Legislation to Create New Mandatory Employee Verification Process Introduced

Daily Labor Report
Friday, February 29, 2008

Reproduced with permission from Daily Labor Report, Vol. 4 (Feb. 29, 2008).  Copyright
2008 by The Bureau of National Affairs, Inc. (800-372-1033) www.bna.com

Legislation (H.R. 5515) that would create a new mandatory national employee verification process for U.S. citizens and immigrants to replace the government's E-Verify program was introduced by four Republican representatives Feb. 28.

Reps. Sam Johnson (R-Texas), ranking member of the House Ways and Means Committee's Subcommittee on Social Security, Ron Lewis (R-Ky.), Kevin Brady (R-Texas), and Paul Ryan (R-Wis.) said the current system is "riddled with fraud and abuse."

The proposed New Employment Verification Act would create a paperless Electronic Employment Verification System (EEVS) that would replace E-Verify, which is scheduled to expire at the end of 2008.

The E-Verify system is an Internet-based voluntary system that electronically compares information on the employment authorization
forms, commonly known as I-9 forms, with records at the Social Security Administration and the Department of Homeland Security. Critics of the system say it has a 10 percent error rate.

EEVS would allow employers to confirm eligibility by entering employee identification data through their state's "new hire" reporting program,
an electronic portal each state currently uses to enhance child support enforcement.

The new program would be completely electronic, eliminate paperwork, and streamline verification processes, supporters say. Work authorization for citizens would be done by the Social Security Administration, while non-citizen authorization would be conducted by DHS.

"The system would rely on the use of fewer, more secure identity documents and would be built upon the new hire reporting process in each
state," Johnson said at a news briefing. "It's an important new component in immigration reform."

Employers Can Choose

Although the legislation calls for mandatory involvement by employers, it would allow employers--not already required to participate--to choose between EEVS or a new Secure Electronic Employment Verification System (SEEVS), which includes a standard background check and the collection of a "biometric" characteristic, such as a thumbprint or eye scan. In addition, employers could participate in both programs. Failure to participate in one of the systems would result in a $50,000 fine.

The system also would allow sharing of information on employers with "significant employee name/social security number mismatches" with DHS.

The legislation would require consultation with a panel of public/private sector experts in ensuring privacy and system accuracy.
It would require annual reporting on system performance by participating federal agencies and the Government Accountability Office.

The legislation is expected to cost less than the price tag of $3 billion over five years for E-Verify, according to bill supporters.
Official cost estimates were not made available.

The bill was referred to the House Ways and Means Committee.

Johnson told reporters that he has "been talking with Democrats" about the bill, but did not detail any levels of support or opposition.

Industry Support

Appearing with the congressmen, Susan R. Meisinger, president and chief executive officer of the Society for Human Resource Management, endorsed the new process as "doing something meaningful to stop illegal
immigration."

"We strongly believe that employers need to be part of the solution to illegal immigration," Meisinger said. "But HR professionals and
employers shouldn't have to be America's surrogate border patrol agents. This bill takes the burden off their shoulders by creating a modern,
easy-to-use verification system that truly works."

A Democratic representative of the committee was not immediately available for comment on the legislation.