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Immigration reform as a potential solution to the aging population
Kyle Huffman • April 27, 2023
Immigration reform is one of the most powerful tools and opportunities the United States has to address several of our nation’s most pressing economic issues, and it should be utilized as one of the primary tools to address the coming concern of the United States’ aging population and the possibility of substantial population decline.
Numerous economic studies have shown the relationship between economic development and population decline. In the vast majority of cases, economic development, resulting in better wages and better working and living conditions for the population, results in a decline in birthrate as the opportunity cost of having children increases for parents. This can be seen in many countries around the world facing this issue today including Japan, China, South Korea, Germany, and Spain, among many others. The United States is no different, the baby boomer generation is aging and increasingly withdrawing from the workforce and transitioning into retirement. As populations age in developed countries, declining birth rates have become a growing concern. Countries with low birth rates face a shrinking workforce, decreased economic growth, and higher demand for social services, such as healthcare and pensions. A falling birthrate often means a decrease in the number of young people entering the workforce, which can lead to a shortage of workers, decreased economic growth, and an increased burden on the healthcare and social security systems as the number of workers paying into these systems shrink, while the number of people relying on these systems grows.
You have likely heard the phrase “nobody wants to work anymore” expressed numerous times in the media in various forms. The truth is this sentiment will only continue to be exacerbated as the largest generational subset of the American population exits the workforce increasingly in the coming years.
However, the United States has a unique opportunity to address these issues and minimize the economic consequences of an aging and shrinking population – through its immigration system. Enhancing liberal immigration policies and increasing pathways to legal immigration status in the United States is one of the most powerful mechanisms the United States can employ to address these looming issues. According to a 2020 survey conducted by the United Nations, the United States is the most popular destination for immigrants in the world. As a destination that is currently sought by many hopeful immigrants from countries all over the world, the United State should take advantage of this opportunity and high demand for immigration to offset the declining birthrate and the eventual losses to the labor force as a result.
By attracting immigrants, the United States can increase the number of people in the workforce, which can help to offset the effects of a declining birthrate. Immigrants bring with them skills, experience, and a willingness to work, all of which can help to boost a country's economy. Additionally, many immigrants are young, which can help to offset the aging population in many first world nations, the United States included.
Liberal immigration policies can also help to address another important issue: diversity. By welcoming immigrants from different backgrounds, countries can benefit from the perspectives and experiences of people from different cultures. This can help to foster innovation and creativity, which can in turn lead to economic growth.
Of course, there are also challenges associated with liberal immigration policies. Some people are concerned that immigrants may take jobs away from native-born workers or strain social services. However, these concerns can be addressed through careful policy design and implementation. For example, policies could be put in place to ensure that immigrants have the necessary skills and qualifications to fill labor shortages, and that they are integrated into the community in a way that supports their success. Moreover, statistics show that immigrants are more likely to go into business for themselves compared to the native-born population. This means that immigrants are more likely to create new businesses, i.e., new job opportunities, compared to native-born counterparts, which helps to address the concern that immigrants will reduce the job opportunities available for U.S. workers.
For these reasons, among many others, the United States would benefit from substantial immigration reform and increasing pathways to legal immigration for skilled workers in this country. The profound benefits that are possible through responsible and strategic immigration policy could be a significant part of the solution to some of the biggest economic challenges that the United States will face in the coming decades, and this is important to consider the next time you see the same news station simultaneously proclaim, “Nobody wants to work anymore!” and “We need to close our borders!” at the same time.
This blog is not intended to be legal advice and nothing here should be construed as establishing an attorney client relationship. Please schedule a consultation with an immigration attorney before acting on any information read here.
On January 20, 2025, President Donald Trump signed an Executive Order imposing new restrictions on migrants, including limitations on asylum and humanitarian protections. The order directs the Department of Homeland Security (DHS) to terminate all categorical parole programs that conflict with U.S. policies , which includes parole processes for Cuban, Haitian, Nicaraguan, and Venezuelan nationals. Additionally, this provision could impact parole programs for individuals from Afghanistan, Ukraine, and other countries. Beyond restricting parole, the executive order introduces several border security measures , including building more physical barriers, increasing the number of border personnel, and stopping the use of the CBP One mobile application . The order specifically directs the Department of Defense (DOD) and DHS to build more border walls to establish what it calls “complete operational control” of the southern border. Additionally, it ordered the immediate shutdown of the CBP One mobile app, which previously allowed asylum seekers to schedule appointments at U.S. Ports of Entry. As a result, all existing appointments have been canceled immediately . The order also initiates the reinstatement of the “Remain in Mexico” program , also known as the Migrant Protection Protocols (MPP) , across all sectors of the southern border. Under MPP, asylum seekers must remain in Mexico while awaiting the outcome of their U.S. immigration court proceedings, significantly altering the process for those seeking refuge in the country. These measures reinforce the Trump administration's broader effort to restrict asylum and humanitarian protections at the U.S. border . If you or someone you know may be affected by this executive order, it is essential to stay informed and understand your legal rights. Consulting with an immigration attorney can help navigate these evolving policies and ensure the best course of action moving forward.
The E-2 Visa is a non-immigrant visa that allows foreign investors from treaty countries to live and work in the United States by starting or purchasing a business. Unlike other visa categories, it does not require a fixed minimum investment amount. Instead, applicants must demonstrate that their investment is substantial and sufficient to ensure the success of their business. The visa is renewable indefinitely as long as the business remains active and meets the necessary criteria, making it an attractive option for entrepreneurs seeking long-term opportunities in the U.S. One of its key advantages is flexibility. Investors can establish a new business, acquire an existing one, or enter into franchise opportunities. Additionally, spouses and children under 21 can accompany the primary applicant, with spouses eligible to apply for work authorization. This makes the E-2 Visa a practical option for business-minded individuals looking to establish themselves in the U.S. market. While the E-2 Visa itself has remained a stable option, shifts in U.S. immigration policies have influenced the application process and overall investor experience. Understanding these changes is essential for anyone considering this pathway. Policy Shifts and the E-2 Visa: Lessons from the Past During the first Trump administration (2017–2021), U.S. immigration policies became more restrictive across multiple visa categories. Although the E-2 program was not directly limited, broader changes had an impact. The "Buy American, Hire American" Executive Order, signed in 2017, led to heightened scrutiny of visa applications, requiring investors to provide stronger evidence that their business would create jobs and contribute to the U.S. economy. This resulted in an increase in Requests for Evidence (RFEs) and denials for those unable to meet these expectations. Another significant change was the suspension of the Interview Waiver Program, which meant all E-2 applicants, including renewals, had to attend in-person interviews at U.S. embassies. This extended processing times and increased scrutiny of applications. Additionally, visa reciprocity agreements were reviewed and adjusted, impacting validity periods and costs for certain countries. For instance, Iranian citizens were deemed ineligible for the E-2 Visa due to the termination of the treaty. These adjustments significantly affected investors from impacted nations, increasing their costs and renewal frequency. Despite these policy shifts, the approval rate for E-2 visas remained relatively stable. According to data from the U.S. Department of State, there were over 43,000 approvals in 2019, reflecting the program’s continued viability. Even in 2020, when the COVID-19 pandemic caused global disruptions, approval numbers remained significant. These figures highlight that while the process became more rigorous, well-prepared investors continued to secure visas by demonstrating strong business plans, substantial investments, and clear economic contributions. What to Expect Moving Forward As the new Trump administration takes shape, further immigration policy changes are likely. While it is too soon to predict the exact impact on the E-2 Visa, past trends suggest increased scrutiny. However, the program itself has remained intact across multiple administrations, reinforcing its reliability for foreign entrepreneurs. Those considering this visa should stay informed and ensure their applications meet evolving requirements. A well-prepared investment strategy, clear documentation, and a defined job creation plan can make a significant difference in navigating any potential policy shifts. Why the E-2 Visa Remains a Strong Choice The E-2 Visa continues to be a resilient and valuable option for foreign entrepreneurs. Even during periods of policy change, approval rates have remained strong for investors with well-structured applications. The ability to renew indefinitely, combined with its flexibility in investment size and business type, makes it one of the most attractive pathways for international investors. With the right preparation, investors can confidently pursue the E-2 Visa, knowing that history has shown its stability even amid shifting political landscapes. By staying ahead of policy changes and ensuring a solid business strategy, entrepreneurs can take advantage of the opportunities the U.S. market has to offer. If you are ready to take the next step toward launching your business in the U.S., you can contact our office for expert guidance and personalized assistance with your application.
On January 29, 2025, President Trump signed the Laken Riley Act into law, significantly altering how immigration policies are enforced in the United States. This legislation grants State attorneys general and other authorized officials unprecedented authority to interpret and implement federal immigration policies. It also empowers them to take legal action against the federal government if they believe federal immigration enforcement negatively impacts their state. With this new authority, states now play a direct role in shaping immigration outcomes—a responsibility traditionally held by the federal government. One of the most immediate effects of the Laken Riley Act is that it allows states to seek injunctive relief to block the issuance of visas to nationals of countries that refuse or unreasonably delay the acceptance of their citizens who have been ordered removed from the United States . This means that if a country does not cooperate with U.S. deportation efforts, its nationals—regardless of their legal status—could face significant difficulties obtaining or renewing visas. As a result, foreign nationals from these countries may encounter increased uncertainty when traveling internationally or securing work authorization in the U.S. Beyond visa processing, the law introduces a new level of unpredictability into the immigration system. By allowing state attorneys general to intervene in federal procedures, and immigration policies that may now vary based on state-level decisions. In the coming months, it remains to be seen how individual states will wield this power—whether they will actively seek to block visa issuance or push for broader immigration enforcement measures. For foreign nationals and employers, staying informed about which countries are deemed “uncooperative” is now more important than ever. Those needing visa renewals or planning international travel should prepare for potential delays and seek professional guidance to navigate these uncertainties. The Laken Riley Act also mandates federal immigration authorities to detain and deport individuals without legal status who are charged with certain offenses, including minor theft or shoplifting, assaulting a law enforcement officer, and crimes resulting in death or serious bodily injury. This provision underscores a stricter approach to immigration enforcement, affecting individuals accused of both minor and serious offenses. With immigration policies now subject to a new layer of state involvement, it is more important than ever to stay informed and prepared for potential challenges. If you have concerns about how the Laken Riley Act may affect your immigration status or business, contact Santos Lloyd Law Firm for strategic counsel tailored to your needs.
