The Legal Workforce Act introduced

June 15, 2011

On June 14, 2011, the Legal Workforce Act was introduced in the U.S. House. This bill would create a new nationwide employment eligibility verification system, and make significant changes to the I-9 process employers currently conduct. Some quick highlights of the bill include:

    
  • Replaces the current I-9 system. Introduces a new employment eligibility verification procedure, requiring employers to obtain and record a prospective employee’s SSN, a number assigned by the Department of Homeland Security if they do not have a SSN, and examine documents evidencing identity and employment authorization.
  • Reducing the documents that establish identity and employment authorization. The bill lists those documents that suffice to establish both identity and employment authorization, and only a Social Security Card would demonstrate employment authorization as an independent document.
  • EEVS. Confirming employment eligibility through a system similar to E-Verify; the Employment Eligibility Verification System (“EEVS”). It provides set timeframes and actions an employer must take if it receives a tentative non-verification when attempting to verify information on a new hire, including possibly termination of employment if the issue is not resolved within the established timeframe.
  • Staged compliance. The bill sets a timeline for compliance based on employer size (# of employees).
  • Increased penalties. Penalties for noncompliance increase from the current penalty structure, with some double the current penalty and others representing tenfold increases.
  • Provides a good faith defense to employers, although failure to correct a deficiency would constitute a violation unless it was deemed de minimus.
  • Federal preemption. The legislation would explicitly preempt state law, although a state may continue to exercise its authority over business licensing in order to impose a penalty for failure to use the new system
   
The House was scheduled to debate the bill on June 15, 2011, so to say this legislation is on a fast track would be an understatement. The U.S. Chamber of Commerce has issued the following statement on the legislation:

    

WASHINGTON D.C.—U.S. Chamber of Commerce Senior Vice President of Labor, Immigration, and Employee Benefits Randy Johnson, issued the following statement today in support of the “Legal Workforce Act,” introduced by Rep. Lamar Smith, Chairman of the House Judiciary Committee:

“The Chamber commends Chairman Smith for introducing a new E-Verify bill that has strong preemption language for state and local laws mandating the use of E-Verify or establishing state or local employment verification schemes, mirrors the existing FAR rules for federal contractors using E-Verify on current workforce, and establishes a fully electronic employment verification obligation with a clear safe harbor for employers that act in good faith.

“While some concerns and technical issues may arise as the bill is subject to hearings and line by line analysis, this legislation represents a legitimate balancing of many competing interests. We hope to continue to work with the Chairman to resolve any impediments to passage as the legislation moves forward.

“The Chamber believes a workable employment verification system addresses only one part of our nation’s dysfunctional immigration system in need of reform. It is our hope that Congress can also move legislation concerning other aspects of immigration reform, recognizing that compromises will be necessary.”

   
Unlike recent state initiatives, the Chamber has voiced support for the legislation. This follows on the heels of its recent setback at the U.S. Supreme Court, where the Chamber had opposed Arizona’s law mandating E-Verify participation. Employers should monitor this legislation as it could significantly change their practices with regard to verifying employment eligibility.

Please contact Matt Raynes at our Bangor, Maine office with questions.

This alert is provided as general information, and is not a substitute for legal or other professional advice.


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