The Impact of Immi ation

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1 The Impact of Immi ation York City on New Peter Lob0 In 2000, New York City was home to 2.9 million immigrants, the largest number in its history. These immigrants accounted for 36 percent of the city s population of 8 million. The size and diversity of New York s immigrant population is unmatched by any city. This diversity is a result of the dynamic nature of the city s demography, which is characterized by the arrival of new immigrants and the departure of longer-resident groups. In the 1990s, for example, over 1 million immigrants arrived in the city, but net domestic outflows from the city were even greater, resulting in a net migration loss of over 100,000. These demographic processes result in a unique level of diversity: 43 percent of the city s 2.9 million foreign-born residents arrived in the United States. In the previous ten years; nearly one half of the population speaks a language other than English at home; a primarily European-origin city has been transformed into one with no majority race/ethnic or nationality group. New York is a prime example of how immigration can mold a city in a single generation, and remold it in the following generation. This paper first describes how changes in immigration law have resulted in a huge influx of non-european immigrants to the city. It then briefly examines residential settlement patterns of immigrants, their sociodemographic characteristics, and the impact of immigration on the city s population growth, housing stock, and its racial/ethnic composition. This paper is largely based on The Newest New Yorkers, 2000: Immigrant New York in the New Millennium, a report published by the New York City Department of City Planning. EFFECT OF IMMIGRATION LAW ON THE COUNTRY COMPOSITION OF IMMIGRANTS Immigration law is often viewed as a gate through which immigrants must successfully navigate. Changes in the law can create opportunities to

2 78 INTERNATIONAL MIGRATION AND THE GLOBAL COMMUNITY immigrate for one group or hinder the entry of others. The 1965 amendments to the Immigration and Nationality Act, for example, replaced immigration quotas that favored Europeans and, for the first time, placed all countries on an equal footing. This resulted in a huge increase in non- European flows, particularly from Asia and Latin America. Family reunification was the linchpin under the 1965 law and subsequent amendments, but the law also allowed for rhe entry of those with occupational skills required in the United States and the admittance of refugees and asylees. This basic architecture was largely preserved by the 1990 Immigration Act, with an increased emphasis on skilled workers. The new law also created a pool of diversity visas for countries that were not large sources of immigrants to the United States; these visas have further diversified the source countries of immigration to the city. Of the more than 1 million immigrants who settled in New York in the 1990s, nearly two thirds entered under the family reunification provisions of the law, 10 percent came in with an employment visa, 14 percent were refugees, while diversity immigrants were 8 percent of the total flow. The city also has a substantial flow of undocumented immigrants, most of whom are visa overstayers, i.e. they enter the United States legally, with a valid visa, but by remaining in the country beyond the required departure date, they become part of the undocumented population (Salvo and Lobo, 1997). The total undocumented population in the city is conservatively estimated to be around 500,000. Dominicans were the largest foreign-born group in 2000 numbering 369,200, or nearly 13 percent of the city s foreign-born, followed by China, Jamaica, Guyana, and Mexico. As recently as 1970, the top five foreign-born groups were all European. The 1970 census, when Europe accounted for nearly two thirds of New York s foreign-born, marked the last time immigrants were primarily from just one continent. Since then, diversity has become a hallmark of the city s foreign-born population, with no one continent comprising a majority. Latin America was the top area of origin in New York City, accounting for nearly one third of the city s immigrants, while Asians had a 24 percent share. Immigrants from the non-hispanic Caribbean and Europe each accounted for approximately one-in-five of the foreign-born, while Africans were about three percent of the foreign-born population. The African share is likely to rise in the coming years due to the availability of diversity visas, which have already led to the emergence of Ghana and Nigeria as important sources of immigration to the city.

3 PETER LOBO 79 RESIDENTIAL SETTLEMENT AND THE FORMATION OF ETHNIC ENCLAVES Immigration to New York is fueled by networks that, according to Boyd (1989, connect migrants and nonmigrants across time and space. Once begun, migration flows often become self-sustaining, reflecting the establishment of networks of information, assistance and obligations which develop between migrants in the host society and friends and relatives in the sending area (p. 641). Since immigration is heavily tied to kinship networks, a neighborhood that is home to immigrants tends to attract more recent entrants as well, resulting in ethnic enclaves, where an immigrant group leaves its social, economic, and cultural imprint on a neighborhood (Winnick, 1990). The process of immigrant settlement in New York usually involves newer immigrant groups succeeding longer-resident groups (both nativeand foreign-born) who have moved out of the city. Housing vacated by these departing residents is then occupied by newly arrived immigrants. This process of residential succession has been relatively smooth in the 1990s. While some of these enclaves are relatively poor and segregated, many of them are solidly middle-class and home to different groups. This is especially true in the middle-class borough of Queens, which on many measures is the most racially and ethnically heterogeneous county in the United States. In the Queens neighborhood of Elmhurst, seven-in-ten residents were foreign-born, the highest concentration of any neighborhood in the city, while six-in-ten residents of Jackson Heights, Flushing, Corona, Woodside, and Sunnyside were born outside the United States (Figure I). When the US.-born children of immigrants are included, eight-in-ten residents of these neighborhoods are either first or second generation. These neighborhoods tend to be racially integrated and epitomize the melting pot nature of immigration to Queens (Lobo et al., 2002). SOCIO-DEMOGRAPHIC CZ%IRACTERISTICS OF IMMIGRANTS Immigrants had lower educational attainment than the native-born and nearly one half were not proficient in English. Labor force participation among immigrant men was higher than that of their native-born counterparts, though immigrant women were less likely to be in the labor force. The median household income of the foreign-born was significantly lower than

4 80 Figure I. INTERNATIONAL MIGRATION AND THE GLOBAL COMMUNITY Immigrant Concentrations in New York City Neighborhoods in 2000 that of the native-born; immigrants, however, also had a marginally lower poverty rate. An examination of the 20 largest foreign-born groups revealed major differences in demographic, social, and economic characteristics (Table 1). This was especially true with respect to the sex ratio, defined as the number of males per 100 females. New York had a sex ratio of 90, compared to 91 for the foreign-born, but this masked major differences among groups. Pakistanis had the highest sex ratio, at 161, while it was just 70 for Filipinos and Trinidadians. Differences between groups were primarily due to their immigration histories. Among South Asians, the initial flow is comprised disproportionately of males; only after they establish themselves are they

5 TOTAL Native-born Foreign-born Dominican Republic China Jamaica Guyana Mexico Ecuador Haiti Trinidad & Tobago Colombia Russia Italy Korea Ukraine India Poland Philippines Bangladesh Pakistan Honduras Greece ' Mala per 100 females TABLE 1 SELECTED SOCIO-DEMOGRAPHIC Cmcmmsncs OF THE TOP 20 IMMIGRANT GROUPS IN NEWYORK CITY IN 2000 Males,Ages 16+ Fgnales,Ages 16+ Mean Mean Yo Not Yo High L.Force Earnings L.Force Earnings %Female Avg. Median Total Sex English School %in Panicip. (full Panicip. (full Total head, no workers Household Population Ratio' Proficient Graduate Poverry Rate time) Rate time) Households spouse per hhld Income 8,008,278 5,137,246 2,871, , , , , , ,944 95,580 88,794 84,404 81,408 72,481 70,990 69,727 68,263 65, ,865 39,165 32,358 29, $50,771 $6 0,7 5 4 $39,060 $25,746 $31,799 $35,967 $32,895 $21,284 $24,254 $31,576 $35,054 $29,904 $45,090 $56,466 $44,054 $43,12 1 $47,887 $37,690 $42,958 $27,960 $34,572 $26,998 $51, $40,369 $45,960 $32,293 $2 1,342 $28,278 $ 3 2, ,178 $ 16,737 $20,937 $29,785 $32,756 $25,230 $36,209 $4 1,744 $35,505 $36,373 $44,482 $29,993 $51,051 $22,051 $36~ 7 1 $21,030 $35,667 3,020,980 1,816,243 1,204, ,042 95,086 80,990 48,054 32,201 37,276 40,694 40,036 31,705 37,624 42,938 29,979 32,388 26,889 33,226 18,840 11,585 12,294 11,800 15, $37,700 $39,900 $35,000 $25,300 $33,320 $38,500 $4 1,960 $32,000 $36,000 $36,000 $36,300 $35,000 $28,000 $39,500 $ $23,100 $50,000 $33,100 $70,500 $33,300 $36,500 $27,000 $43,930 co -

6 82 INTERNATIONAL MIGRATION AND THE GLOBAL COMMUNITY joined by their spouses and children, which eventually lowers the sex ratio. For other groups, such as Trinidadians and Filipinos, females are in the vanguard of immigration. Filipino women have made disproportionate use of special visas allotted to those with nursing qualifications, which highlights how the sex ratio of a group can be affected by specific provisions in immigration law. Among city residents ages 25 and over, 72 percent were high school graduates, compared to just 65 percent for the foreign-born. With respect to the college-educated, 28 percent of city residents had a college degree, compared to 23 percent for the foreign-born. However, groups with relatively disadvantageous socioeconomic characteristics used various strategies to make their households economically viable, especially by having multiple workers in the household. This was particularly true for Mexicans. In 2000, just one third of Mexicans had a high school diploma and both males and females earned just over 40 percent of the city average. However, the combined earnings of multiple earners in Mexican households resulted in household income that was 85 percent of the city median of $37,700. This strategy was also adopted by Filipinos and Indians, groups with high levels of human capital, resulting in a median household income of $70,500 and $50,000, respectively. Latin American groups, in general, had low levels of socioeconomic attainment. Dominican and Honduran households were disproportionately female-headed, and both males and females had low levels of educational attainment, labor force participation, and earnings, resulting in high rates of poverty. But being disproportionately female-headed did not necessarily result in poverty. For example, though Jamaican, Trinidadian, Haitian, and Guyanese households were heavily female-headed, labor force participation rates for females were among the highest in the city, and poverty rates were below the city average. Many groups chose self-employment as a path toward upward mobility. Educational attainment among Italians and Greeks was below the city average, but both groups were disproportionately self-employed and had among the highest earnings. On the other hand, Koreans had very favorable educational characteristics, but 70 percent were not proficient in English, leading many to start their own businesses. The socioeconomic level of groups differed primarily due to the disparate set of skills they brought to the United States and because some groups are disproportionately composed of recent entrants, who have not yet adapted to the U.S. labor market.

7 PETER LOBO 83 ROLE OF IMMIGRANTS IN NEW YORK CITY S LABOR FORCE Immigrants play a crucial role in the city s labor force. Overall, immigrants account for 43 percent of New York s labor force: recent arrivals (those who entered in 1990 or later) account for 17 percent, while longer-resident immigrants account for 23 percent. Immigrants comprise a majority of those employed in several major industries, including Manufacturing (64 percent), Construction (58 percent), and in Accommodation, Food, and Other Services (54 percent). The largest industry in New York s economy is Educational, Health, and Social Services, which employs 765,400 resident workers. Immigrants made up 41 percent of this industry, with a large presence in hospitals, elementary and secondary schools, home health care, nursing facilities, and colleges and universities. Immigrants had a below average presence in Information (24 percent); Public Administration (25 percent); Professional, Scientific, Management, Administrative, and Waste Management (34 percent); and Finance, Insurance, and Real Estate (F.I.R.E.) (35 percent). IMPACT OF IMMIGRATION ON THE C ITS POPULATION BASE Population change is a function of two basic demographic components: natural increase and net migration. Natural increase is the balance of births and deaths, while net migration is the balance of persons entering and leaving the city. Those entering the city can be either domestic migrants or immigrants. lmniigration in the post-1965 period has helped mitigate catastrophic population losses New York City suffered in the 1970s, stabilized the city s population in the 1980s, and propelled the city to a new population peak of 8 million in Immigration continues ro play a crucial role in the city s population growth in the post-2000 period. Figure I1 shows the components of change in population for New York City for the period, which highlights the importance of immigration in maintaining population growth. The U.S. Census Bureau estimates that New York City s population grew from 8,008,278 in April of 2000 to 8,085,742 in July of 2003, an increase of 77,000, or under one percent. The components of population

8 84 Figure 11. INTERNATIONAL MIGRATION AND THE GLOBAL COMMUNITY Components of New York City Population Change, Population Change Ca Natural increase Net Migration Net International E23 Migration Net Domestic Migration Thousands change show that natural increase during this period was over 200,000. However, net migration was - 136,000-those leaving the city far outnumbered those entering the city. The net result was a population increase of 77,000. An analysis of the large streams that comprise net migration reveals the dynamic nature of the city s population. Net migration of -136,000 was the result of a loss of 475,000 residents to the 50 states (net domestic migration) that was only partly offset by the gain of 339,000 through net international migration. Thus, given continued outflows from the city, immigration is crucial in maintaining the city s population base. The population of many cities in the Northeast and Midwest peaked in 1950, and then declined, due to suburbanization and economic changes that resulted in central city job losses. New York City also went through this cycle of population losses, but its status as a magnet for immigrants has allowed it to reach a new peak population in Immigration not only directly offsets losses through domestic out-migration, but indirectly influences population growth through immigrant fertility. Immigrant women account for over one half of all births in New York City. Overall, immigrants and their U.S.-born offspring account for approximately 55 percent of the city s population.

9 PETER LOBO 85 IMPACT OF IMMIGRANTS ON THE CITY S HOUSING Forty-three percent of all households in the city were headed by a foreignborn resident. Recent entrants comprised 14 percent of all household heads, while longer-resident immigrants accounted for 29 percent. Foreign-born household heads overall were underrepresented among homeowners, accounting for 40 percent of owner-occupied housing units. Home ownership requires not only capital but also knowledge of the housing market. Not surprisingly, longer-resident foreign-born heads were overrepresented, with a 35 percent share, while recent entrants accounted for just six percent. Recent entrants were disproportionately represented in market-rate rentals, accounting for over one fifth of this type of housing, while longerresident foreign-born heads comprised just over one quarter. Foreign-born heads overall accounted for nearly one half of market rate rentals. Foreign-born heads of household were less likely to live in public housing. Immigrant household heads who were recent entrants accounted for just four percent of public housing, while longer resident immigrant heads comprised 18 percent. Thus, immigrants were less likely to live in public housing irrespective of the time spent in the United States. As a result of population losses in the 1970s and early 1980s, housing in many neighborhoods of the city was abandoned, but most of this housing has been brought back, often due to immigrant occupancy. Indeed, imniigrant households accounted for 48 percent of all housing units occupied between 1990 and In many neighborhoods in Queens, immigrants accounted for 70 percent or more of recent occupancy. The U.S.-born children of immigrants-rhe second generation-also play a crucial role in the city s housing market. Of all the new housing units that came on the market between 1998 and 2002, 13 percent were occupied by a second-generation householder, while 34 percent were occupied by an immigrant head. IMPACT OF IMMIGRATION ON THE CITS RACIAL AND ETHNIC COMPOSITION Post-1965 immigration has radically altered the racial/hispanic composition of New York, from a white-majority city to one where no single group comprises a majority. Though white non-hispanics remained the largest group in 2000, they comprised just 35 percent of che population, down from 63 percent in While the share of white non-hispanics declined, other

10 86 INTERNATIONAL MIGRATION AND THE GLOBAL COMMUNITY groups saw major increases. Between 1970 and 2000, black non-hispanics increased their share from 19 percent to nearly 25 percent, while the share of Hispanics increased from 16 percent to 27 percent. Asians nearly quintupled, from 2 percent in 1970, to 10 percent in The change in the racial composition of the city has been accompanied by increases in ethnic diversity within each race/hispanic group. The Afro-Caribbean population, for example, comprised nearly one-third of the black non-hispanic population, up from under 10 percent in Puerto Ricans are no longer a majority among Hispanics, and the group now includes large numbers of Dominicans, Mexicans, Ecuadorians, and Colombians. Among Asians, the Chinese majority has been diluted by the Asian Indians, Koreans, Filipinos, and Bangladeshis. Indeed, New York epitomizes the World Ciry. Further changes are on the horizon. The population aged 65 and over, which represents the city s demographic past, is the only age cohort with a white majority. On the other hand, among those under the age of 18-the age cohort that represents the city s future-hispanics were the largest group, comprising 34 percent. They were followed by black non-hispanics (29 percent), white non-hispanics (24 percent), Asian non-hispanics (10 percent), and those of multiracial non-hispanic backgrounds (3 percent). As the white population ages out, the city s overall population will reflect the raciauhispanic make-up of these younger age cohorts as they ascend the age distribution. REFERENCES Boyd, M Family and Personal Networks in International Migration: Recent Developments and New Agendas, International Migration Review, 23: Lobo, A. P. and J. Salvo 2004 The Newest New Yorkers, 2000: Immigrant New York in the New Millennium. New York: New York City Department of City Planning. Lobo, A. P., R. Flores and J. Salvo 2002 The Impact of Hispanic Growth on the Racial/Ethnic Composition of New York City Neighborhoods, Urban Afnirs Review, 37(5): Salvo, J. and A. P. Lob Immigration and the Changing Demographic Profile of New York. In The City nnd the Work$ New York s Global Future, edited by Margaret Crahan and Albert0 Vourvoulias-Bush. New York: Council on Foreign Relations. Pp Winnick, L New People in OM Neighborhoods: The Role of Immipmts in Rejuvenating New York 5 Communities. New York: Russell Sage Foundation.

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