- Specifies that sanctions may only be applied to employers who hired undocumented immigrants after December 31, 2007 (Sec. 3).
- Requires employers with two or more employees who pay any of their employees in cash to comply with income tax withholding laws, employer reporting laws, employment security laws, and workers' compensation laws. A violation of this provision is punishable by a civil penalty equal to three times the amount of all withholdings, payments, contributions, or premiums the employer failed to remit or $5,000 for each employee for whom a violation was committed, whichever is greater (Sec. 8).
- Specifies that hiring an employee by knowingly accepting any false personal identification to determine the individual's legal right to work in the United States is a class four felony (Sec. 1).
- Prohibits employers from knowingly employing an undocumented immigrant through an independent contractor (Sec. 4).
- Specifies that upon the first violation of intentionally employing an undocumented immigrant the employer is subject to a five year probationary period only for the business location where the unauthorized work was performed (Sec. 5).
- Specifies that upon the second violation during a probationary period, the court must revoke the employer's licenses only for the business location where the unauthorized work was performed (Sec. 5).
- Requires employers to provide proof that they are registered with the e-verify program to verify the employment eligibility of their employees in order to receive an economic development incentive from a government entity (Sec. 6).
- Requires the Attorney General to establish a Voluntary Employer Enhanced Compliance Program under the terms of which employers submit an affidavit pledging to verify employee eligibility via e-verify or the social security number verification service, and specifies that an employer who is enrolled in this program and complies with its directives shall not be in violation of laws prohibiting knowingly and intentionally employing undocumented immigrants (Sec. 7).
- Prohibits state agencies from issuing any license to an individual who does not have proper identification to indicate his or her authorized presence in the country beginning September 30, 2008 (Sec. 9).