Construction is a dangerous business, don't trust your most valuable asset to an uninsured lawbreaker operating with an undocumented workforce!
Contractors
operating under the table is a real problem. In 2006, the (CSLB)
reported; "Over half of the State Licensed C-39 Roofing Contractors
operated without Workers Comp Insurance!
The high cost of cheap labor is forcing the legal law biding contractor out-of-business because those contractors who operate with an undocumented workforce without Workers Comp or a certificate of self-insured have an unfair financial advantage. HOWEVER, If an undocumented employee  becomes injured on your project; You could become involved is expensive litigation.
The issue of undocumented workforce is not about racism, it's about unfair financial competition with lawbreakers who pay next to nothing in payroll taxes and workers comp coverage for their employees. Understand that by hiring the lawbreaker can result in the loss of your property in the event the uninsured worker is injured on your property.
Criminal Penalties Employers
convicted of having engaged in a pattern or practice of knowingly
hiring unauthorized aliens or continuing to employ aliens knowing that
they are or have become unauthorized to work in the United States,
after November 6, 1986, (i.e. expiration of work authorization), may be
fined up to $3,000 per unauthorized employee and/or face up to 6 months of imprisonment. Also, engaging in Fraud or False Statements, or otherwise Misusing Visas, Immigration Permits, and Identity Documents can lead to criminal penalties.
Consumer Protection:
Assembly
Bill (AB) 881 amends Section 7125 of the Business and Professions Code
signed into law effective January 1, 2007 - Stipulates "Workers
Compensation Insurance" is required for all (C-39) Roofing Contractors
or a valid Certification of Self-insurance whether or not they have
employees. No exemptions will be granted. Steps like these help to make
it harder for hiring an "ILLEGAL WORKFORCE."
The C-39 Roofing contractor who is not complying with this law is considered an Unlicensed Contractor!
Employer Sanctions for Hiring Illegal Aliens
An
employer found to have knowingly hired, recruited or referred for a
fee, or continued to employee, an unauthorized alien for employment in
the United States
shall be subject to an order to cease and desist from the unlawful
behavior and to pay a civil fine. An employer can be fined $250 -
$2,000 per unauthorized alien with respect to whom the First offense 2 (Ref.) http://www.smartbusinesspractices.com/legal_penalties.php#2 occurred
before September 29, 1999, and not less than $275 and not exceeding
$2,200, for each unauthorized alien with respect to whom the offense
occurred on or after September 29, 1999. An employer can be fined from
$2,000 - $5,000 per unauthorized alien for a Second offense that
occurred before September 29,1999, and between $2,200 - $5,500 if
occurred on or after September 29, 1999. An employer can be fined from
$3,000 - $10,000 per unauthorized alien for each, and Third or Subsequent offense that occurred before September 29, 1999 can be fined between $3,300 - $11,000 if occurred on or after September 29, 1999. These
penalties are not limited to employees for whom employers complete and
retain I-9 files, but also cover employers’ use of contract personnel
known to them to be unauthorized to work in the United States. If an employer can demonstrate compliance with Form I-9 requirements, a good faith defense with
respect to a charge of knowingly hiring an unauthorized alien will have
been established unless the government can prove otherwise.
Failure to Comply with Form I-9 Requirements
Employers
who fail to properly complete, retain, and/or present Forms I-9 for
inspection as required by law may be subject to a civil penalty for
violations occurring on or after September 29, 1999 from $110 - $1,100
per employee whose Form I-9 is not properly completed, retained, and/or
presented. For violations occurring before September 29, 1999; civil
penalties range from $100 to $1,000. In determining the amount of the
civil penalty, the following factors are considered: size of the
business of the employer being charged; the good faith of the employer;
the seriousness of the violation; whether or not the individual was an
unauthorized alien, and the history of previous violations of the
employer.
Requiring Indemnification
Employers
found to have required a bond or indemnity from an employee against
liability under the employer sanctions laws may be fined $1,000 for
each violation before September 29, 1999, and $1,100 per violation on
or after September 29, 1999, and ordered to make
restitution to the person required to pay the indemnity. If that person
cannot be located, payment is made to the U.S. Treasury. Even the mere suspicion that the contractor is using an under-the-table Illegal-Alien-Workforce; contact the Department of Homeland Security (DHS)'s Immigration and
Customs Enforcement (ICE) division at 1-866-DHS-2ICE (866-347-2423). http://www.smartbusinesspractices.com/report_riw.php
Increased Fines for Undocumented Workers Federal law requires that all employers verify the identity and
employment eligibility of all new employees (including seasonal
workers) within three days of hire. Employees are required by Law to
complete the Form I-9, and employees must provide employers with
documentation establishing both identity and eligibility to work
within the United States.
To help employers verify worker status, the Department of
Homeland Security (DHS) and the Social Security Administration
(SSA) have established an electronic system called E-Verify,
which allows participating employers to electronically verify
the employment eligibility of their newly-hired employees.
In March of 2008, the Department of Justice and the
Department of Homeland Security enacted new border security
reforms that increased the fines for hiring undocumented
workers by as much as $5000.
If
you participate in the underground economy, you affect the government's
ability to provide services such as health care, pensions, and
employment insurance. The CSLB
takes this problem seriously, and has a number of Federal and State
agencies involved on identification, audit, and enforcement initiatives
aimed at addressing the underground economy.
Visit these links for more information: M-274 Handbook for Employers, About Form I-9 and E-Verify, and
How To Use E-Verify
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