Employers Who Hire Illegals Sued by Other Employers

California employers may wish to review their I-9 compliance policies and procedures. According to this article, an employment agency has accused a grower in California of hiring illegal aliens as an "unfair business practice." According to the article, the lawsuit was brought under Californians broad unfair competition law, Bus. and Prof. Code section 17200. The theory is that hiring illegal aliens is an unlawful business practice under the UCL, because the lower wages unlawful workers will accept results in an unfair competitive advantage for the employers who hire them.

Under Prop. 64, which narrowed the UCL's applicability, the plaintiff will have to establish "standing," or actual injury in fact in order to maintain the lawsuit. For example, an employer would have to establish that it lost business to a competitor that hires illegal aliens and could set prices lower as a result.

"Illegalemployers.org" a group that seems to have been formed specifically to target employers that hire undocumented workers, is referenced in the article.

It seems that the marketplace is going to implement its own immigration reform since the government's efforts to enact immigration reform legislation stalled back in April.

DGV