Undocumented immigrants play a significant role in the economies of Ventura and Santa Barbara counties, according to a new report from California Lutheran University’s Center for Economics of Social Issues (CESI). The study, titled “Undocumented but Indispensable: Updated Findings on Their Economic Impact in Ventura and Santa Barbara Counties,” estimates that these workers contribute about $5.8 billion to the region’s gross domestic product.
The 67-page report provides updated demographic data and economic analysis. It highlights that, as of 2021, undocumented immigrants made up 5.8% of Ventura County’s population and 8.8% of Santa Barbara County’s population. Their economic impact is even more pronounced: undocumented workers are responsible for 12.3% of Ventura County’s GDP when direct, indirect, and induced effects are included; in Santa Barbara County, their contribution approaches 15%.
The report also finds that most undocumented immigrants are working age and have lived in the area for many years—over 78% have resided in Ventura County for more than a decade, while over 71% have done so in Santa Barbara County. More than 30% have lived there for over twenty years.
In terms of job creation, CESI estimates that undocumented immigrants support an additional 27,115 jobs across both counties. They also pay a combined total of $1.4 billion in taxes through employer and employee contributions—approximately $809 million in Ventura County and around $619 million in Santa Barbara County—even though they are not eligible for Social Security benefits due to their immigration status.
Demographically, the vast majority identify as Hispanic or Latino: 91% in Ventura County and 94% in Santa Barbara County.
Despite their economic importance, many undocumented workers face financial challenges related to housing costs because they tend to earn among the lowest wages. In Ventura County, CESI reports that nearly three-quarters (73%) of renters who are undocumented are financially burdened by housing expenses; almost two-fifths (39%) spend more than half their income on rent.
CESI researchers decided to update their previous findings as new data became available since their last major study published in 2023.
“The interest in the economic impact of undocumented immigrants is very high at present,” said Jamshid Damooei, Ph.D., Cal Lutheran economics professor and CESI’s executive director.
“I think taking it even higher and asking for the creation of a path to citizenship, as President Reagan had done, should be welcomed by all political parties. This call for action has the potential to make a significant impact, and I believe we can further amplify its reach.”
The full report offers suggestions aimed at improving conditions for undocumented workers as well as employers and local communities affected by current U.S. government policies regarding immigration.
For more information about California Lutheran University or to view the complete report online, visit CalLutheran.edu.
