Indiana and Oregon Enact Contrasting Immigration-Related Employment Laws

On July 1 2026 Indiana’s Senate Enrolled Act 76 and, on June 5 2026, Oregon’s House Bill 4111 took effect. Both statutes operate under the federal employment-eligibility system created by the Immigration Reform and Control Act of 1986 (IRCA) and the Form I-9 process, yet they pursue opposite policy goals. Indiana emphasizes employer accountability for hiring unauthorized workers, while Oregon focuses on protecting employees who lawfully update their work-authorization documents.

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• Indiana (Senate Enrolled Act 76): Makes it unlawful for an employer to knowingly recruit, hire, or retain an unauthorized worker. Employers can meet a “reasonable diligence” standard by using E-Verify or other industry-standard verification practices. The Indiana Attorney General may initiate enforcement actions after notice, with penalties ranging from probation and reporting requirements to suspension or permanent revocation of operating authorizations for repeat or willful violations. Retaliation against employees cooperating with investigations is prohibited.

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• Oregon (House Bill 4111): Bars employers from discharging, discriminating against, or otherwise taking adverse action against an employee who updates personal information based on a lawful change in federal work-authorization status. The law preserves the employer’s duty to comply with federal verification requirements while shielding workers from retaliation for lawful status updates. It also limits the use of immigration status evidence in civil litigation except when essential to a claim.

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Employers must continue the uniform federal I-9 and E-Verify processes, but they now face state-specific compliance obligations that diverge after the initial verification. A company hiring in both Indiana and Oregon must enforce Indiana’s pre-hire diligence standards and, simultaneously, Oregon’s post-hire protection provisions, increasing the complexity of nationwide HR policies.

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• “Employment eligibility verification in the United States is governed by a single federal framework.” — Alonzo Martinez, Forbes contributor

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• “Among its most significant provisions, the law makes it unlawful for an employer to knowingly or intentionally recruit, hire, or continue employing an unauthorized worker.” — Alonzo Martinez, Forbes contributor

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• “The statute therefore provides that employers may satisfy a "reasonable diligence" standard by using the federal E-Verify system or by following industry-standard practices designed to confirm work authorization.” — Alonzo Martinez, Forbes contributor

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• “Beginning June 5, 2026, Oregon employers may not discharge, discriminate against, retaliate against, or otherwise take adverse action against an employee because the employee updates or attempts to update personal information based on a lawful change in federal employment authorization documentation.” — Alonzo Martinez, Forbes contributor

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• “Except in specified circumstances where immigration status is essential to proving a legal claim or determining a particular remedy, that evidence generally may not be admitted.” — Alonzo Martinez, Forbes contributor

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