Employers in Florida may be subject to a new law around E-Verify, which goes into effect on July 1, 2023. E-Verify is the federal web-based system that allows employers to confirm employment eligibility within the U.S. by comparing the information provided on the employee’s Form I-9 with records available to the Social Security Administration and U.S. Department of Homeland Security.

All private employers with 25 or more employees must complete the E-Verify process on all newly hired employees. This rule does not apply to independent contractors.

The following requirements apply in most cases when hiring employees:

• An employer must complete the E-Verify process within three business days after a new hire’s first day of work to confirm their employment eligibility.
  • If unable to gain access to the system within that timeframe, the employer must provide proof of inaccessibility, such as a screen shot for each day in which the system was not accessible or a copy of an announcement of system downtime.
• All applicable employers must follow all recordkeeping obligations, including retaining copies of employees’ Forms I-9 and official verification notices from the E-Verify system.

Employers may also be required to certify once per calendar year on the Re-employment Tax Return to maintain compliance with the law.

Beginning July 1, 2024, enforcement for eligible employers will begin. Any eligible employer failing to use the E-Verify system will be notified of non-compliance and have 30 days to correct the issue. The notification will come from the Department of Economic Opportunity. Failing to use the E-Verify system three times within a 24-month period may subject an employer to a fine of up to $1,000 per day (until sufficient proof of compliance is provided, and/or the suspension or revocation of licenses needed to do business (franchise, certification, permit, charter, registration, etc.)

For more information about Senate Bill 1718, please review the legislation web page.

This article is informational and does not constitute legal or financial advice. Consult with an employment lawyer or accountant for additional clarification on how these changes impact your company.