Navigating E-Verify: Which States Require It?

Understanding Your Hiring Obligations

E-Verify mandatory states are jurisdictions that require certain or all employers to use the federal E-Verify system to confirm their new hires are authorized to work in the United States. As of 2025, 22 states have some form of E-Verify requirement, but the rules vary significantly:

Quick Answer:

• 9 states require E-Verify for all or most private employers: Alabama, Arizona, Florida (25+ employees), Georgia (10+ employees), Louisiana, Mississippi, North Carolina (25+ employees), South Carolina, Tennessee (35+ employees), and Utah (15+ employees)
• 11 states require E-Verify for public employers or state contractors: Colorado, Idaho, Indiana, Michigan, Missouri, Nebraska, Oklahoma, Texas, Virginia, and West Virginia
• 2 states require E-Verify for some public contractors: Minnesota and Pennsylvania
• 1 state restricts E-Verify use: California prohibits mandating it for private businesses

If you’re an HR manager trying to steer hiring compliance, you’re not alone in feeling overwhelmed. E-Verify was initially designed as a voluntary program, but an increasing number of states have enacted laws requiring certain employers to use it for their newly hired employees.

The challenge? Each state has different thresholds, exemptions, and penalties. What works in Georgia doesn’t apply in Texas. What’s required in Florida might be voluntary in your neighboring state.

This guide breaks down exactly which states require E-Verify, who must use it, and what you need to do to stay compliant. We’ll cover the relationship between E-Verify and Form I-9, explain the penalties for non-compliance, and share best practices that work regardless of where your business operates.

Whether you’re hiring your first employee or managing a growing team across multiple states, understanding E-Verify requirements isn’t optional anymore. It’s a critical part of protecting your business from costly fines and maintaining a legally authorized workforce.

What is E-Verify and How Does It Relate to Form I-9?

Let’s start with the basics. What exactly is E-Verify? It’s an online system operated by U.S. Citizenship and Immigration Services (USCIS) that allows employers to electronically confirm the employment eligibility of their newly hired employees. Think of it as a digital detective for work authorization. It works by cross-checking employee-provided information from Form I-9 against millions of records from the Social Security Administration (SSA) and the Department of Homeland Security (DHS) to confirm work eligibility.

The process is fairly straightforward. Once a new hire completes their Form I-9, we, as employers, enter that data into the E-Verify system. The system then quickly compares this information with government databases. Within seconds, it usually returns one of several results, such as “Employment Authorized” or, occasionally, a “Tentative Nonconfirmation” (TNC) if there’s a mismatch.

Now, how does this tie into Form I-9? This is where many employers get confused. Form I-9 is a federal document that all U.S. employers have been required to complete for every new hire since 1986. Its primary purpose is to verify each new hire’s identity and their authorization to work in the U.S. E-Verify doesn’t replace this foundational requirement. Instead, it acts as a web-based companion, supplementing the Form I-9 process. While Form I-9 establishes identity and work authorization based on documents, E-Verify takes it a step further by electronically verifying that information with federal agencies.

The key difference? Form I-9 is the initial, mandatory paperwork every employer must complete. E-Verify is an additional, electronic verification step that some employers are required to use, or choose to use voluntarily, to improve their compliance. You must complete both if you are using E-Verify. For instance, employees must complete Section 1 of Form I-9 on or before their first day of work. Employers then complete Section 2 within three business days of the employee’s start date, physically reviewing original documents. Only after these Form I-9 steps are done can you enter the information into E-Verify. Understanding this relationship is crucial for effective compliance, and you can dig deeper with our E-Verify vs I-9 Guide.

The Landscape of E-Verify Mandatory States in 2025

While E-Verify remains a voluntary program at the federal level, many states have taken matters into their own hands, enacting laws, ordinances, and executive orders that mandate its use. This patchwork of requirements means that what’s mandatory in one state might be voluntary, or even restricted, in another. The U.S. Supreme Court even weighed in on this, upholding Arizona’s 2007 law that required E-Verify for its employers. This ruling solidified the legal precedent that states can indeed mandate E-Verify, often through licensing mechanisms, without being preempted by federal law.

As we look towards 2025, the landscape continues to evolve. Currently, 22 states require the use of E-Verify for at least some public and/or private employers. This varies from requiring it for all businesses to only public employers or those with state contracts. It’s a lot to keep track of, which is why a comprehensive guide like our E-Verify State Requirements Guide 2025 is invaluable.

States Requiring E-Verify for All or Most Private Employers

Nine states currently require E-Verify for all or most private employers, though many include exemptions, often based on the number of employees. These E-Verify mandatory states are:

• Alabama: Requires E-Verify for all employers.
• Arizona: Requires E-Verify for all employers.
• Florida: Effective July 1, 2024, Florida mandates E-Verify for private employers with 25 or more employees. This was a significant expansion of a law that previously covered only public employers and some contractors.
• Georgia: Requires E-Verify for employers with more than 10 employees.
• Louisiana: Requires E-Verify for all employers. You can find more details on the Louisiana Workforce Commission website.
• Mississippi: Requires E-Verify for all employers.
• North Carolina: Requires E-Verify for employers with 25 or more employees.
• South Carolina: Requires E-Verify for all employers.
• Tennessee: Requires E-Verify for employers with 35 or more employees.
• Utah: Requires E-Verify for private employers with 15 or more employees.

These thresholds mean that even if your state has a mandate, your small business might be exempt. However, it’s always wise to check the specifics, as these laws can change. For more on this, check out our E-Verify Small Business Guide.

States Requiring E-Verify for Public Employers or State Contractors

Eleven states require E-Verify for most public employers, and some extend this to state contractors. This is another crucial area where compliance can get tricky, especially if your business works with government agencies. If you’re a contractor, understanding these rules is paramount. Our E-Verify for Contractors guide can be a great resource.

The states with mandates for public employers or state contractors include:

• Colorado
• Idaho
• Indiana
• Michigan
• Missouri: Applies to public employers and businesses awarded state contracts over $5,000.
• Nebraska
• Oklahoma
• Texas
• Virginia: Requires state agencies and public contractors with 50 or more employees and contracts over $50,000 to use E-Verify.
• West Virginia

Additionally, two other states have specific requirements for some public contractors:

• Minnesota: Requires E-Verify for public contractors with contracts over $50,000.
• Pennsylvania: Requires E-Verify for public works contractors with projects over $25,000.

For federal contractors, the rules are even more stringent, often requiring E-Verify regardless of state law. You can learn more about these requirements in our E-Verify Federal Contractors Guide 2026.

States with Voluntary or Restricted E-Verify Use

Not every state is jumping on the mandatory E-Verify bandwagon. Some states maintain a voluntary approach, while others actively restrict its use.

California stands out as the only state that actively restricts the use of E-Verify. It prohibits state agencies and local governments from requiring private businesses to use the system. So, if you’re operating in California, you won’t be mandated to use E-Verify by state or local authorities, though you can still choose to use it voluntarily.

Illinois also has specific considerations. While E-Verify remains voluntary, effective January 1, 2025, Illinois improves its protections under the Right to Privacy in the Workplace Act. This means if you do use E-Verify in Illinois, you’ll have specific duties, such as notifying employees about E-Verify discrepancies (Tentative Nonconfirmations or TNCs) and providing instructions to contest findings, as well as certifying compliance.

For all other states not mentioned in the mandatory lists, E-Verify use is generally voluntary. However, even if it’s voluntary in your state, many employers choose to enroll for the added legal protection and peace of mind it offers.

Staying Compliant: Penalties, Best Practices, and 2025 Updates

Navigating the complexities of E-Verify, especially with varying state laws, can feel like walking a tightrope. But staying compliant is non-negotiable. Non-compliance can lead to hefty fines, legal troubles, and damage to your business’s reputation. Proactive management and a clear understanding of the rules are your best defense. We can help you Reduce Compliance Risk and ensure you meet all E-Verify Employer Requirements.

Federal and State Penalties for Non-Compliance

The stakes are high. Both federal and state governments impose significant penalties for E-Verify and Form I-9 non-compliance.

Federally, the Department of Homeland Security (DHS) can impose civil fines for several violations:

• Form I-9 Paperwork Violations: Fines range from $288 to $2,861 per form. These can add up quickly if you have multiple errors or omissions.
• Knowingly Hiring or Continuing to Employ Unauthorized Workers: This is where the penalties get really serious.
  • First Offense: $716 – $5,724 per worker.
  • Second Offense: $5,724 – $14,308 per worker.
  • Third or More Offense: $14,308 – $28,619 per worker.
• Failing to Inform DHS of Continuing Employment After a Notice of Final Nonconfirmation: Fines range from $973 to $1,942.

Beyond federal fines, E-Verify mandatory states can impose their own, often severe, penalties. For example:

• Florida: Employers found non-compliant can face a fine of $1,000 per day. Repeated violations could lead to the suspension or revocation of state licenses. First-time violators also typically face a one-year probationary period with quarterly reporting requirements.
• Arizona: As upheld by the Supreme Court, Arizona’s law makes non-compliance punishable by the suspension or revocation of an employer’s business license.

These penalties underscore the importance of robust compliance practices. You can learn more about potential consequences in our I-9 Compliance Penalties guide.

Best Practices for Employers in E-Verify Mandatory States

Whether E-Verify is mandatory for your business or you choose to use it voluntarily, adopting best practices is essential. These aren’t just good ideas; they’re your shield against potential audits and penalties.

1. Consistency is Key: If you use E-Verify, you must use it for all new hires, not selectively. Using it only for certain individuals can lead to claims of discrimination.
2. Post-Offer Only: E-Verify is for new hires only, after they have accepted a job offer and completed Form I-9. Never use it as a pre-screening tool for job applicants.
3. Handle TNCs Correctly: If an employee receives a Tentative Nonconfirmation (TNC), you cannot take adverse action against them, such as terminating their employment, based solely on that TNC. You must allow the employee the opportunity to contest and resolve the mismatch.
4. Train Your Staff: Ensure that all employees involved in the hiring and onboarding process, especially those using E-Verify, complete proper training to understand the verification process. This includes understanding their E-Verify Employer Responsibilities and utilizing official employer resources.
5. Maintain Meticulous Records: Keep copies of all E-Verify case results and documentation alongside the corresponding Form I-9. This is crucial for audit preparedness.
6. Post Required Notices: Display the E-Verify Participation Poster and the anti-discrimination poster in a prominent location visible to employees and job applicants.
7. Document System Unavailability: If the E-Verify system is down, especially for an extended period, document its unavailability (e.g., with screenshots). This can be vital evidence if you’re questioned about delays.

By following these best practices, you demonstrate good faith and significantly minimize your liability.

Key E-Verify and I-9 Updates for 2025

The world of employment verification is constantly evolving, and 2025 brings some important updates to both E-Verify and Form I-9 that employers need to be aware of.

• USCIS E-Verify Records Disposal: Mark your calendars! Starting January 6, 2025, USCIS will permanently delete E-Verify cases updated before December 31, 2014. If your business has been using E-Verify for a while, this is a critical administrative task. You must download Historic Records Reports and retain them with corresponding Forms I-9 for audit preparedness. Don’t let this slip through the cracks; it’s essential for demonstrating compliance. Read more about this significant change on the E-Verify website.
• Illinois Right to Privacy in the Workplace Act Improvements: As mentioned earlier, effective January 1, 2025, Illinois strengthens its protections. If you’re an employer using E-Verify in Illinois, you’ll need to notify employees about E-Verify discrepancies and provide clear instructions on how to contest findings. You’ll also need to certify compliance with these provisions.
• 2025 I-9 Form Updates: While specific details are still emerging, expect the 2025 I-9 Form to include revised language and potentially improved integration with E-Verify+. Staying current with the latest version of the form is always a best practice. Keep an eye on our I-9 Form Updates for the latest information.
• Alternative Procedures for Remote I-9 Document Examination: A significant development, effective August 1, 2023, is the allowance for alternative procedures for examining Form I-9 documents remotely. This applies to employers who are enrolled in E-Verify and meet certain criteria. This is particularly relevant for businesses with remote workforces, offering flexibility while maintaining compliance.

Staying informed about these changes is not just about avoiding penalties; it’s about ensuring a smooth, compliant hiring process in a dynamic regulatory environment.

Frequently Asked Questions about E-Verify Mandatory States

Even with all this information, you might still have some lingering questions. Let’s tackle a few common ones.

Does E-Verify replace the Form I-9?

No, absolutely not! This is a common misconception. E-Verify does not replace the Form I-9; it merely supplements it. Think of it this way: Form I-9 is the mandatory initial step where you collect and examine documents to establish an employee’s identity and work authorization. E-Verify is an additional, electronic check that uses the information from the completed Form I-9 to verify employment eligibility with federal databases. Both are necessary if your business is required or chooses to use E-Verify.

What happens if an employee gets a Tentative Nonconfirmation (TNC)?

A Tentative Nonconfirmation (TNC) means that the information entered into E-Verify from the employee’s Form I-9 did not match records available to the SSA or DHS. A TNC is not a final determination of ineligibility. If an employee receives a TNC, you must:

1. Notify the employee immediately.
2. Provide them with a “Referral Date Confirmation” notice.
3. Allow the employee eight federal working days to contact the appropriate agency (SSA or DHS) to resolve the mismatch.
4. You cannot terminate, suspend, delay training, withhold pay, or take any other adverse action against the employee based solely on a TNC.

The employee has the right to contest the TNC. If they resolve it, the E-Verify case will update. If they choose not to contest or cannot resolve it within the timeframe, it may become a Final Nonconfirmation. For a more detailed walkthrough, see our guide on E-Verify Tentative Nonconfirmation.

Can I use E-Verify for existing employees?

Generally, no. E-Verify is designed primarily for newly hired employees. The standard rule is that you can only use E-Verify for individuals hired after your company has enrolled in the program.

However, there are two key exceptions:

1. Federal Contractors: If your company is a federal contractor with a contract containing the Federal Acquisition Regulation (FAR) E-Verify clause, you are often required to use E-Verify for all employees assigned to that specific contract, including existing employees, not just new hires.
2. Specific State Laws: A few state laws might have provisions requiring E-Verify for existing employees under very specific circumstances, but this is rare.

For most employers, the focus remains on new hires. You can explore this topic further in our E-Verify for Existing Employees guide.

Simplify Your E-Verify Compliance

The world of employment eligibility verification, especially with the intricate web of E-Verify mandatory states, presents a significant challenge for businesses. Keeping up with varying state laws, specific employee thresholds, and evolving federal requirements can be a full-time job in itself. The administrative burden and the constant risk of errors or non-compliance penalties are real concerns for any employer.

This is where expert assistance becomes invaluable. Our team at Valley All States Employer Service specializes in outsourced E-Verify workforce eligibility verification. We offer the impartial, efficient processing you need to minimize errors and lift that administrative burden from your shoulders. We understand the nuances of both federal and state regulations, including those affecting Maryland businesses, and ensure your hiring practices are always compliant.

Let us handle the complexities so you can focus on what you do best: growing your business. We provide peace of mind through expert compliance management.

Ready to streamline your hiring process? Learn more about our E-Verify services and sign up today.