What the heck is E-Verify?

Di Ann Sanchez — Mon, 15 Aug 2011 13:33:39 +0000

Executive Order 13464 mandates electronic verification of all employees working on any federal contract as awarded after 9/8/09 that includes the FAR (Federal Acquisition Regulation) and E-Verify Clause (73 FR 67704). This means any employer who becomes a federal government contractor is subject to the Order and is monitored by The Department of Homeland Security. Most cities and states are also requiring employers/contractors to comply with this federal provision and must enroll within 30 days of the being awarded a contract. The employer must do both the I-9 form and E-verify for all new hires. Furthermore, all existing employees assigned to a federal contract must be processed through E-verify with 90 days of a contract being awarded.

The Legal Workforce Act of 2011 (H.R. 2164) was introduced in the House on June 14, 2011. This legislation would change how American employers verify the eligibility of job candidates and new hires. This would require all employers in the country to use E-Verify, the federal government’s electronic verification system, and would eliminate the I-9 immigration status form. According to sources, President Barack Obama has expressed interest in developing a nationwide electronic verification system and would most likely sign H.R. 2164.

If you would like to take a free webinar about E-verify go to www.dhs.gov/e-verify. You can also E-Verify yourself.

Reference: SHRM Article 11/9/2009, E-Verify: Covered Employers: Which employees must covered contractors E-Verify? Can they verify all employees? / SHRM Article, Leonard, B. 6/15/2011, Bill Would Mandate E-Verify for All U.S. Employers

Legislative Changes Businesses Should Watch!

Di Ann Sanchez — Thu, 20 Aug 2009 13:18:13 +0000

Retracted “no match” letters rules

The Department of Homeland Security (DHS) has requested the rescinding of the “No MATCH” rule. The “No Match” rules would have required employers to re-verify employees social security numbers. Employers would have been subject to fines, and be forced to terminate employees if discrepancies were not resolved. THIS RULE HAS BEEN RETRACTED FOR NOW!

I-9 Extended

The Department of Homeland Security (DHS) has extended the current I-9 form which expired on 6/30/09 until DHS develops a new I-9 form.

E-Verify set to start 9/8/09

Federal contractors and subcontractors are to begin using the new E-Verify program on 9/8/09. If companies do not comply with the E-verify program they may lose government contracts, will not be able to be awarded new contracts and can be fined for each I-9 infraction.

Health Care Costs Increase

Estimated health care coverage costs are projected to increase 10-11% through the remainder of 2009 and 2010 according to National Survey of Insurers. (www.buckconsultants.com).

National Pay Raises

2009 median merit increases are 2% and 2010 expects 3% merit median increases (Watson Wyatt 2009/2010 U.S. Strategic Rewards Survey).

Health Care Reform

Legislation (HR 3200) under consideration in the House would require businesses to provide health benefits to their employees or pay a fee of 8% of the company’s payroll to help fund a public health care plan. The Senate version would require employers to offer health insurance to offer health insurance to their employees, with small business exemptions. Continue to watch this legislation!

Unemployment Rate

As of 8/7/09 the new national unemployment reate is 9.4%!

EFCA Update

The Employee Free Choice Act (EFCA) will be amended to exclude the controversial “card check” provision. Employer penalties and binding arbitration is still in the bill. Employers are encouraged to train supervisors in potential labor relations issues at the work place. Continue to watch this bill develop!

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