Government, Courts, and the World of Work

In a curious mix of bipartisanship,  4 State Senators have proposed a bill that mirrors an Arizona law that requires employers to verify electronically the legal status of new hires and imposes stiff penalties for noncompliance.

The Arizona law encourages people to report employers who employ undocumented workers to the county sheriff. Under the law, the sheriff’s department conducts an investigation and makes a recommendation to the county attorney for penalites, which could include the revoking the firm’s license to conduct business.

One sponsor, Senator Sweeney, the Senate Majority Leader, is also a labor official.  Senator Pennacchio, a Republican,  is running for a US Senate seat.  Thus, a political confluence of left wing economic insecurity and right wing cultural angst.

This issue will be grinded out for the the remainder of the year.

The Department of Homeland Security’s (DHS) Rule on the Social Security No Match notice remains the subject of litigation. A federal judge in San Francisco has delayed its implementation, stating that if the rule were to take effect, it would result in “irreparable harm to innocent workers and employers” and therefore there should be a full hearing on whether DHS had failed to follow proper procedures for issuing a new rule.  In particular, the rule would force employers to fire employees within a 90-day period.  Consequently, the rule is on hold pending the outcome of the case or appeal.  If enforced, the rule would also have unintended negative consequences for the New Jersey’s economy. If enforced, it would require employers to fire undocumented workers, making it the weapon that could finally make a dent against illegal immigration. But it’s a mistake to believe that it will be good for the economy if a million undocumented workers were forced to leave the state’s labor force. State officials have no authority to deport undocumented workers so the likely outcome of mass firings of undocumented workers would be a thriving underground economy.