E-Verify Requirements by State: A Complete Guide for Employers

Action item: Before opening a new location or hiring remote employees, check both state and local requirements. Municipal ordinances can change quickly—make this part of your standard expansion checklist.

States with E-Verify Restrictions or Additional Requirements

Some states haven't just stayed silent on E-Verify—they've actively restricted its use or imposed additional requirements on employers who choose to participate.

California: Voluntary with Strong Misuse Penalties

Status: Voluntary. Under Assembly Bill 1236 (2011-2012), neither the state nor any city, county, or special district can mandate E-Verify for private employers.

But here's the catch: California has enacted strong protections against E-Verify misuse. If you choose to use E-Verify, you must follow these rules:

• Never use E-Verify to check existing employees
• Never use E-Verify to pre-screen job applicants
• Never discriminate based on national origin or citizenship status
• Apply E-Verify consistently to all new hires

Penalty: Employers who violate California's E-Verify restrictions face fines of up to $10,000 per violation. Violations are assessed per incident, so costs can escalate quickly.

Illinois: Voluntary with Mandatory Compliance Steps

Status: Voluntary. But "voluntary" in Illinois comes with strings attached.

If you use E-Verify in Illinois, you must:

• Complete a sworn attestation on a form prescribed by the Illinois Department of Labor—under penalty of perjury—confirming you've received E-Verify training
• Post required E-Verify notices in a prominent location visible to prospective and current employees
• Notify employees when they're being checked through the E-Verify system
• Never pre-screen applicants (Illinois law explicitly prohibits this)

2025 Update: Illinois enhanced its Right to Privacy in the Workplace Act effective January 2025, adding stronger worker privacy protections during the verification process.

States with Voluntary E-Verify Participation

These 28 states have no E-Verify mandate for private employers. Participation is entirely voluntary, though employers may still choose to use E-Verify or be required to participate as federal contractors.

Voluntary states:

• Alaska
• Arkansas
• California*
• Connecticut
• Delaware
• Hawaii
• Illinois*
• Iowa
• Kansas
• Kentucky
• Maine
• Maryland
• Massachusetts
• Montana
• Nevada
• New Hampshire
• New Jersey
• New Mexico
• New York
• North Dakota
• Ohio
• Oregon
• Rhode Island
• South Dakota
• Vermont
• Washington**
• Wisconsin
• Wyoming

*California and Illinois have additional restrictions and requirements for employers who voluntarily use E-Verify—see the Restrictions section above.

**Washington has local jurisdictions with E-Verify requirements—see the Local Requirements section.

Keep in mind: "Voluntary" at the state level doesn't mean "no requirements." Federal contractors must still use E-Verify regardless of state law. And some cities within these states have local mandates—always check local ordinances.

Conflicting Federal and State Requirements: What Employers Should Know

The interplay between federal and state E-Verify requirements creates complex compliance challenges for HR professionals. While federal law requires all employers to verify employment eligibility using Form I-9, state-specific mandates may impose additional or conflicting obligations.

A notable example emerged in Missouri, where state law required employers to verify both new and existing employees through E-Verify before receiving state contracts. This directly conflicted with federal rules prohibiting E-Verify use for existing employees except in specific federal contractor scenarios.

The U.S. Department of Justice's Office of Special Counsel for Immigration-Related Unfair Employment Practices (OSC) has emphasized that employers must comply with federal E-Verify requirements regardless of state conflicts. This includes adhering to the terms of their Memorandum of Understanding with USCIS.

For HR teams managing multi-state operations, this creates a need to carefully navigate varying verification timelines and requirements while maintaining consistent compliance with federal standards. As we approach 2025, with states like Florida implementing new mandates affecting different categories of employers, staying informed and adaptable is crucial for maintaining compliant verification processes.

Implementing E-Verify Based on State Requirements

Step-by-step implementation ensures alignment with diverse state mandates.

Step-by-Step Guide to Setting Up E-Verify in Your State

Implementing E-Verify requires careful preparation and a thorough understanding of both federal and state-specific requirements. Here's a step-by-step guide for HR professionals:

• Verify current enrollment status using the E-Verify search tool
• Complete Form I-9 documentation for new employees
• Create an E-Verify case within three business days of an employee's start date
• Utilize photo matching features for permanent resident cards, employment authorization documents, and U.S. passports
• Review system results (Employment Authorized, Tentative Nonconfirmation, or Case in Continuance)
• Follow proper notification procedures for any Tentative Nonconfirmations
• Document final case results, with Employment Authorized cases closing automatically

Multi-State Employer Strategies for E-Verify Compliance

For organizations operating across multiple states, managing E-Verify compliance demands a strategic approach:

• Implement consistent processes that satisfy the strictest state requirements while maintaining flexibility for state-specific rules
• Utilize technology solutions that integrate directly with E-Verify to automate case creation and tracking across jurisdictions
• Develop state-specific training programs to address varying verification requirements and timelines
• Implement electronic I-9 management systems that capture verification information automatically and help meet state-specific deadlines
• Conduct regular audits of verification procedures across all operating locations

Training HR Personnel on State-Specific Requirements

Effective training of HR personnel on state-specific E-Verify requirements is crucial for maintaining compliance across jurisdictions. Key focus areas should include:

• Variations in state-specific laws and deadlines for E-Verify case creation
• Proper handling of Tentative Nonconfirmations (TNCs) through structured resolution processes
• Documentation requirements specific to each operating location
• Integration of E-Verify checks with standard I-9 procedures
• Use of electronic management systems to streamline verification workflows

Managing Tentative Non-confirmations According to State Rules

Handling Tentative Nonconfirmations (TNCs) requires strict adherence to notification procedures and timelines:

• Notify employees of TNC results within 10 federal government working days
• Provide employees with a Further Action Notice
• Allow employees 8 federal government working days to contact DHS or visit an SSA office for resolution
• Refrain from adverse actions against employees during the TNC resolution period
• Document all steps in the TNC process for compliance purposes

HR professionals must be prepared to manage this process efficiently while maintaining compliance with both federal standards and any additional state-specific requirements.

State-Specific Penalties and Enforcement

Understanding penalty structures is crucial for avoiding costly compliance breaches.

Penalty Structures by State: From Warnings to Severe Consequences

E-Verify non-compliance can result in significant penalties, varying widely by state:

• Alabama: Business license suspension up to 60 days for first offenses, permanent revocation for second violations
• Arizona: 10-day business license suspension for first offenses, permanent suspension for second violations
• Florida: Possible denial of future county projects and contract termination
• Georgia: Suspension or denial of business licenses and occupational tax certificates
• Mississippi: Contract termination, three-year public contract ineligibility, one-year suspension of licenses and permits
• North Carolina: Civil fines exceeding $10,000 per violation and reporting to Immigration and Customs Enforcement
• Pennsylvania: Escalating penalties for public works contractors, from warning letters to three-year debarment and monetary penalties

Business License Implications in Strict E-Verify States

In states with mandatory E-Verify requirements, non-compliance can have severe implications for business licenses:

• Alabama: License suspension up to 60 days for first offenses, permanent revocation for second violations
• Arizona: 10-day license suspension for initial violations, permanent suspension for subsequent infractions
• Florida: Potential license suspension until providing an affidavit of compliance, permanent revocation possible after three violations in 36 months
• Mississippi: One-year suspension of licenses and permits, three-year public contract ineligibility

State Audit Procedures and What to Expect

In states with mandatory E-Verify requirements, maintaining comprehensive documentation is key. E-Verify compliance monitoring typically involves desk reviews and site visits conducted by USCIS staff. Key aspects of the audit process include:

• Remote desk reviews via email and phone
• In-person site visits to discuss observations and recommendations
• Automated monitoring to identify potential compliance issues
• Review of cases for patterns indicating improper usage or discrimination
• Referrals to ICE, DOJ, or other agencies for cases suggesting fraud or illegal activities

To prepare for potential audits, HR teams should utilize USCIS‐provided self-assessment guides and webinars, regularly evaluating their E-Verify practices and improving system usage.

Employer Protection Provisions and Good Faith Compliance

E-Verify offers important protections for employers who use the system in good faith:

• Liability protection if unknowingly hiring unauthorized workers
• Early validation of Social Security numbers to prevent SSN no-match letters
• Documentation of proper verification procedures
• For federal contractors, a rebuttable presumption of not knowingly hiring unauthorized workers

However, maintaining these protections requires strict adherence to compliance standards:

• Consistent verification of all new hires
• Prohibition on pre-screening job candidates
• Prompt notification of employees regarding verification issues
• Following structured resolution processes for Tentative Nonconfirmations

The good-faith provision allows employers 10 days to correct technical or procedural failures without penalty, providing a safety net for organizations committed to compliance.

Building a Future-Ready E-Verify Compliance Strategy with WorkBright

By understanding which states mandate E-Verify for all employers, limit it to public employers or specific industries, or treat it as voluntary with added privacy protections, HR teams can standardize on the strictest applicable rules, document consistent processes for enrollment, case creation, TNC handling, and audits, and use integrated technology like WorkBright’s I-9 compliance software to automate tracking, documentation, and reporting as E-Verify and E-Verify+ requirements continue to evolve.