Federal Contractors Required to use E-Verify Beginning September 8, 2009
Despite numerous delays and court challenges, certain federal contractors and subcontractors may now be required to enroll in and use the U.S. Citizenship and Immigration Services' E-Verify system. Only contracts awarded with an E-Verify clause are subject to the new rule.
If awarded a contract with an E-Verify clause, federal contractors must agree to use E-Verify to confirm the employment eligibility of all persons hired during a contract term, whether they are working on the contract or not, and to confirm the employment eligibility of current employees who are directly working on the federal contract. The responsibility to verify new hires continues, even after the contract is fulfilled, unless and until the federal contractor actively "opts out" of the E-Verify program.
Some federal contracts are exempt from this rule, including but not limited to those that are for less than $100,000 and those that are for commercially available off-the-shelf items. It is important to review all of your contracts to determine if the E-Verify clause is included and to determine whether your participation in the program is required. Some federal contractors may take the proactive step of requiring all of their subcontractors to enroll in the E-Verify system. In that instance, a company's responsibility to enroll in the program would be contractual as opposed to statutory and may be subject to negotiation with the federal contractor.
How can you ensure that your company complies with its E-Verify obligation, if and when it is awarded a federal contract? What are the sanctions if your company is non-compliant? What are the steps to enroll in the E-Verify program? If these and numerous other questions are swirling in your head, please contact Peggy Godar, Barbara Menefee, or any member of our Immigration Practice Group. We would be glad to walk you through determining whether your federal contract or subcontract requires E-Verify enrollment, the steps for enrolling your company in E-Verify, and advising you as you navigate the E-Verify system.
