Iowa — Hiring & Onboarding

All Iowa employers must complete Form I-9, Employment Eligibility Verification, for every individual hired for employment in the United States, including both U.S. citizens and non-citizens. Employees must complete and sign Section 1 no later than the first day of employment (but not before accepting a job offer). Employers must complete Section 2 within three business days of the employee's first day of work by physically examining the employee's identity and employment authorization documents. Employers must retain each completed Form I-9 for three years after the date of hire or one year after employment ends, whichever is later.

Edition requirements update (2026): As of August 1, 2026, all employers must use the Form I-9 edition with the 05/31/2027 expiration date (edition dated 08/01/23). Forms completed using earlier editions after this date will not be considered valid under federal law. This is a material compliance update released by USCIS in 2024.

Source: Form I-9, Employment Eligibility Verification Source: USCIS Forms Updates

Beginning October 8, 2025, Iowa Executive Order No. 15 required all executive branch state agencies and the Iowa Board of Regents to use E-Verify to confirm the employment eligibility of each new hire, with SAVE (Systematic Alien Verification for Entitlements) for professional and occupational licensing. This mandate originally applied only to executive branch agencies and the Board of Regents and was based solely on the Governor's executive authority.

Major statutory expansion & codification (2026):

On June 2, 2026, Governor Reynolds signed Senate File 2218, elevating the E-Verify and SAVE requirements to permanent statutory law, effective July 1, 2026. SF 2218:

• Requires all executive branch state agencies, the Iowa Board of Regents (covering state universities), all public school districts, accredited nonpublic schools, charter schools, and innovation zone schools to enroll in and use E-Verify for all new hires.
• Mandates that all professional and occupational licensing boards use the federal SAVE program to confirm lawful presence for license, certificate, or permit applicants.
• Imposes penalties and creates reporting and enforcement mechanisms for noncompliance.

E-Verify obligations under SF 2218 mirror federal user procedures: the check is performed after the employee completes Form I-9 and must occur within the federally mandated timeframe. The law does not create additional I-9 retention or documentation requirements beyond federal law, but all covered employers must maintain compliance with E-Verify registration and use for every new hire.

Scope limitations and private employer status: This state statutory requirement (SF 2218) applies only to Iowa public-sector employers (state agencies, Regents institutions, school districts, and licensing boards). Private-sector employers in Iowa remain subject only to the federal E-Verify rules. Certain federal contractors may have additional E-Verify obligations under FAR 52.222-54 regardless of Iowa law.

Timeline summary:

• Executive Order 15 imposed the initial mandate: October 8, 2025.
• Senate File 2218 was signed into law: June 2, 2026.
• Statutory mandate takes effect: July 1, 2026.

Source: Executive Order No. 15, Governor of Iowa (Oct. 8, 2025) Source: Senate File 2218, 2026 Session Enrolled – Iowa Legislature

Obligation to report new hires: All employers in Iowa must report each newly hired or rehired employee to the Iowa Centralized Employee Registry (CER) within 15 days of the employee’s hire date. This requirement applies to employees for whom the employer is required to complete a federal W-4 form (essentially, anyone considered an employee for federal tax purposes). Both full-time and part-time employees are covered. A "rehire" is an individual who was previously employed by the employer and has been separated from employment for at least 60 consecutive days.

Deadline and accepted reporting methods:

• The report must be submitted within 15 days of the employee’s first day on the payroll.
• Employers can report new hires online via the Iowa New Hire Reporting Center (https://secureapp.dhs.state.ia.us/newhire), or by fax or mail using the paper form as provided by the Iowa Department of Health and Human Services.

Required information:

• Employer name, address, and Federal Employer Identification Number (FEIN)
• Employee name, address, Social Security Number, and first day of paid work

Covered employees and treatment of independent contractors:

• Iowa’s law and guidance specify employees for whom a W-4 form is completed. Iowa’s published employer guidance does not currently require independent contractors (those not classified as employees on the payroll and not issued a W-4) to be reported as new hires.

Penalties for non-compliance:

• An employer who fails to report a new hire may be subject to a civil penalty up to $25 for each failure to report.
• If an employer conspires with an employee to fail to report or submits false information, the penalty may increase to up to $500 per violation. (See Iowa Code § 252B.21A(6)).

Source: Iowa Code § 252B.21A Source: Iowa Department of Health and Human Services — New Hire Reporting

Minimum employment age and documentation As of July 1, 2023, Iowa law no longer requires formal work permits for minors. Senate File 542 (2023) repealed the prior permit system. Now, employers must independently verify and retain documentation of a minor's age by reviewing a certified birth certificate or government-issued identification. For minors under 16, retained written parental or guardian consent is required before employment may commence. These provisions are codified in Iowa Code §§ 92.3, 92.21 (as amended).

Hour and time restrictions

• Ages 14 and 15: May not be employed for more than 6 hours per day or 28 hours per week while school is in session, or more than 8 hours per day or 40 hours per week when school is not in session.
• Ages 16 and 17: As of July 1, 2023, state law no longer imposes maximum daily or weekly limits on the hours for 16- and 17-year-olds, although federal FLSA rules may still apply.
• Earliest/latest hours: Minors may not work before 7 a.m. or after 9 p.m. during school year (for ages 14–15), with broader allowances in summer.

Prohibited and hazardous occupations Iowa prohibits minors under 18 from working in certain hazardous occupations, including driving as part of employment, excavation, demolition, roofing, use of certain power-driven machinery, and work in meatpacking or slaughterhouse operations. However, 16- and 17-year-olds may engage in otherwise prohibited work if participating in an accredited work-based learning program or registered apprenticeship, provided that defined safety, supervision, and documentation rules are met. See Iowa Code §§ 92.8, 92.8A; permitted exceptions require written parental and school or program sponsor authorization as of the 2023 amendments.

Special exceptions and federal overlay Exceptions continue for newspaper delivery, farm work not under contract, modeling, acting, and bona fide family business employment (if not hazardous). Employers should also note that federal child labor rules under the Fair Labor Standards Act (FLSA, 29 U.S.C. §§ 201–219; 29 C.F.R. Part 570) may be more restrictive than Iowa law, and the stricter standard always applies.

Summary of 2023 material changes:

• The work permit requirement was repealed (effective July 1, 2023).
• 16- and 17-year-olds are no longer subject to daily/weekly state limits, subject to federal rules.
• Expanded avenues for minors to work in previously prohibited occupations via accredited learning programs.

Source: Iowa Code Chapter 92 Source: Iowa Department of Inspections, Appeals & Licensing — Child Labor Source: Senate File 542 (2023)

Iowa law requires employers to pay all wages earned by an employee who separates from employment—whether by resignation (voluntary separation) or termination (involuntary separation)—no later than the next regular payday. The controlling statute is Iowa Code § 91A.4(1), which states: “An employer shall pay all wages due its employees, less lawful deductions… up to and including the day employment is terminated, at the next regular payday for the pay period in which such wages were earned.”

No distinction between voluntary and involuntary separation: Iowa’s wage payment statute does not create a separate or accelerated deadline for involuntary terminations (e.g., firings or layoffs) compared to voluntary resignations. In both cases, the next regular payday is the controlling deadline. This means:

• If an employee resigns, all final wages for work performed up to the last day must be paid by the next regular payday following the separation;
• If an employee is discharged or laid off, the same rule applies—the final check must be available by the next regular payday.

Scope — what is covered as “wages”: Under Iowa Code § 91A.2(7), “wages” include not only the employee’s base pay but also earned commissions, overtime, bonuses, or other compensation, to the extent earned and determinable at separation. Accrued but unused vacation is also considered “wages” if the employer’s written policy so provides (see Iowa Code § 91A.2(7)(b)); otherwise, there is no statutory mandate to pay unused leave.

When are penalties imposed? If an employer fails to pay on the next regular payday, the employee may file a claim with the Iowa Division of Labor. Employers may be subject to liquidated damages up to twice the amount of unpaid wages if a violation is found and the delay or nonpayment is not the result of “good faith” dispute (Iowa Code § 91A.8).

Source: Iowa Code § 91A.4 Source: Iowa Code § 91A.2(7) Source: Iowa Code § 91A.8