A web based pilot program is currently underway to rapidly determine the eligibility of a worker to work legally in US.

Under the "Basic Pilot Program," employers enter a person's name, birth date and other data on a website. The information is then run through databases maintained by the Social Security Administration and U.S. Citizenship and Immigration Services.

Employers never learn if the individual might be in the country illegally. They simply get a "yes" or "no" on the person's work status.

Applicants can appeal if they disagree with the results. The program doesn't include fingerprint or other biometric checks to determine if applicants are using someone else's Social Security number or name. Ideally, the checks would eventually include a photo identification card supplied by the Social Security Administration. But the agency has estimated it could take at least $4 billion to produce such cards.

Source: Wired News

There are still chances of forgery as people can impersonate as someone else and arrive with their documents. Also it is not known about the rate of false positives. False positives may seriously deter legal workers from joining the workforce.

Such services may also be subject to man-in-the-middle attacks. The consequences of which could be enormous.

Overall I think it is a step in the right direction. We need such a system for India too.