While E-Verify remains largely voluntary at the federal level, many states have enacted legislation requiring employer participation in the program. As a result, understanding state-specific mandates is essential for employers operating across multiple jurisdictions.

Non-compliance with state-mandated E-Verify requirements can have serious consequences, including the revocation of business licenses, termination of government contracts, and reputational damage that may disrupt ongoing operations.

This blog outlines the current E-Verify mandates by state, helping employers assess their obligations, mitigate compliance risks, and ensure their hiring practices align with both federal and state laws.

What is E-Verify?

E-Verify is a web-based system operated by the U.S. Department of Homeland Security (DHS), in collaboration with the Social Security Administration (SSA). It allows employers to electronically verify the employment eligibility of newly hired individuals by comparing Form I-9 data against federal records. This helps organizations ensure compliance with USCIS requirements and reduce the risk of legal or regulatory violations.

‍

How Does E-Verify Work?

E-Verify is a straightforward and efficient process consisting of four key steps:

1. Complete Form I-9: Before initiating E-Verify, employers must complete Form I-9 to collect employment eligibility information from the new hire.

2. Enroll in E-Verify: Employers must be enrolled in the E-Verify program. Enrollment can be completed through the official E-Verify website.

3. Submit Information for Verification: Once enrolled, employers input the relevant Form I-9 details into the E-Verify system. These details are then matched against records maintained by DHS and the SSA.

4. Receive Verification Results: E-Verify provides one of the following results:

• Employment Authorized: The employee’s information matches government records.

• E-Verify Needs More Time: DHS requires additional time to process the verification.

• Tentative Nonconfirmation (TNC): The information does not initially match government records. The employee may contest this result.

• Case in Continuance: The employee contacted DHS or SSA, but a final result is still pending.

• Final Nonconfirmation: DHS or SSA was unable to confirm the employee's eligibility, even after follow-up.

• Close Case and Resubmit: The case must be closed, and a new one submitted (typically due to errors or updates).

‍

State-Wise E-Verify Requirements

E-Verify requirements vary by state. While some states mandate its use for all employers, others enforce it under specific conditions, such as for public contracts or businesses of a certain size.

Below is a list of states where E-Verify is required for all or most employers when hiring new employees:

‍

E-Verify Mandatory for All or Most Employers

1. Alabama (Effective April 1, 2012) All employers are required to use E-Verify.  

Penalties

First offense: Business license suspension for up to 60 days and cancellation of state incentives.
Repeat offenses: Permanent revocation of business license.

2. Arizona (Effective January 1, 2008) E-Verify is mandatory for all employers.  
   
   

Penalties

Revocation of business licenses

Ineligibility for state contracts and incentives
‍

3. Florida

(Effective January 1, 2021): All employers, contractors, and subcontractors must use E-Verify.

(From July 1, 2023): Private employers with 25 or more employees must retain E-Verify records for three years.

Penalties
(From July 1, 2024): Repeated violations may result in daily fines of up to $1,000.

4. Georgia (Effective January 1, 2013)

Mandatory for public employers and contractors.

Private employers with 10 or more employees must use E-Verify.  

Penalties

Suspension or denial of business licenses

12-month ban on public contracts for submitting false affidavits
‍

5. Louisiana (Effective August 15, 2011)
   
   All employers must either use E-Verify or maintain a copy of a photo ID and an approved work authorization document.

(Effective January 1, 2012): Public contractors and subcontractors must use E-Verify and submit a sworn affidavit.  

Penalties

First violation: $500 per unauthorized worker

Second violation: $1,000 per unauthorized worker

Third violation: $2,500 per unauthorized worker and business license suspension for 30 days to 6 months
‍

6. Mississippi (Effective July 2011) All employers must provide proof of E-Verify enrollment to obtain a business license.  
   

Penalties

Contract termination

Loss of permits and business licenses
‍

7. North Carolina (Effective July 1, 2013) Private employers with 25 or more employees, state agencies, and contractors must use E-Verify.  
   
   

Penalties

Civil fines of up to $10,000 for non-compliance
‍

8. South Carolina (Effective January 1, 2012) All employers are required to use E-Verify.  
   ‍

Penalties

First violation: One-year probation

Subsequent violations: License suspension ranging from 10 to 30 days
‍

9. Tennessee (Effective January 1, 2023)

Employers with 35 or more employees must use E-Verify.

Employers with 6–34 employees may either use E-Verify or maintain copies of valid identity documents.  

Penalties

Fines ranging from $500 to $2,500 per unverified employee
‍

10. Utah
    Private employers with 150 or more employees, as well as public employers and contractors, must use E-Verify.  

‍Penalties

Currently, no penalties are enforced for non-compliance.

‍

E-Verify Mandatory for Public Employers and/or Contractors

Colorado

Effective July 1, 2022, E-Verify is required for contractors providing public services. (No penalties for non-compliance.)

Idaho

All state agencies (public employers) must use E-Verify, as mandated by Executive Order 2009-10 and subsequent agency guidance. (No penalties.)

Indiana

Since June 30, 2011, all state agencies, political subdivisions, and public contractors are required to use E-Verify. Grants over $1,000 require proof of E-Verify enrollment. Non-compliant contractors risk contract termination and liability for damages.

Michigan

As of March 1, 2013, state agencies and specific contractors must use E-Verify for new hires. (No penalties for non-compliance.)

Minnesota

Since July 21, 2011, contractors and subcontractors for service contracts over $50,000 must use E-Verify. Certain contracts, including those for credit reporting services, are exempt. (No penalties.)

Missouri

Effective January 1, 2009, public employers, contractors on projects exceeding $5,000, and recipients of state tax benefits must use E-Verify. Non-compliance may result in contract termination or loss of state benefits.

Nebraska

Since October 1, 2009, public employers and contractors are required to use E-Verify. The City of Fremont imposes additional penalties for non-compliance, including license revocation and contract cancellation.

Oklahoma

Public employers have been required to use E-Verify since November 1, 2007; contractors and subcontractors since July 1, 2008. Non-compliant employers are ineligible for state contracts.

Pennsylvania

Effective January 1, 2013, all public works contractors and construction employers must use E-Verify. Penalties escalate with repeated non-compliance.

Texas

Since December 3, 2014, contractors and subcontractors working with state agencies, including higher education institutions, must use E-Verify for new hires. Non-compliance may lead to contract termination.

Virginia

From December 1, 2012, all state agencies and contractors with contracts exceeding $50,000 must use E-Verify. Failure to comply results in a one-year debarment.

West Virginia

Service providers with employees regularly assigned to the State Capitol Complex are required to use E-Verify for all new hires assigned to that location.

‍

States that Don’t Mandate E-Verify/ Voluntary

Some U.S. states have not made E-Verify a mandatory requirement, allowing its use to remain voluntary. These states include:  

• Alaska  

• Arkansas  

• California  

• Connecticut  

• Colorado  

• 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

‍

States that Restrict E-Verify Usage

Only two states in the United States have imposed certain restrictions on the usage of E-Verify:  

• California (Since Jan 1, 2012): State and local governments cannot make E-Verify a legal requirement for employers. Employers may use E-Verify voluntarily.  

Penalties: Misuse of E-Verify, such as prescreening, improper verification, or lack of required notices, can trigger serious civil penalties of $10,000 per violation.  

• Illinois (Since Jan 1, 2008; amended Jan 1, 2025): E-Verify can be used voluntarily, but employers must comply with strict state requirements, such as training, posters, and proper use.  

Penalties: Employers who fail to comply will have to face up to $10, 000 per violation, plus additional damages, attorney’s fee and court fee.


Disclaimer: E-Verify requirements are subject to change at the state, city, and county levels, and while efforts are made to keep this information current, it is provided for informational purposes only and should not be considered a definitive source.

E-Verify Compliance: Some Tips for Employers
 

Managing E-Verify compliance can get complex, but by taking some proactive steps, employers can complete the verification process with ease:  

• Understand your state’s E-Verify mandates: Requirements vary by state, so it’s essential to know whether participation is mandatory and under what conditions.

• Train your HR team: Equip your HR personnel with proper training to ensure they are well-versed in compliance protocols, timelines, and potential risks.

• Complete Form I-9 before enrolling in E-Verify: Employers can only initiate E-Verify after completing Form I-9 for each new hire.

• Apply E-Verify consistently: If E-Verify is required in your state, use it for all applicable hires. Selective use may result in legal and regulatory consequences.

• Maintain E-Verify records properly: Retain verification records for all employees for a minimum of 10 years, or as required by applicable law.

• Stay up to date on legal changes: Regularly monitor state-specific regulations and consult reliable sources to stay informed on any updates to E-Verify policies.

Summary

When hiring new employees, employers are required to complete Form I-9 to verify their work eligibility. Once the I-9 form is completed, they may use E-Verify to cross-check the information against federal records for added compliance assurance.

As E-Verify is mandatory in some states, it's essential for employers to understand and adhere to state-specific requirements. A structured, informed approach helps ensure full compliance with USCIS regulations and minimizes the risk of penalties.

‍

Simplify Form I-9 and E-Verify Compliance with OnBlick

Managing Form I-9 and E-Verify compliance doesn’t have to be complex. With OnBlick, employers can streamline the entire verification process while minimizing risks and reducing administrative burden. Here’s how:  

• Automated Audit Trails: Maintain a clear, time-stamped record of every action taken during the I-9 lifecycle.

• Digital Signatures: Eliminate paperwork with secure, legally compliant electronic signatures.

• Document Expiry Alerts: Receive timely notifications before employee documents expire, helping you stay proactive.

• E-Verify Integration: Submit verification cases directly through OnBlick for faster, more efficient processing.

• Live Video Verification: Conduct remote identity and work authorization checks with real-time video support.

• I-9 Audits services: Identify and resolve potential compliance risks with our I-9 audit services.

• Authorized Representative Network (ARN): Leverage OnBlick’s trusted ARN across 400+ U.S. cities to verify remote hires with ease.

The right compliance partner makes all the difference.

Book your complimentary consultation today to explore how OnBlick can support your Form I-9 and E-Verify compliance journey.

‍