E-Verify is an internet-based system used by United States employers to confirm the employment eligibility of their new hires. Currently, there are approximately 1.39 million employers enrolled in E-Verify. This system is operated by the U.S. Citizenship and Immigration Services (USCIS) and is designed to help employers maintain compliance with immigration laws. It compares information from a newly hired employee’s Form I-9 to the U.S. Department of Homeland Security (DHS) and the Social Security Administration (SSA) databases to ensure that the employee is legally allowed to work in the United States.
Although E-Verify is still voluntary for most employers, it is mandatory for employers with federal contracts or subcontracts that contain the Federal Acquisition Regulation (FAR) E-Verify clause. However, with this being said, there are some states that require or mandate the use of E-Verify.
- Alabama, Arizona, Florida (employers with 25 or more employees), Georgia (employers with 11 or more employees), Mississippi, North Carolina (employers with 25 or more employees), South Carolina, Tennessee (employers with 35 or more full-time equivalents), and Utah (private employers with 150 or more employees) require E-Verify for some, or all employers.
- Colorado, Idaho, Indiana, Louisiana, Michigan, Minnesota, Missouri, Nebraska, Oklahoma, Pennsylvania, Texas, Virginia (state agencies and public contractors with over 50 employees), and West Virginia mandate E-Verify for public employers, contractors, or both.
- Texas requires state agencies (to verify the employment eligibility of new hires), institutions of higher education (all newly hired employees), and sexually-oriented businesses (for all employees and independent contractors) are required to enroll in and use the E-Verify system. Additionally, state contractors and subcontractors seeking public contracts with the state are required to enroll in E-Verify.
Employers are encouraged to review their individual state regulations when it comes to the use of E-Verify. With this being said, some of the regulations that employers must follow include:
- Verification may occur only after a job offer is accepted and the employee has completed the Form I-9.
- Employers and employees must complete the Form I-9 for all new hires within three-days of the start of the employee’s employment with the employer.
- If an employer uses E-Verify they must use it for all new hires, not selectively choose who they want to submit to E-Verify.
- Definition of employee in most cases is as follows: individuals paid directly by the employer for labor or services, even if not considered traditional employees. Employers are required to maintain copies of identity and work authorization documents for these “non-employees” as well.
- Employers who are required to use E-Verify must display the E-Verify participation poster and a “Right to Work” poster, if applicable, in both English and Spanish in their workplaces.
Enrolling in E-Verify is fairly simple if an employer has a computer and Internet access. Employers who participate in E-Verify will need the capability to print various forms, notices and publications, and Adobe Acrobat Reader software, which may be downloaded for free, to view portable document format (PDF) files.
Once an employer provides some basic information, agrees to follow the rules of the program, and views a tutorial and passes a test, they will be ready to begin utilizing the system. The following information is needed to enroll:
- The organization’s name and mailing address.
- Physical address and county of the location from which the organization will access E-Verify.
- Federal Employer Identification Number (FEIN), aka Federal Tax ID Number.
- First three digits of the organization’s primary North American Industry Classification System (NAICS) code.
- Total number of employees for all of the organization’s hiring sites that will participate in E-Verify.
- Contact information for the hiring sites that will participate in E-Verify in each state.
- Signatory and contact information for the E-Verify Memorandum of Understanding (MOU).
Employers new to E-Verify do not need to enroll current employees to “catch up” in the E-Verify system. After the enrollment process is complete, employers should utilize the E-Verify system no later than three business days after each new employee begins to work for wages. The system guides the employer through a series of questions, which follow the new employee’s Form I-9. E-Verify often displays a confirmation quickly. If E-Verify cannot initially match the information, the employer will be prompted to review and correct discrepancies. After an employee’s information is run through E-Verify, the system creates a case verification number and employers are required to either record the case verification number on the employee’s Form I-9, or to print the case detail page that contains the verification number and attach it to the employee’s Form I-9.
As stated above, employers are responsible for notifying employees that they are using the E-Verify system. An E-Verify poster and a “Right to Work” poster must be clearly visible to potential employees. These posters indicate that the employer participates in E-Verify and describe employees’ rights under the program. Posters are available on the E-Verify website and must be displayed in both English and Spanish.
For employers who are considering whether they should enroll in E-Verify, there are multiple advantages including:
- The ease and reliability of the system.
- E-Verify may save an employer the time and money spent for onboarding, training, and resourcing an individual who is not eligible for employment.
- Even though there is not currently a safe harbor for employers, utilizing E-Verify demonstrates that employers have made an effort to be compliant with immigration laws.
Disadvantages may include:
- There is no charge to employers to use E-Verify, however, there is an investment of employer time and resources for participation in this program.
- An inability to hire an individual if erroneous information isn’t corrected within the designated time frame.
- Potential risks of discrimination violations and a new concern for privacy obligations.
Penalties exist for non-compliance, including fines for failing to verify employees and maintain records, as well as for failing to enroll in E-Verify when required. However, if enrolled in E-Verify in Utah, there is a provision that provides an exemption from state law penalties for inadvertently hiring an illegal worker.
As with any new program, some employers experience a level of apprehension as they consider enrolling in E-Verify. They may wonder about the accuracy rates of information in the SSA and DHS databases and how often information is updated, or worry about whether utilizing E-Verify may allow the federal government to find errors that may not have been discovered in the Form I-9’s. However, even though there may be a few disadvantages and uncertainties, E-Verify is the only service that verifies employees’ data against millions of government records and provides results, usually within seconds, ensuring that employees are legal U.S. workers. There is no other program that provides the same peace of mind in such little time.
For additional information, please visit www.e-verify.gov or contact us at www.newfocushr.com.
Written By: Kristen Deutsch, M.B.A., CCP
President
08/19/2025
Source: www.e-verify.gov/employers
