The Form I-9 is a document designed to verify the identity and employment authorization of individuals hired for work in the United States. While the form may seem straightforward, significant implications arise from errors, neglect, or noncompliance. In this article, we explore the importance of I-9 compliance, the role of E-Verify, the value of conducting internal I-9 audits, and strategies to avoid potential risks.
I-9 Compliance: Why It Matters
Employers are legally required to complete an I-9 for every new hire, regardless of their citizenship or immigration status, and within a certain amount of days after employment begins. Failure to properly complete or maintain these forms can lead to severe civil and, in some cases, criminal penalties, including fines, audits, and the possibility of reputational damage to the organization.
I-9 compliance also plays a critical role in maintaining a legal workforce and deterring identity fraud or unauthorized employment.
E-Verify as a Tool for I-9 Compliance
E-Verify is an online system operated by the Department of Homeland Security (DHS) in partnership with the Social Security Administration (SSA). This system allows employers (on a voluntary or mandatory basis, depending on location and industry) to electronically verify the employment eligibility of their workforce after the I-9 is completed.
While using E-Verify is not federally mandated in many industries, it is an excellent tool for employers to ensure accuracy and reduce the chance of unintentionally hiring unauthorized workers. By cross-referencing information supplied on the employee’s I-9 against federal databases, E-Verify provides additional peace of mind that an organization is meeting its compliance obligations. However, E-Verify does not eliminate the responsibility of properly completing and storing I-9 forms.
The Importance of Conducting an I-9 Audit
Neglecting I-9 compliance can leave employers vulnerable to costly fines and government sanctions, especially in the event of a federal audit or worksite enforcement action. To address potential vulnerabilities, employers should perform periodic internal audits of their I-9 forms.
An I-9 audit allows employers to verify that all forms are complete, accurate, and up to date. It also provides an opportunity to identify and correct errors that may have been inadvertently made during the hiring process. An I-9 audit also demonstrates an employer’s good faith effort to comply with the law, which can be valuable in mitigating penalties during a government review.
Document Expirations: Stay Vigilant
One tricky aspect of I-9 compliance is continuously monitoring work authorization documents with expiration dates. Some employee-provided documents (such as Employment Authorization Documents, or EADs) may have limited validity periods. Employers must track when these documents expire and follow up with employees to obtain updated documentation establishing renewed work authorization.
Correcting Mistakes on I-9 Forms
Errors on I-9 forms can be corrected, but they must be corrected properly. Using white-out or back-dating forms is strictly prohibited.
It is also critical to understand that employers should not destroy old I-9 forms and replace them with new ones if errors are found. Additionally, understanding the specific period of time that I-9s must be retained is very important.
The Rise in I-9 Audits: Increased Enforcement Activity
Employers should be aware that there has been an uptick in government audits of I-9 forms. The Immigration and Customs Enforcement (ICE) agency, which oversees worksite enforcement, has significantly increased audits in recent years as part of its effort to crack down on unauthorized employment.
Marzano Human Resources Consulting conducts comprehensive HR audits for its clients, including a thorough review of their I-9 processes. Reach out to us for a no-cost initial consultation.