Firms that employ workers living in the US without legal permission are 18.9pc less likely than other firms to go out of business, according to a study led by J. David Brown of the Institute for the Study of Labour, in Germany, of companies in the state of Georgia. The benefits of employing these workers stem from companies’ ability to pay them less and are most pronounced in labour-intensive industries where companies are geographically concentrated and where worker churn is high.
(Source: Journal of Regional Science)
Published in Dawn, Business & Finance weekly, October 12th, 2015
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