The Mandatory of E-Verify System for Government Subcontractors
Peterwl22
A U.S. District Court Judge recently denied a motion for summary
judgment in a challenge to a regulation requiring all federal
contractors to participate in the E-Verify system. This lawsuit was
brought by the U.S. Chamber of Commerce, the Society for Human
Resource Management (SHRM), the Associated Builders and Contractors,
Inc. and the HR Policy Association.
DHS Secretary Napolitano issued a July 8, 2009 press release stating
the Obama Administration's support for the new regulation which
requires federal contract awards to be granted only to companies that
participate in the E-Verify system. This regulation, which has now
survived legal challenge, requires not only that federal contractors
participate in E-Verify, but certain subcontractors, as well.
The new E-Verify regulation goes into effect September 8, 2009. E-
Verify compares information from each employee's Form I-9 with
information from the SSA's databases, to confirm the individual's work
authorization. To reduce the occurrence of errors, E-Verify has been
enhanced with access to DHS's naturalization records, as well as the
U.S. Department of State's passport records.
These additional sources of data may help reduce mismatches of
naturalized U.S. citizens, born in foreign countries. The regulation
will only apply to federal contractors and subcontractors who are
awarded new federal contracts that contain a federal acquisition
regulation (FAR) E-Verify clause. E-Verify is currently authorized by
the U.S. Congress on a temporary basis, which must be renewed each
year.
This impact of the E-Verify regulation on government contractors will
have to be assessed over time. As contracts for new projects are
awarded, or others renewed with the addition of the FAR E-Verify
clause, greater numbers of employees will be screened by the E-Verify
system.