SB421 Alabama 2010 Session

Summary

Primary Sponsor

Steve French

Republican

Co-Sponsors

Harri Anne SmithCharles BishopJimmy HolleyScott BeasonLarry DixonArthur OrrHenry Eugene “Hank” Erwin Jr.Rusty GloverPaul SanfordTrip PittmanBen H. BrooksDel MarshJ.T. WaggonerJim Preuitt

Session

Regular Session 2010

Title

Businesses or public employers, reguired to verify legal status of new employees through federal E-verify program, penalties

Summary

SB421 would require Alabama businesses and public employers to verify the legal status of new employees using the federal E-Verify program (or a similar method), with license suspensions for violations.

What This Bill Does

It requires businesses and public employers to verify the employment eligibility of every new employee. Public entities must register with and use E-Verify, and contracts with private firms must require the contractor to use E-Verify for new employees. Violations can lead to suspension of state or local licenses for 1–30 days on the first violation and permanent suspension on subsequent violations; entities that comply in good faith can receive a rebuttable presumption of compliance. Documentation collected through E-Verify must be kept for at least three years after an employee leaves and provided to state authorities upon request.

Who It Affects

• Business entities in Alabama (including individuals, corporations, partnerships, LLCs, foreign entities, and others requiring a business license) that must verify new hires or risk license suspension.
• Public employers in Alabama (state departments/agencies and political subdivisions) that must use E-Verify for new hires and ensure contractors on state contracts also use E-Verify.
• Employees/new hires in Alabama, whose employment eligibility must be verified and documented for the duration specified.

Key Provisions

• Requires verification of employment eligibility for every new employee via E-Verify or an equivalent method.
• Public employers must register with and use E-Verify; public contracts require contractors to be registered and using E-Verify for new employees.
• First violation can result in suspension of all licenses held by the business for 1–30 days; a second or subsequent violation can lead to permanent suspension of licenses.
• License suspension prohibits the entity from operating any form of business during the suspension period.
• Documentation from E-Verify must be kept for at least three years after an employee’s termination and provided to state authorities upon request.
• Determinations of unauthorized status rely on federal verification; courts may request federal verification, and the most recent federal determination creates a rebuttable presumption of status; there is a presumption of good faith for entities enrolled in E-Verify.

AI-generated summary using openai/gpt-5-nano on Feb 25, 2026. May contain errors — refer to the official bill text for accuracy.

Subjects

Employment