'Business death penalty' for hiring illegal workers is upheld by Supreme Court
The 5-3 decision gives states more authority to act against illegal immigrants. Justices rule that states can take away the business licenses of companies that knowinly hire illegal immigrants.


The Supreme Court on Thursday gave Arizona and other states more authority to take action against illegal immigrants and the companies that hire them, ruling that employers who knowingly hire illegal workers can lose their license to do business.

The 5-3 decision upholds the Legal Arizona Workers Act of 2007 and its so-called business death penalty for employers who are caught repeatedly hiring illegal immigrants. The state law also requires employers to check the federal E-Verify system before hiring new workers, a provision that was also upheld Thursday.

The court's decision did not deal with the more controversial Arizona law passed last year that gave police more authority to stop and question those who are suspected of being in the state illegally. But the ruling is likely to encourage the state and its supporters because the court majority said states remained free to take action involving immigrants.