The Immigration Reform and Control Act (IRCA) prohibits the employment of individuals who are not legally authorized to work in the United States or in an employment classification that they are not authorized to fill. The IRCA requires employers to certify (using the I-9 form) within three days of employment the identity and eligibility to work of all employees hired. I-9 forms must be retained for three years following employment or 1 year following termination.

The IRCA also prohibits discrimination in employment-related matters on the basis of national origin or citizenship. Discriminatory actions include, but are not limited to, requesting additional documents beyond those required, refusing to accept valid documents or consider an applicant who is suspected of being an illegal alien or harassing or retaliating against employees for exercising their rights under the law.

Penalties for non-compliance: Civil fines of $100 to $10,000 per violation for recordkeeping and employment violations. Back pay/front pay and attorneys's fees for discriminatory actions. Criminal penalties may be imposed for repeated violations.