Trump administration policies on immigration have impacted 65% of businesses

The Trump administration has changed multiple rules around employing immigrants since January 2025, and HR and legal leaders say it’s already impacting their businesses, according to a new Littler survey.

Nearly two-thirds (65%) of respondents said that immigration decisions have impacted their business, with roughly one-quarter (24%) experiencing at least moderate staffing challenges as a result. The changes have especially impacted businesses in the technology and hospitality sectors.

Preliminary data from the Census Bureau found that the US workforce shrunk by roughly 1.2 million immigrants in the first half of 2025. Some companies have reduced hiring, shut down operations or let workers go over the last year as the Trump administration has stepped up immigration enforcement. Companies are, “not able to find the talent to replace that talent that [they] had to let go,” according to Jorge Lopez, chair of the immigration and global mobility practice at Littler.

The majority of larger companies can make changes and still run their operations. “I think the smaller ones are going to have more problems,” Lopez told HR Brew. “They have less opportunity to absorb the shock, the economic shock, and the staffing shock.”

Trump admitted last summer that his immigration policies may harm businesses. Many employers have called on his administration to reverse course or make it easier for immigrants to work in the US.

Employers and lawyers, meanwhile, are struggling to plan for unpredictable policy changes and don’t know what they’re going to wake up to next, according to Lopez. “Every day it’s a new issue, and it’s very quick to run a business when you don’t know what the rules of the game are,” he said.

Businesses typically prefer predictability and consistency in the application of rules, according to Lopez. “It’s constantly preparing for change,” he said. “You can agree or disagree with the policy, but once you know what the policy is, you work around that policy.”