Promising Returns: How Embracing Immigrants with Temporary Protected Status can Contribute to Family Stability, Economic Growth, and Fiscal Health

The U.S. Department of Homeland Security’s decision to end temporary protected status (TPS) for certain nationalities has left millions in legal status limbo, as challenges to the decision play out in the courts. This situation has prompted researchers at the Center for the Study of Immigrant Integration (CSII) at the University of Southern California to examine the economic consequences of this policy change. Using the American Dream and Promise Act of 2019 as a standard (The Act seeks to give a pathway to permanent residency for TPS recipients), the researchers calculated the impact of the Act on the overall economy. They point out that the government’s decision to rescind TPS affects not only TPS recipients themselves, but also an estimated 1 million other individuals living in households with TPS recipients; almost half of these individuals are U.S. citizens. This widening of the TPS circle occurred because most TPS recipients have been living and working legally in the U.S. for many years. The three largest nationalities benefitting from TPS are Salvadorans, Hondurans, and Haitians. The researchers estimated that Promise Act households contribute more than $35.2 billion to the country’s GDP. These individuals also help to prop up the housing market, providing annual mortgage payments of $1.5 billion and rental payments in excess of $2.8 billion. Forcing these individuals to leave the country, especially when conditions are still precarious in their home countries, would result in a serious economic loss, as well as a threat to their well-being. The report concludes with insights from in-depth interviews with TPS recipients.

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