August 31, 2009 -- The Federal E-Verify system to determine the employment eligibility of workers is nearing the deadline for implementation by government contractors. Most businesses receiving contracts or sub-contracts from the federal government are required to participate in the E-Verify program, which aims to ensure that any employees at these organizations are properly documented.
Employers are required to enroll in E-Verify if and when they are awarded a federal contract or subcontract that requires participation in E-Verify as a term of the contract.E-Verify is an Internet based system designed to enable employers to verify electronically that newly hired employees are authorized to work in the United States. The program goes into effect September 8, 2009, following a decision issued by the U.S. District Court on August 26, 2009. (U.S. District Court for the District of Maryland, Civil Action No. AW-08-3444 (2009).)
E-Verify is operated by the United States Citizenship and Immigration Services (USCIS), within the Department of Homeland Security (DHS), in partnership with the Social Security Administration (SSA). The program is intended to remove the uncertainty that accompanies document review during the I-9 process. The system utilizes social security numbers (SSNs), Alien Registration Numbers, and I-94 Numbers and checks to make sure that a worker's name matches his Social Security Number. If the worker is not a U.S. citizen, the system also checks to make sure his work authorization is still valid and shows the employer the picture that should be on the DHS-issued identity card.
Companies that are awarded federal prime contracts above $100,000, as well as subcontracts above $3,000, are required to use E-verify. Usage of E-Verify also applies to certain indefinite-delivery/indefinite-quantity contracts modified after the September 8, 2009 effective date. The deadline means that most federal contracts awarded and solicitations issued after September 8, 2009, must include a clause regarding use of E-Verify. Covered federal contractors must use E-verify to confirm the work authorization of all new hires, regardless of whether the new hire will perform work on the federal contract, and all existing employees who perform work on the federal contract.
For companies already enrolled in E-Verify that are awarded a federal contract after September 8, 2009, they will need to update their company profile once the contract has been awarded. When a newly designated federal contractor wins the bid on a federal contract that contains the E-Verify clause, the contractor and any covered subcontractors on the project are required to enroll in the E-Verify program within 30 calendar days of the contract or subcontract award date. Those companies then have 90 days from the enrollment date to initiate verification queries for existing employees who will be working on the contract and begin using the system to verify newly hired employees. After this 90-day phase-in period, companies will be required to initiate verification of each newly hired employee within 3 business days after their start date. Employers may initiate verification of a newly hired employee before their start date, however, pre-screening of job applicants is not allowed. With some exceptions, employers must continue to use E-Verify for the life of the contract for all new hires, whether or not they are employees assigned to the contract.
Employers should also be aware that the E-Verify system is not infallible. Problems can arise from simple typing and other unintentional errors to instances where E-Verify erroneously reports that a worker is not authorized when they are in fact authorized. In such instances, employers may need to take additional measures to verify work authorization and notify workers when it appears that they to correct their records with the SSA. For more information about the federal program, visit http://www.uscis.gov.
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