Texas Immigration and Work Eligibility Laws

Overview of Work-Eligibility Compliance

Everything’s bigger in Texas—including the workforce. And like the rest of the U.S., employers in Texas have to play by the rules of the Immigration Reform and Control Act (IRCA). That means completing Form I-9 for every new hire within three business days and keeping it for either three years after hire or one year after separation, whichever is later.

While Texas doesn’t have a universal statewide E-Verify mandate, certain sectors and government contractors have stricter requirements. Plus, the Lone Star State’s political climate around immigration is active—so employers can’t afford to get sloppy.

Immigration Reform and Control Act (IRCA) Compliance in Texas

Does Texas Law Differ From Federal IRCA?

The I-9 process? Same as everywhere else. But enforcement? Texas doesn’t mess around.

• Texas law penalizes employers that knowingly hire undocumented workers, especially on public projects.
• Contractors with state agencies are subject to additional verification rules.

Common Employer Questions About IRCA in Texas

Which I-9 documents are most frequently rejected? Expired work authorizations, mismatched documents (like Social Security name mismatches), and incomplete employer attestation sections.

Can we accept a digital driver’s license? No. Federal rules still require original, physical documents.

How soon must the I-9 be completed for remote hires? Section 1 on or before the first day of work, Section 2 within three business days. Use a remote authorized rep to verify documents in person.

Are photocopies of documents permitted? Only as part of recordkeeping—never for verification itself, and only if applied consistently.

Municipalities in Texas With Additional IRCA-Related Requirements

Texas law prohibits sanctuary cities, requiring local governments to cooperate with federal immigration enforcement. However, cities do not have unique I-9 or hiring verification rules beyond what’s required by the state and feds.

E-Verify Requirements in Texas

Is E-Verify Mandated Beyond Federal Law?

Sort of. Texas does not require E-Verify for all private employers, but:

• State agencies and universities must use E-Verify
• Contractors and subcontractors working with those public entities are also required to enroll

This requirement stems from Executive Order RP80, signed in 2014.

Common Employer Questions About E-Verify in Texas

When must the E-Verify case be opened—hire date or start date? You have three business days after the employee’s start date to initiate the case.

What do we do with a “Tentative Non-Confirmation”? Provide the Further Action Notice, give the employee a chance to contest, and don’t make any rash decisions until it’s resolved.

How are remote workers handled? Documents must be inspected in person, even for remote hires. Once verified, proceed with the E-Verify submission.

Are there civil vs. criminal penalties for non-use? There are no criminal penalties for non-use unless it’s tied to knowingly hiring unauthorized workers. But contractors who fail to use E-Verify on public contracts may be disqualified or terminated.

Local E-Verify Ordinances in Texas

Some municipalities may require E-Verify for business licenses or city contracts—most notably:

• Farmers Branch and Irving have discussed or implemented E-Verify at the local level

But these are outliers, and state preemption limits expansive local rules.

Visa & Employment Authorization Rules in Texas

State-Specific Restrictions or Accommodations

Texas agencies require proof of lawful presence to issue occupational licenses in:

• Law
• Healthcare
• Engineering
• Teaching

The state also participates in the Conrad 30 J-1 waiver program, helping rural and underserved areas attract medical professionals.

Common Employer Questions About Visa Sponsorship and EADs in Texas

Can we file H-1B transfers for employees living out of state? Yes. No state-level interference—just follow the federal process.

Must we update payroll tax status when an EAD renews? Absolutely. And don’t forget to reverify the Form I-9 at the same time.

Is there a state fee or notice requirement for foreign-worker layoffs? No. Only the federal WARN Act applies in large layoffs.

Municipal Ordinances Affecting Visa/EAD Employment Eligibility

While cities like Austin and Dallas promote pro-immigrant policies, none impose additional legal obligations on employers for immigration verification.

Penalties for Non-Compliance in Texas

Texas employers may face:

• Federal fines: $281–$2,789 per I-9 violation, up to $27,894 per unauthorized hire
• State contract penalties: Contractors can lose funding or be banned from bidding if they violate E-Verify requirements

No additional fines are imposed on private-sector employers beyond federal law.

Record-Keeping & Retention Guidelines

Texas follows the federal script:

• Keep Form I-9 for three years after the hire date or one year after termination, whichever is later
• Store E-Verify records if you use the system, especially for government contracts

Digital storage with access controls is highly recommended.

Anti-Discrimination & Retaliation Protections

Texas enforces federal protections under INA § 274B but has minimal state-specific additions:

• Employers may not discriminate based on national origin or race under the Texas Labor Code
• No Texas-specific rule against “document abuse,” but EEOC and DOJ rules still apply

Workers filing complaints over wage theft or unsafe conditions may be protected from retaliation, regardless of status.

Employer Best Practices for Immigration and Work Eligibility Laws in Texas

• Use E-Verify if you’re a public contractor or state agency
• Audit your I-9s regularly to correct common errors
• Set up reminders for EAD renewals and reverifications
• Train staff on bias-free verification practices
• Store everything in a centralized digital system for fast access during audits

How WorkforceHub Simplifies Immigration and Work Eligibility Compliance

Texas employers need flexibility, but also sharp tools to keep up with contract requirements and federal rules. WorkforceHub delivers:

• Step-by-step I-9 assistance with live error checks
• Integrated E-Verify submissions and status tracking
• Automated renewal alerts for expiring documents
• Secure digital storage with access logs
• One-click compliance reports for audits, contracts, and HR audits

See a demo to learn how WorkforceHub helps Texas employers stay efficient, compliant, and audit-ready.