Immigration Enforcement Comes at an Economic Cost for Arizona
A sharp increase in federal immigration arrests may have cost the U.S. hundreds of thousands of jobs last year, with economic consequences reaching far beyond the people taken into custody.
New research from the Brookings Institution estimates that increased Immigration and Customs Enforcement (ICE) arrests in 2025 were associated with approximately 668,000 lost jobs nationwide. The findings suggest that immigration enforcement can disrupt local economies, affecting businesses, workers, and families across communities.
In Arizona, where immigrants make up 1 in 6 workers, the stakes are especially high. Immigrant Arizonans are our neighbors, coworkers, friends, and family members. They build homes, care for patients, grow food, and run businesses that support our communities. As immigration enforcement intensifies, the economic fallout could threaten jobs, local businesses, and the financial stability of Arizona families.
Immigration Enforcement Can Cost Jobs
Immigrant workers are essential to several of Arizona's major industries, including construction, agriculture, hospitality, health care, and transportation. When enforcement activity disrupts the workforce, employers can struggle to fill positions, maintain operations, and meet demand.
Consider a construction company that loses part of its crew. Projects may be delayed, costs may rise, and other workers and subcontractors can lose income. Similar disruptions in agriculture, hospitality, and other industries can affect jobs well beyond those held by immigrant workers.
The Brookings findings suggest these effects can be substantial. The researchers found that employment losses associated with increased enforcement exceeded the number of people apprehended, underscoring how disruptions to one part of the workforce can affect the broader economy.
Local Businesses and Communities Feel the Effects
Immigrant Arizonans also contribute significantly to the state's economy as consumers and business owners.
According to the American Immigration Council, immigrant households in Arizona earn approximately $44.1 billion annually, supporting local businesses through spending on housing, food, transportation, and other goods and services. Immigrant entrepreneurs generate another $2.2 billion in business income, creating jobs and economic opportunities throughout the state.
When families lose income or cut back on spending because of enforcement-related uncertainty, businesses can see declining revenue. That can mean reduced hours, fewer jobs, and delayed investments, with consequences for the broader community.
Taxpayers Face Billions in Potential Costs
Immigration enforcement also carries substantial public costs.
According to the Economic Policy Institute's Cost of Deportations Calculator, mass deportations under the federal policy scenario modeled by EPI could cost Arizona taxpayers nearly $4.8 billion, or approximately $2,000 per taxpayer.
EPI estimates that the same amount could alternatively fund:
- 20,471 school teachers
- 119,502 firefighters
- 12,990 registered nurses
These estimates illustrate the potential trade-offs between federal immigration enforcement spending and investments in public services.
Immigrant Arizonans also contribute to the tax revenue that supports those services. According to the Institute on Taxation and Economic Policy, undocumented immigrants pay billions of dollars annually in state and local taxes nationwide. When workers lose jobs or families leave communities, governments can lose revenue that supports schools, roads, public safety, and other essential services.
Arizona's Economic Future Is at Stake
The economic consequences of immigration enforcement deserve greater attention as federal policies continue to affect communities across Arizona.
The Brookings findings point to employment losses that extend beyond those directly targeted, while the Arizona data shows how much our economy depends on immigrant workers, consumers, and entrepreneurs.
Behind those numbers are families, businesses, and communities whose futures are intertwined. Arizona's economic strength depends on a stable workforce, thriving businesses, and families who can participate fully in their communities.
As policymakers debate immigration enforcement, the economic costs should be part of the conversation. Policies that undermine the stability of our communities can undermine the prosperity of our entire state.
