AGC Comments on E-Verify Executive Order

President George W. Bush has signed an executive order requiring federal contractors to use the E-Verify system to determine that all new hires are eligible for employment in the United States and to determine that all employees working on federal contracts, including current employees hired under pre-existing rules and standards, are also eligible.

“While AGC supports the full enforcement of our immigration laws, AGC remains committed to their comprehensive reform, and the association questions whether this piecemeal measure will hasten or delay the day when we will see that kind of reform,” says Stephen E. Sandherr, chief executive officer of the Associated General Contractors of America (AGC). “Ironically, we also find ourselves questioning whether the executive order is itself in violation of our current laws.”

The new requirement will take effect only after the relevant federal agencies revise the regulations that govern federal contracts. AGC will examine the new order and the proposed revisions of the regulation to determine if the changes would cause problems for the contractors responsible for constructing and maintaining the federal infrastructure. AGC also will investigate whether or not the changes conflict with current immigration laws and if so, may contemplate stronger action, according to a press released by the association.

The executive order raises a number of questions the association would like to address, including:

• Who is considered a “contractor” for the purpose of the executive order? Does it include subcontractors? Does it include material suppliers or vendors of commercial items?
• What, if any, are the procedures and deadlines for employers and/or employees to correct the many mistakes that even the E-Verify system might make?
• What are the penalties for noncompliance?

More information is available at www.agc.org.