New DHS “No-Match” Rule Must Provide Clarity for Employers

Washington, D.C. – Commenting on the new “no-match” employment verification rules issued Friday by the Department of Homeland Security, the HR Initiative for a Legal Workforce and its members pledged to monitor the program closely to ensure that the new regulations produce the guidance and clarity U.S. employers have needed.  No-match letters are issued by the Social Security Administration when an employee’s name does not match his or her social security number.

“The HR Initiative strongly supports the goal of ensuring that workers who enter the U.S. workforce are authorized.  Thus, it is critical that DHS clarifications to the ‘no-match’ process provide employers with the guidance that has been lacking,” said Lynn Shotwell, Executive Director, American Council on International Personnel.

Due to the sheer volume of no-match records, a primary concern of HR professionals is the 30-day implementation period for the new DHS rule.  The Social Security Administration estimates that there are no-match inconsistencies with 17.8 million records, which could impact approximately 13 million American citizens.  Because the new DHS rule may require employment to be terminated if the issue is not resolved within 60 days of receiving the no-match letter, many Americans may be forced into a lengthy bureaucratic process in order to retain their current jobs.

Because of the increased potential for litigation, the HR Initiative also urged the Department of Justice to write a parallel rule that will protect employers from discrimination charges if employees are let go in compliance with the new DHS rule.

“The no-match process impacts all U.S. employers and will require time for education and implementation. We think the accelerated 30-day start date is unrealistic and should be phased in to allow employers and the government the time to do it right,” Shotwell stated.

The HR Initiative also criticized the DHS endorsement of state employment verification initiatives – which have accelerated in the wake of Congressional inaction.

“Employment verification is a federal issue, and U.S. employers need an efficient and reliable federal electronic employment verification system that puts to use state-of-the-art technology.  Adopting a patchwork of state rules will be a bureaucratic nightmare for employers,” said Mike Aitken, Director of Governmental Affairs, Society for Human Resource Management.

Aitken also cautioned that the likely DHS requirement for as many as 200,000 federal contractors to participate in the “e-Verify” program – formerly known as the “Basic Pilot” – will overwhelm a system that currently serves only 19,000 employers, and will unnecessarily burden the Social Security Administration.

“Renaming Basic Pilot won’t make the system any better.  Congress needs to adequately fund a secure electronic employment verification system. Until that time, participation in e-Verify should remain voluntary,” Aitken concluded.

The HR Initiative for a Legal Workforce includes:

•    American Council on International Personnel
•    College and University Professional Association for Human Resources
•    Food Marketing Institute
•    HR Policy Association
•    International Public Management Association for Human Resources
•    National Association of Manufacturers
•    Society for Human Resource Management

Visit www.legal-workforce.org for an expanded description of the HR Initiative principles and to learn more about the importance of employment verification issues.