January 13, 2009—The E-Verify implementation date for federal contractors and subcontractors has been postponed from January 15, 2009 to February 20, 2009.

Initially announced in November 2008, this new rule requires federal contractors to use E-Verify to confirm the employment eligibility of all persons hired during a contract term and to confirm the employment eligibility of federal contractors' current employees who perform services for the federal government in the United States.

Federal contracts awarded and solicitations issued after February 20, 2009 will include a clause committing contractors to use E-Verify. The same clause will also be required in subcontracts over $3,000 for services or construction. Contracts exempt from this rule include those that are for less than $100,000 and those that are for commercially available off-the-shelf items. Companies awarded a contract with the federal government will be required to enroll in E-Verify within 30 days of the contract award date. They will also need to begin using the E-Verify system to confirm that all of their new hires and their employees directly working on federal contracts are authorized to legally work in the United States.

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