An Alternative U.S. Immigration Strategy

June 12, 2006

Overview

Illegal immigration into the United States has reached meteoric proportions.  Although, a large number of illegal immigrants migrate to large cities, smaller cities and towns have also seen a rise in illegal immigration.  The influx of illegal immigrants has put a strain on social services and infrastructure in many cities throughout the United States.  However, these same illegal immigrants are key factors in keeping costs in the construction and service industries low and have fuels economic growth in the U.S. over the last 10 years.

This brief, developed by the Institute for Global Excellence (IGE), provides suggestions as to how to address the illegal immigration issue to provide fair and humane treatment to this class of people while maintaining the integrity of the U.S. borders.  In addition, this brief addresses the balance between the benefits of illegal immigration (mainly low labor rates) versus the social and financial impact illegal immigrants have on the United States.

Environment

Large wage discrepancies between the United States, Latin America, Africa and Asia have fueled illegal immigration into the United States.  These immigrants are for the most part, law-abiding citizens mainly looking for a better life for their families.  However, because there is not a system to manage and track these individuals, they often are exploited by employees and criminals.  Many illegal immigrants come to the United States on a temporary basis to take advantage of seasonal work, but due to personal conditions, do not return to their home country.

U.S. Immigration Management Plan

IGE recommends the following strategies to address the United States illegal immigration issue:

Employment

- In order to manage the immigration process, the United States must know which individuals within the United States are illegal immigrants.  The United States should develop a non-criminal Immigration tracking system that is administered by the Social Security Administration.  Illegal Immigrants would be able to instantly receive an immigration number (similar to a social security number) through a potential employer, an immigration website, the Social Security Administration website or by visiting a local social security office.  To ensure maximum participation by the illegal immigrants currently within the United States, It must be illegal for any federal, state or local government agency to use information obtained from illegal immigrants that receive an immigration number to enforce immigration laws.   This law must be made clear to all illegal immigrants and employers.  This information must be used only for administrative and taxing purposes.  It must be very simple and easy for illegal immigrants to obtain an immigration number throughout the United States.

- Require all employers to obtain either a social security or immigration number for all employees working within the United States.   Also, require customers of banks, credit unions, credit card companies, landlords, etc. to have either an immigration or social security number.

- Make it legal to hire anyone (including illegal immigrants) within the United States as long as the individual has an immigration or social security number.

- Assess an additional 5% illegal immigration tax to employees hiring illegal immigrants and an additional 5% illegal immigration tax on wages of all illegal immigrants working within the United States. Illegal immigrant tax payments would be transferred to the illegal immigrant’s social security accounts if they became U.S. citizens (See below).

- The goal of this program is to track and tax 90% of all illegal immigrants within the United States.  This strategy would allow illegal immigrants to work within the United States; but require illegal immigrants to pay an illegal immigration tax.   This strategy also gives both employees and illegal immigrants the incentive to move towards legal immigration.   Legal immigrants and United States citizens will not be assessed this tax.  These taxes should generate over $1 trillion in additional payroll and income taxes over 10 years.

- Make it illegal to hire anyone within the United States that does not have either an immigration or social security number, with violators subject to criminal charges and significant fines.  Also, make it illegal for an employee not to assess illegal immigration taxes on any illegal immigrant.    This includes day labors and temporary workers.

- Use the funds from the illegal immigration tax to support border security, the legal immigration process and to assist cities and towns with social services for illegal immigrants.

Path to Citizenship

- Military service is one of the greatest forms of patriotism in the United States.    Illegal immigrants and their immediate families with a minimum of 4 years of active duty military service would be given United States citizenship.

- All illegal immigrants and their children that accurately files and pay federal income taxes for seven consecutives years would be given United States citizenship.

- Create a social security account for all illegal immigrants that become U.S. citizens with their initial social security account balance equaling the amount of illegal immigration taxes paid to the U.S. government.

- Review the current immigration process and consider streamlining strategies in order to accept a larger number of immigrants.

Border Security

- Use the additional tax revenue generated from the immigration management program to fund enhanced border security.

- Increase U.S. border patrols by 1000% over 5 years.

- Employ high tech surveillance systems and strategies to maintain secure borders within the United States.

- Aggressively track and prosecute human traffickers and illegal immigration operatives.

Implementation

The White House, the U.S. Homeland Security Department, the U.S. Treasury Department and the U.S. Congress should charter committees to implement this new program.

Summary

The above brief outlines positive actions that can be taken to address the illegal immigration issue within the United States.  These strategies are humane, practical and fair for both the citizens of the United States as well as the illegal immigrants that have come to the United States to build a better life.