A divided U.S. Supreme Court on Thursday upheld an Arizona law that imposes sanctions against businesses that hire illegal immigrants.

The court, in a 5-3 opinion that split along ideological lines, said federal immigration law doesn’t bar Arizona from suspending or revoking the licenses of businesses that employ undocumented workers.

“Because we conclude that the state’s licensing provisions fall squarely within the federal statute’s savings clause and that the Arizona regulation does not otherwise conflict with federal law, we hold that the Arizona law is not preempted,” Chief Justice John Roberts wrote in a 27-page opinion for the court’s conservative majority.

The justices also upheld the state law’s requirement that employers use a federal electronic verification system to check the immigration status of workers.

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