New Jersey and Pennsylvania Consider Stricter Employment Verification Requirements
Proposed legislation in Pennsylvania and New Jersey would impose stricter work authorization verification requirements on employers.
Pennsylvania
House Bill 1502 would require all contractors and subcontractors on public works projects to verify the employment eligibility of new employees through E-Verify, the federal electronic employment verification system, and to verify existing employees’ Social Security numbers. In June 2010, this bill was referred to the House State Government Committee.
House Bill 1503 would require all construction industry employers to verify the employment eligibility of new employees through E-Verify and to verify existing employees’ Social Security numbers. This bill was passed by the House in June 2010 and is currently in the Senate Labor and Industry Committee.
Employers that in good faith rely on federal programs (E-Verify and the Social Security Number Verification Service) to verify new employees’ legal work status and existing employees’ Social Security numbers will be immune from sanctions. However, employers face debarment from public work contracts (HB 1502) or license forfeiture (HB 1503) for noncompliance. Additionally, employers could face civil liability for retaliating against employees who complain about alleged violations or participate in investigations, hearing or inquiries concerning alleged violations.
New Jersey
New Jersey has also introduced two bills, Senate Bill 1842 and Assembly Bill 2600, which would prohibit the employment of unauthorized workers and require all employers who employ 100 or more employees to verify the employment eligibility of all new employees through E-Verify beginning January 1, 2011; compliance for smaller employers would begin on January 1, 2012.
In New Jersey, a rebuttable presumption that an employer did not intentionally or knowingly employ an unauthorized alien will exist if E-Verify was used for verification purposes. Violations can result in sanctions ranging from $100 to $1,000 and suspension and/or revocation of business licenses, depending on the severity of the offense. The New Jersey legislation, unlike the Pennsylvania bills, contains no retaliation provisions.
S1842 was introduced in May 2010 and referred to the Senate Labor Committee. A2600, also introduced in May 2010, was referred to the Assembly Labor Committee.
Employer Audits
The New Jersey and the Pennsylvania proposals also contain enforcement mechanisms. Under the proposed measures, the Pennsylvania and New Jersey labor departments would conduct employer audits and investigate complaint-based allegations to ensure employer compliance. Given the current climate surrounding immigration, it is not surprising that both states have included audits as an enforcement tool. As we previously discussed on this blog, the centerpiece of the Obama administration’s immigration enforcement strategy is the employer audit and, thus far, federal agencies have doled out considerable fines for non-complying employers.
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The Department of Homeland Security (DHS) will be implementing additional requirements for employers who register for the E-Verify electronic employment verification system, in order to provide additional protection for employees’ personal information. Previously, registering employers provided E-Verify with their business name, business address, mailing address, phone number and other information, which was then compared to information already in E-Verify’s system in order to prevent duplicate registrations. Now, according to the DHS’s June 2010 
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Businesses in the southern California city of Lancaster will be required to use E-Verify to confirm new hires’ eligibility to legally work in the United States, according to the 
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