being considered as part of the reconciliation process and is in addition to the $170 billion approved last year. 

• Border wall construction. Federal contractors are using dynamite to blast through granite boulders on Tecate Peak, considered a sacred religious site to the Kumeyaay Indians, the Border Chronicle reports. 

• Habeas flood. The Eastern District of California (Sacramento) has the second-highest number of habeas cases filed among federal judicial districts nationwide, behind only the Western District of Texas, according to TRAC, a source of immigration data. A habeas corpus lawsuit requests a judge to order a detainee to be brought before the court so government officials can explain why they’re detaining the person.

Thanks for following our work on the California Divide team. While you’re here, please tell us what kinds of stories you’d love to read. Email us at inequalityinsights@calmatters.org.