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As you may know, on May 10, 2023, Gov. Ron DeSantis signed Senate Bill 1718 into law, which will require, among other things, mandatory use of the federal E-Verify system by private sector employers with over 25 employees.

What is E- Verify?
  • E-Verify is an online system administered by the U.S. Department of Homeland Security and the Social Security Administration.
  • The system cross-references information provided on Form I-9 (Employment Eligibility Verification) with other federal records to confirm the authorization of an individual to work in the U.S.
  • Based on the information provided, the system will either confirm employment eligibility or will issue a “tentative non confirmation” notice, indicating that the information does not match the records.
  • Who Does the New Law Affect?
  • Under the new law, private employers with at least 25 employees must utilize E-Verify to validate the employment eligibility of employees hired on or after July 1, 2023 within three (3) business days of the employee’s first day of employment.
  • The law does NOT (i) require the use of E-Verify for employees hired prior to July 1, 2023, (ii) apply to employers with less than 25 employees, or (iii) apply to independent contractors.
  • What are the Important Dates to Remember?
  • Starting July 1, 2023, covered employers must report compliance with E-Verify on the first unemployment tax return filed each calendar year.
  • Starting July 1, 2024, if a covered employer has failed to verify the employment eligibility of a new hire using the E-Verify system, the employer will be notified of the noncompliance and given 30 days to cure.
  • What Are the Penalties if You do Not Comply with the New Law?
  • Employers that violate the E-Verify requirements three (3) times within a 24-month period may face fines of $1,000 per day until compliance is accomplished.
  • If a violation occurs within 24 months of a previous violation, the employer’s business license may be revoked or suspended.
  • There are also state-based penalties on employers who knowingly employ, hire, recruit, or refer for employment noncitizens lacking work authorization.
  • With the compliance date quickly approaching, covered employers should promptly enroll and familiarize themselves with the E-Verify system to meet the requirements outlined by the new law.