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April 22, 2009 |
Schiff Hardin Labor and Employment Alert Once again, the federal government has postponed the implementation of E.O. 12989, which instructs federal agencies to require federal contractors to participate in E-Verify and electronically verify the immigration status and employment eligibility of all new hires and existing personnel. (See Schiff Hardin Labor and Employment Update, June 25, 2008.) The new implementation date has been scheduled for June 30, 2009. Once implemented, the rule will only affect federal contractors who are awarded a new contract after May 21, 2009, which includes the E-Verify clause. Under the final rule, federal contractors will be required to use E-Verify if they have a contract with a period of performance that is longer than 120 days and with a value of more than $100,000. Subcontractors will be required to use E-Verify if they provide services or construction with a value of more than $3,000. The Department of Homeland Security (DHS) has stated that the postponement "provides the [Obama] Administration an adequate opportunity to review the entire rule prior to its applicability to federal contractors and subcontractors." A lawsuit filed by the U.S. Chamber of Commerce in December 2008 challenging the legality of the final rule is still pending. The Chamber alleges that the requirements imposed by the executive order and regulation are "illegal and must be set aside," because they make the use of E-Verify mandatory when Congress clearly intended that it was a voluntary program. Federal contractors who are currently using E-Verify on a voluntary basis to screen new hires should not begin using E-Verify to screen existing employees until the final rule is implemented. If you have any questions about the contents of this article, please contact any attorney in Schiff Hardin's Labor and Employment group. ABOUT SCHIFF HARDIN LLP Schiff Hardin represents management in labor matters and employment-related litigation, and provides counsel to employers with respect to all legal aspects of employer-employee relations. Our firm's labor law practice encompasses both the private sector and the public sector for large and small employers in a broad range of markets and industries. For more information, please feel free to contact us. RECENT LABOR AND EMPLOYMENT PUBLICATIONS
"The Supreme Court Orders Mandatory Arbitration For Age Discrimination Claims in a Collective Bargaining Agreement," Labor and Employment Update (April 16, 2009) |
