In the California case of Salas v. Sierra Chemical Co., the court denied the plaintiff's ADA and workers’ compensation retaliation claims after the employer learned that the Social Security number the employee used to obtain work belonged to another person in a different state.
The court relied in part on the Immigration Reform and Control Act (IRCA), which prohibits employers from knowingly hiring or continuing to employ unauthorized workers and also prohibits aliens from using forged or falsely made documents to obtain employment.
The court explained that, because the employee misrepresented a federally imposed job qualification — possession of a valid Social Security number that did not belong to someone else — the employer was entitled to judgment under the after-acquired-evidence doctrine. The employer had been placed in the position of filing a false I‑9 and submitting inaccurate returns to federal agencies, and the court concluded the misrepresentation went to the heart of the employment relationship.
The court also applied the unclean hands doctrine to bar the plaintiff’s wrongful discharge and contractual claims, noting that the misrepresentation exposed the employer to potential penalties and directly related to the separation and hiring decisions.
The plaintiff further relied on California legislation intended to confirm that immigration status is generally irrelevant to enforcement of state labor and employment laws. The court rejected that argument here, reasoning the statute was declaratory of existing law and did not create a right for an undocumented worker to maintain a discrimination-based termination or failure-to-hire claim if that claim is otherwise barred by doctrines such as after-acquired evidence or unclean hands.
Employers should balance compliance with state labor laws and federal immigration requirements, and act promptly when they discover material misrepresentations in hiring.
Bottom line for employers
- Verify immigration eligibility and other background information carefully and document your checks.
- Adopt a clear written policy stating that material misrepresentations in the hiring process may result in termination and include that policy on job applications.
- Preserve records showing the basis for any adverse employment action to support legitimate, non-discriminatory reasons for termination.
For guidance that connects employment decisions with workplace coverage and compliance, see Workers Compensation and Employment Issues.
When evaluating whether a termination or failure-to-hire claim has merit, the factual context matters; review similar discrimination decisions such as Equal Employment Opportunity Commission v. Abercrombie & Fitch Stores, Inc. for examples of how courts analyze employer intent and policy application.
Keep in mind that immigration status does not negate an employee’s rights to many state protections — for example, wage claims and certain workers’ compensation rights can still apply — so coordinate your human resources, payroll, and claims handling. For recent analyses and workplace safety considerations, see Recent Developments in Workers' Compensation and Workplace Safety.
If you are unsure how to proceed in a particular case, talk to an agent.
Frequently Asked Questions
Can an employer terminate someone who used a false Social Security number to get hired?
An employer can generally take employment action when an employee materially misrepresents a federally required qualification, such as using another person’s Social Security number, but specific outcomes depend on the facts and applicable law.
Does state law protect undocumented workers from all employment claims?
State law can extend many employment protections to undocumented workers, but certain claims tied to federal eligibility requirements or barred by equitable doctrines may not succeed.
Should employers always run background and immigration checks?
Yes; consistent, documented verification helps employers comply with federal and state requirements and supports lawful employment decisions.