Appeared in Workplace HR & Safety - HR Email Report
January 18, 2008

Click here to read in original format

The Implications of Arizona's New Approach on Immigration
By Robert Meltzer, CEO, VISANOW

The Legal Arizona Workers Act took effect in the state of Arizona on Jan. 1, 2008. This new legislation aims to help the state crackdown on employers who knowingly hire undocumented workers. With Congress failing to enact Comprehensive Immigration Reform last summer, the Arizona law was decidedly passed by the state legislature. This strict and possibly far-reaching act penalizes companies that knowingly hire undocumented immigrants by suspending their business licenses for up to 10 days. If a second offense is committed, the company's business license is revoked.

In addition, the act encourages citizens to contact a sheriff or attorney to report businesses they suspect of employing an undocumented worker. The strict nature of this program will have a significant impact on HR departments in companies throughout Arizona and could be a sign of things to come for other states around the country.

Who is Affected?
Over the years, immigrants have settled in Arizona taking positions that had previously remained unfilled. According to a University of Arizona study released in October 2007, of the state's nearly 2.5 million workers, close to 300,000 are not U.S. citizens, equaling more than 10 percent of the total workforce. Companies in agriculture, construction and service industries rely heavily on an immigrant workforce, and will be affected by this legislation that could possibly drive their employees not only out of work, but out of the country. These results could bear significant economic repercussions for the state.

What is the Impact?
The implications of the Legal Workers Arizona Act are twofold: Immigrant workers without documentation will leave to avoid deportation, and immigrant workers with documentation could choose to relocate due to fear of discrimination.

Employers across industries are likely to face immediate workforce disruptions, but these could be most dramatic in the agricultural industry. The lack of a consistent labor force could in turn directly impact consumers in early 2008 as farm owners struggle to maintain and deliver their produce in a timely manner. In addition to the economic impact, this new law will certainly affect thousands of immigrant families and, most likely, the civil rights of legal Hispanic residents who will come under scrutiny.

What is Happening Nationally?
Although the overall reform discussion has been on hold recently, the Department of Labor (DOL) is reviewing the processing procedures for the H-2A temporary work visa for seasonal agricultural certification applications. Proposed regulations would make it easier for agricultural employers to fill jobs with workers who are legally in the country.

In addition, the Department of Homeland Security (DHS) is working to meet the objections of a federal judge in California who in September 2007 halted the implementation of the "no-match" letter regulation. The "no-match" letter regulation, developed by the DHS and the Social Security Administration (SSA), outlines specific steps employers should take if they receive a letter from the SSA informing them they have an employee whose name and Social Security number do not match government records.

What Actions Should Employers Take?
Employee verification is a critical step every business should take when hiring foreign workers. As Arizona is the first state to move forward with a strict immigration law for undocumented workers, it is imperative that companies prepare now for what could be a domino effect encouraging other states to follow suit by passing similar laws.

Now is the time for employers to consider the best plan to verify workers and manage immigration processing. A technology-based immigration management system could hold immense benefits for industries affected by the immigration issues. Become familiar with the processes around hiring foreign workers, what your options are and whether a work visa is required. Do your homework now to save time, resources and possibly workers later.

Copyright: Workplace HR & Safety, 2008