Many Replace Illegal Aliens : Indochinese Refugees Favored by Employers

As the immigration law makes it more difficult to hire illegal aliens, employers increasingly are turning to Indochinese refugees as a source of legal labor in jobs traditionally held by undocumented workers.

At the same time, the Immigration and Naturalization Service has launched an effort to encourage employers to contact refugee resettlement officials who can help screen refugee workers.

In recent weeks, INS officials have written letters and held meetings in which they have tried to persuade state officials and employers, including McDonald’s, the fast-food chain, to join the movement toward hiring refugees.

“If we tell employers they can’t hire illegals, we have an obligation to tell them where to get legals,” said John R. Schroeder, the INS assistant commissioner for employer and labor relations.

Fines Up to $10,000

Under the 1986 law, employers who knowingly hire illegal aliens face fines ranging from $250 to $10,000 and possibly jail terms. The INS ended its education period for employers on June 1 and now has stepped up enforcement of the sanctions, thus adding urgency to employers’ need to ensure that they hire legal workers.

So far, INS has assessed $962,200 in fines against 130 employers and has collected $93,150. The new program, combined with an enforcement crackdown, sends a message, Schroeder said: “This tells employers who’ve been using illegal aliens, ‘You’ve got to be creative in your approach to getting help.’ ”

The ranks of refugees are fertile ground for unskilled, eager workers. Since 1975 more than 1 million refugees have entered the country--mostly Indochinese from Vietnam, Cambodia and Laos--and another 65,000 come each year. Legal immigrants by definition, these people qualify for refugee status if they have “a well-founded fear of persecution in their country because of their race, religion, nationality or political opinion.”

50% Get Welfare

The INS is urging employers to hire refugees partly because getting jobs for them means, theoretically, getting them off welfare and other social services available to them on arrival. More than 50% of refugees depend on welfare during their first two years in this country, according to the Office of Refugee Resettlement at the Department of Health and Human Services.

While many experts around the nation praise refugees as dedicated workers and welcome efforts to find them work, some of their advocates fear their increased use may simply mean that one exploited group is replacing another.

Industries such as restaurants, hotels and clothing manufacturers--those that traditionally have hired illegal aliens--are prime candidates for the escalated hiring of refugees.

And some local communities, especially those with large refugee populations, may welcome the new effort as a way of easing the financial burden of refugees amid cutbacks of federal assistance.

In Los Angeles, a pact is forming between the garment industry and refugee resettlement officials, as the industry tries to meet a worker shortage and, at the same time, combat a widespread reputation for poor working conditions.

‘Not Sweat Shops’

After meeting with INS officials and touring several garment factories, Joan Pinchuk, coordinator of refugee affairs for Los Angeles County, decided the establishments she saw were “not sweat shops.” She said her agency and the businesses were “in the process of developing some partnerships to match our refugee projects to their labor needs.”

Pinchuk said she expects to begin selecting workers in the next few weeks. “We have identified areas with the largest populations,” she said, adding that she will try to match workers to work sites that are closest to their homes.

Adolfo Mendez, executive director of the Western division of the American Apparel Manufacturers Assn., which represents 650 of the large manufacturers nationwide, said that because of the immigration law’s prohibitions on illegal workers, “we’ve seen the labor pool shrink on us.”

‘Alternative Labor Pool’

In the new partnership with Pinchuk, he said, companies are “trying to cultivate an alternative labor pool.” Defending his industry against charges that it exploits workers, Mendez said the average hourly pay is $5.50 to $8, higher than the federal minimum of $3.35.

Some companies have been hiring large numbers of refugees ever since the immigration law, officially known as the 1986 Immigration Reform and Control Act, went into effect in November, 1986.

In Attleboro, Mass., David Styles, plant manager of Composite Technical Alloys Inc., which makes parts and packaging for the semiconductor industry, said about 80 of his 100 employees are refugees--mostly Indochinese.

“You know, for the most part, that the Asians are legitimate and they have all the (immigration) papers they need,” Styles said.

Several experts said Indochinese are most likely to be hired, not only because they are the largest group of refugees but also because they are more likely than other refugees to speak some English and be familiar with U.S. customs.

INS Writing Letters

Trying to enlist help in encouraging more companies to hire refugees, Alan C. Nelson, the INS commissioner, has written letters to state officials. His letter says INS officials are “finding that jobs formerly held by illegal aliens are now available for U.S. citizens and legal aliens. This is good for all of us.”

Nelson said many employers who are “anxious to comply” with the immigration law “are unacquainted with sources of legal labor.” INS will help, he said, by informing employers about organizations that can provide refugee workers.

Several state officials responded cautiously to the idea of using refugees to replace illegal workers.

“A lot of illegal aliens were probably in low-skill occupations,” said Patrick Chavez, Colorado’s acting program administrator for refugee services. “We’re trying to get refugees into jobs that have some benefits attached, particularly medical.”

Bruce Bushart, New York state refugee coordinator, said he was “not endorsing or condemning the INS program.” He said he wants to be sure that refugee workers would replace illegal workers, not legal workers fired unfairly.