Fact of the Week: 9/06/07

Did you know . . .

The Social Security Administration issues “No-Match” letters to employers when an employee’s name does not match his or her social security number.  This can indicate that an employee is using a false name or social security number – but it may also be due to a clerical error or an outdated record.

In an attempt to crack down on illegal employment, the Department of Homeland Security recently announced new rules for employers to follow when receiving “no-match” letters.   The rules give employers 90 days to fix the discrepancy or remove the employee from the payroll.

The DHS effort, however, hit a roadblock last week when a federal judge issued a temporary injunction prohibiting new letters from being sent, citing a "serious question" about whether DHS had overreached its authority in making the rules.

While employers would welcome clarity in the no-match process, the controversy over the new DHS rules highlight the serious deficiencies in the federal government’s current workplace enforcement policies and procedures.  While DHS may make incremental progress in ending illegal employment, the fact remains that the current federal employment verification system is built on outdated technologies and inaccurate data bases, creating both the opportunity for abuse and an increased risk of improper denial of employment to legal immigrants and U.S. citizens.

Congress needs to act now to transform the current paper-based method of employment verification with a state-of-the-art electronic verification system.  If adequately funded and fairly administered, this new system could eliminate virtually all unauthorized employment.

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