The E-Verify Program has been a topic of much controversy. It’s definitely hot in the news right now.
E-Verify is short for Employment Eligibility Verification Program, which is an Internet-based computer application that permits employers to verify—electronically—the employment eligibility of a newly hired employee.
In other words, what it does is allow an employer to make sure a new hire is authorized to work in the United States.
More than 70,000 employers check-up on new hires using this program, which is up from 25,000 employers using the program just two years ago.
Currently, the federal government mandates that all federal contractors must use the E-Verify program beginning on September 8, 2009.
So it’s getting a lot of attention and growing exponentially.
As a result, critics of this program, such as the Society for Human Resources Management (SHRM), have become concerned that the program may ultimately become mandatory for all employers. And such critics note that the E-Verify system could negatively impact small business owners who do not have the infrastructure or resources to manage their participation in the program.
Although the E-Verify system (which is administered by the Department of Homeland Security (DHS) and the Social Security Administration (SSA)) is relatively new and still evolving, there is much controversy over it.
Significant controversy surrounds the current iteration of the program due to its reliance on the often-criticized Social Security Administration database.
And the reason for this is that inaccurate results derived from SSA database checks can create unwanted situations for potential employees and employers, alike.
So if there are errors, companies could have some potential problems with bringing on new hires.
Another complicating factor that has resulted in much confusion is that 14 states have created, or are in the process of creating, their own policies concerning the implementation of E-Verify.
The state of Arizona, for example, requires all employers, whether they have federal contracts or not, to use the E-Verify program.
Other states only require certain employers to use E-Verify, such as those with state government contracts exceeding a certain value.
This could tend to result in a significant number of different rules and regulations that each state and each company would have to be aware of in order to be compliant.
In addition, there are problems with the E-Verify program, according to a government study, that make it vulnerable to employer fraud and misuse because of the fact that it can’t distinguish stolen documents.
Needless to say, it is not a fool-proof program as it currently exists.
In my next Insight, I’ll talk about some common mistakes employers make regarding the E-Verify program and I’ll give some steps to better-utilize the program.