Delaware’s Legal Battle Over Employment Records
Delaware labor officials and the Trump administration are in conflict over immigration officials’ access to sensitive resident data. A recent court ruling might pave the way for expanded immigration enforcement measures in the state.
On Tuesday, a senior federal judge in Delaware rejected the state’s efforts to withhold employment records from U.S. Immigration and Customs Enforcement (ICE) in connection with investigations involving over a dozen businesses. The judge ordered the Department of Labor to provide the requested data.
In his 27-page decision, Delaware District Court Chief Judge Colm Connolly made it clear that he found the state’s arguments unconvincing. He expressed astonishment at the Delaware Department of Labor’s failure to respond to a federal subpoena.
During an earlier hearing, Connolly systematically dismantled the state’s reasoning, suggesting that their noncompliance might stem from a “political argument, not a legal argument.” He emphasized that fulfilling the subpoena was in the federal interest and dismissed concerns that it could compromise Delaware’s unemployment trust fund.
Connolly, a former U.S. attorney appointed during President Trump’s first term, made it clear that the court is not a suitable venue for general grievances regarding the Department of Labor’s actions, noting that he would not weigh in on such matters.
After the ruling, it remained uncertain whether the Labor Department would appeal to the Third Circuit. A spokesperson from Governor Matt Meyer’s office did not provide a comment, and the Delaware Department of Justice, which represented the state in court, also refrained from making statements.
The outcome of this case is significant for immigration enforcement in Delaware, especially following the state’s ban on local police cooperation with ICE under the 287(g) program. Successful retrieval of labor records by ICE could mark a new chapter in the administration’s strategy in the First State.
Origin of the Case
The legal dispute originated from a subpoena issued by ICE to the Delaware Department of Labor in April 2025. This subpoena sought wage records for the last two quarters of 2024 from 15 Delaware businesses believed to employ undocumented workers.
According to court documents, this subpoena followed a “hotline tip” received by ICE, requesting employee names, addresses, wages, and Social Security numbers. Such efforts align with the Trump administration’s broader approach to utilizing data from federal and state agencies as part of its immigration enforcement strategy.
Lawyers from the U.S. attorney’s office argued that the requested wage records could aid ICE in its workplace enforcement initiatives, helping to determine the authenticity of Social Security numbers and whether employers are paying employees in unreported cash transactions.
Assistant U.S. Attorney Claudia Paré sought to keep the April subpoena sealed to avoid alerting the businesses under investigation prematurely. Conversely, Deputy State Attorney Jennifer Kate Aaronson filed a motion in August to unseal the subpoena, arguing that the accused businesses should have the opportunity to contest the release of their information to ICE.
While Connolly initially chose not to rule on these claims, he noted that maintaining the confidentiality of subpoenas was warranted. Exposure could potentially damage the reputation of any company ultimately found to be innocent of hiring undocumented workers.
In his recent ruling, Connolly similarly dismissed the state’s motion to unseal these subpoenas. Notably, there have been at least four citations from ICE against the Department of Labor since February 2025, and ICE has investigated businesses in multiple industries regarding possible undocumented employment.
Before 2025, it was routine for the Department of Labor to respond to subpoenas from ICE and other federal entities, a practice that the current case has now complicated.
