E-Verify Requirements in Illinois: Employer Obligations

The federal E-Verify program, operated jointly by the Department of Homeland Security (DHS) and the Social Security Administration (SSA), is authorized under 8 U.S.C. § 1324a(e). E-Verify is a voluntary electronic system that allows employers to verify the employment eligibility and identity of workers in the United States. However, federal contractors and subcontractors with contracts of $25,000 or more are required to participate in E-Verify for all employees hired after contract award. The system compares information from an employee's I-9 form against SSA and DHS databases.

Under 8 U.S.C. § 1324a(b), all U.S. employers—regardless of size—must verify employment authorization by completing Form I-9 (Employment Eligibility Verification) within three days of hire. This is a separate requirement from E-Verify participation. The I-9 process requires inspecting documents establishing identity and work authorization and retaining the form for a specified period (three years after hire or one year after termination, whichever is longer).

The Department of Homeland Security's Citizenship and Immigration Services (USCIS) administers the E-Verify program. Employers who voluntarily participate in E-Verify agree to use the system for all employees hired after they enroll. Penalties for non-compliance by federal contractors include contract termination and debarment from federal contracts. Private employers who use E-Verify voluntarily face no mandatory penalty structure, but they must use the system consistently once enrolled.

Illinois does not have a state statute requiring private employers to use E-Verify. Illinois follows federal employment authorization verification requirements under 8 U.S.C. § 1324a(b), which mandates I-9 completion for all employers. However, Illinois has specific rules for public employees.

Under the Illinois Hire Act, 820 ILCS 75/1 et seq., all public employers in Illinois must verify employment eligibility using E-Verify before hiring any employee. This applies to state agencies, municipalities, school districts, and other public entities. Illinois public employers must check the federal E-Verify system and the Illinois Department of Financial and Professional Regulation's databases for information about suspended or revoked professional licenses. Public employers must also run FCRA-compliant background checks and verify that applicants are not listed on the federal sex offender registry.

For private employers in Illinois, the state law does not impose E-Verify as a requirement. Private employers may use E-Verify voluntarily, and if they do, they must comply with federal E-Verify program rules and use the system consistently. The state does impose stricter penalties on private employers for knowingly hiring unauthorized workers compared to some federal-only regimes: Illinois defines "hiring" to include recruitment and referral of workers. Private employers must maintain I-9 records and may face civil penalties under state law for violations.

The key state-specific distinction is that Illinois imposes E-Verify as mandatory only for government employers, making Illinois's rule stronger than the federal minimum for public sector hiring but not more stringent for private employers. Illinois law aligns with federal requirements for private employment authorization verification but adds state-level enforcement for public hiring.

E-Verify is not required for private employers in Illinois unless they are federal contractors. Certain federally funded contractors and subcontractors on contracts above $25,000 are exempt from E-Verify requirements if their contracts predate the E-Verify mandate or if specific carve-outs apply. Employers with valid concerns about system errors may pursue supplemental verification and reverification procedures through E-Verify's Tentative Nonconfirmation (TNC) process.

Employers may not use E-Verify for purposes other than employment eligibility verification, such as conducting background checks or credential verification unrelated to work authorization. Doing so violates federal law and exposes employers to civil rights claims. E-Verify does not replace the I-9 requirement; employers must still complete Form I-9 regardless of E-Verify participation.

Employers who voluntarily enroll in E-Verify must use the system for all new employees hired after enrollment, not selectively. However, if an employer withdraws from E-Verify, they may do so with written notice and must return to I-9-only verification. Employees in the United States on certain visa categories (such as H-1B, L-1, O-1, P-1, E-2, and TN visa holders) may have limited options for E-Verify verification because their work authorization is tied to specific visa documentation rather than standard permanent resident or citizen status.

Illinois law does not exempt small employers from the E-Verify requirement if they are federal contractors. However, certain government agencies and tribal governments have different requirements or are subject to separate verification protocols. Self-employed individuals and sole proprietors may be exempt from certain hiring verification requirements but not from the I-9 requirement if they hire employees.

Step 1: Document and Preserve Evidence. If you believe your employer violated E-Verify rules or hiring authorization requirements, immediately save all hiring documents, I-9 forms you've seen (if you have access), employment offer letters, and any communications about work eligibility status. Write down dates, times, and names of individuals involved in hiring discussions. Note whether your employer asked you about citizenship status during hiring or interviews—this is a red flag indicating potential discrimination. Keep copies of any correspondence from your employer about E-Verify or background checks. Document pay stubs, tax withholdings, and any statements suggesting your employment is contingent on E-Verify clearance.

Step 2: Understand Internal Complaint Options. Before filing externally, check whether your employer has an internal HR complaint process outlined in your employee handbook or company policies. Most larger Illinois employers have procedures for reporting hiring practices concerns. Submit a written complaint to HR describing the violation, the dates involved, and any witnesses. Keep a copy for your records and request written confirmation of receipt. However, note that internal complaints often do not stop ongoing violations and may trigger retaliation risk, so proceed carefully and document your complaint in writing.

Step 3: File with the Appropriate Federal Agency. If your issue involves a federal contractor's failure to use E-Verify or discriminatory hiring practices based on citizenship or national origin, file a complaint with the Office of the Federal Contract Compliance Programs (OFCCP) within 180 days of the violation. The OFCCP enforces E-Verify compliance for federal contractors and investigates discrimination claims. File online at www.dol.gov/agencies/ofccp or contact the OFCCP at 1-866-4-USDOJ (1-866-487-3657). For allegations of discrimination based on citizenship status during hiring, file with the EEOC (www.eeoc.gov) within 180 days (or 300 days in Illinois, which is a deferral state with the Illinois Department of Human Rights, IDHR). Contact EEOC at 1-800-669-4000 or the Illinois Department of Human Rights at 1-877-236-4372.

Step 4: Expect Investigation and Timeline. The OFCCP typically conducts investigations within 30-60 days of receiving a complaint, though complex cases take longer. The EEOC usually investigates within 180 days and may attempt conciliation with your employer. The IDHR may conduct a separate investigation in parallel with EEOC processing. During investigation, you may be contacted for a witness statement or affidavit. Investigators will request copies of I-9 forms, E-Verify records, hiring documents, and employment files from your employer. If a violation is substantiated, agencies may issue a cause determination, and settlement negotiations typically follow. Cases can take 6-18 months to resolve.

Step 5: Consult an Employment Attorney. Contact an attorney specializing in immigration law and employment discrimination if you face retaliation, your employment is threatened, or if your employer is pressuring you regarding E-Verify clearance. An immigration attorney can advise whether you qualify for special visa protections (such as U visa protection for whistleblowing immigrants) or whether your case involves national origin discrimination. An employment law attorney can evaluate whether your case involves wrongful termination or retaliation under federal or Illinois law. Many employment attorneys offer free initial consultations. Contact the Illinois State Bar Association Lawyer Referral Service at www.isba.org or the American Immigration Lawyers Association (AILA) at www.aila.org for referrals.