A wave of immigration raids across Los Angeles has sent shockwaves through the city’s small business community, with owners describing the impact as more devastating than the early days of the COVID-19 pandemic. Over the past week, coordinated actions by federal agents have led to multiple detentions in neighbourhoods where immigrant labour is the backbone of the local economy. The resulting fear and disruption have left many business owners struggling to keep their doors open.
The raids, conducted by Immigration and Customs Enforcement (ICE), have targeted commercial corridors in areas such as Boyle Heights, Pico-Union and parts of Koreatown. While officials have framed the actions as a crackdown on undocumented workers and visa violations, many local business owners say the measures have paralysed their operations and undermined trust within the community.
“It’s worse than COVID,” said Marisol Reyes, who runs a family-owned bakery in East LA. “During the pandemic, at least we had some kind of roadmap. Now, we don’t know who’s next or how long this will last.” Her two main kitchen workers were taken into custody on Monday morning, just as the shop was opening. By noon, she had to close for the day, unable to meet customer orders.


Others echoed similar stories. A garment shop employing mostly Central American immigrants was raided on Tuesday, and its owner, who declined to be named, said ICE agents demanded employment records and threatened closure. “It’s like living in a war zone, except you don’t know what the rules are,” he said. “People are scared to come to work. Customers are staying away. This is economic warfare.”
The timing of the raids has raised questions among city officials and immigrant advocacy groups. With inflation still pinching household budgets and many small businesses only just recovering from pandemic-related losses, the latest crackdown risks deepening existing vulnerabilities. Advocacy groups warn that the fear of arrest is spreading far beyond those directly affected, deterring people from seeking medical care, reporting crimes, or even sending their children to school.
Los Angeles Mayor Karen Bass criticised the raids in a statement on Wednesday, calling them “disruptive, disproportionate and inconsistent with our values as a city.” While immigration enforcement falls under federal jurisdiction, city leaders have pledged to support affected families and explore legal avenues to limit local cooperation with ICE.
Business groups, meanwhile, are demanding clarity. The Los Angeles Chamber of Commerce issued a statement urging federal agencies to provide advanced notice of enforcement actions and to consider the economic consequences of broad, unannounced raids. “Small businesses are not prepared to withstand this kind of shock,” said spokesperson Danielle Kim. “The ripple effects could be severe across multiple sectors.”
Community organisers are scrambling to fill the gap. Pop-up legal clinics, food drives, and mental health services have emerged across the city, aimed at supporting undocumented workers and their families. But resources are stretched thin, and the atmosphere remains tense.
For many business owners, the most pressing issue is uncertainty. With no clear end to the enforcement campaign and little guidance from federal authorities, they are being forced to make difficult choices—scaling back operations, reducing hours, or in some cases, shutting down entirely.
“We survived lockdowns, curfews, and health inspections,” said Reyes. “But this? This feels like we’re being erased.”
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