President Trump was clear in his pitch to voters: In 2024, he pledged to bring back the American Dream. Removing immigrants “taking jobs from American workers and driving down their wages” was a key part of the plan.
A few years later, the effects of this policy are now visible in the labor market. January data from the Census Bureau showed an historic decline in net international migration, down from a peak of 2.7 million people in 2024 to an estimated 321,000 by mid-2026. Brookings puts that figure even lower, saying the U.S. could see negative net migration this year.
Economists previously told Fortune that this changing pattern has helped stabilize the U.S. unemployment rate as demand has dropped over the past few years, with the rate holding steady at 4.1% in the latest data. But Mark Zandi, chief economist at Moody’s, recently noted foreign-born unemployment fell below native-born unemployment in October 2025, based on analysis of a 12-month moving average of seasonally unadjusted data.
The drop in foreign-born unemployment is relatively easy to explain, Zandi tells Fortune: The immigrant labor force is shrinking because of White House policy, and unemployment for the demographic is relatively lower as a result.
