I-9 Document Inspections Surprise 1,000 Employers

On Tuesday, Immigration and Customs Enforcement (ICE) issued another round of dreaded Notices of Inspection to 1,000 U.S. employers.  In their continuing effort to enforce every employer’s responsibility to verify the work eligibility of every person hired, ICE is conducting document inspections focused on the Form I-9.

According to ICE spokesperson Gillian Christensen,

“The inspections will touch on employers of all sizes and in every state in the nation, with an emphasis on businesses related to critical infrastructure and key resources.”

ICE inspection notices typically give an employer 3 business days to turn over their I-9s for all current employees and for employees who have been terminated within the last 3 years.  ICE auditors go through the forms with a fine tooth comb looking for mistakes and omissions for which the employer is heavily penalized.

The document inspections often lead to civil money penalties calculated in tens of thousands and sometimes millions of dollars…even when no illegal workers are present.  In addition to the fines assessed, these ICE audits may cost a company millions in lost productivity not to mention attorneys’ fees and the impact this type of inspection may have on the corporate image in the public’s eye.

You can be sure there are 1,000 HR managers and company executives who haven’t slept much since Tuesday when they were surprised by ICE.

At I-9 Okay we continue to urge employers to take a proactive approach to Form I-9 compliance.  Every day I meet HR managers and company executives who assure me they are focused on I-9 compliance but upon further review I discover large gaps in their procedures that are leaving them at risk in the event of an ICE investigation.

The I-9 form is the one piece of paper that if executed properly may protect you from knowingly hiring illegal workers.  It deserves your full attention!  More times than not, while conducting internal audits, we find mistakes and omissions that would cost an employer dearly during an ICE inspection.  This is particularly true with companies that have multiple people responsible for completion of the form, have had turn-over in the HR department, or who have not had any formal training concerning proper I-9 procedures.

The USCIS through the IMAGE program (ICE Mutual Agreement between Government and Employers) recommends some important Best Practices for employers to implement to ensure compliance with the requirements of the Form I-9.  The Best Practices include providing formal I-9 training for your staff, conducting internal audits, and developing a comprehensive compliance plan.

If you have not implemented these Best Practices, what are you waiting for?  ICE may surprise you next.  Are you ready?

Most Employers Know Their Form I-9s Have Errors

75% of employers know their Form I-9s are not complete and correct.  How would you rate your company’s I-9 compliance?

Excellent – We’re ready for the Feds to audit us. In fact maybe we will send ICE an invitation!

Pretty Good - but we probably have some areas that need attention.

Not so Great – We need a lot of work but don’t really know where to start.

Don’t Even Go There! - We’re just hoping we never get audited.  If we do, it won’t be good!

Only a small percentage of employers fall into the Excellent Compliance category, even when they are making their best effort to comply. More times than not, employers fall into the Pretty Good and the Not so Great categories but due to lack of resources, budgets, and other factors, I-9 compliance is not at the top of the priority list.

We speak to companies on a weekly basis that don’t have I-9s because they “didn’t know”, “never heard of it”, think it is only for foreign workers and many other reasons!  Often these are grassroots companies that started small, grew rapidly and have had a “do-it-yourself” attitude about HR processes and on-boarding.  Trust me when I say that during an ICE investigation, “I didn’t know” is not an excuse for non-compliance.

While consulting with large employers, I find they often believe their I-9s have received the attention they demand because their HR staff is sophisticated and very well qualified. Unfortunately, this is often not the case.  In fact, we often find these sophisticated HR departments are perpetuating the same errors over and over again because they feel they can handle their training internally.  The old saying “you don’t know what you don’t know” is a dangerous position to be in when it comes to I-9 compliance.

Whether a large or small employer, you can assess your level of current I-9 compliance by addressing these questions:

1. Has your company had turnover in the HR position(s) and/or hiring managers responsible for processing I-9 Forms?
2. Has your hiring staff and HR department received formal training from an I-9 specialist concerning correct completion I-9 Forms, accepting documents, and anti-discrimination provisions?
3. Do you have a mechanism in place during the on–boarding process to insure the Form I-9 is completed within 3 days of hire? (This is the most common mistake employers make and is a substantive violation during an ICE investigation)
4. Have you recently gone through a merger, acquisition, or reorganization?
5. Is your on-boarding or hiring process more complex due to multiple locations, remote hiring, or utilizing temp agencies?
6. Have you documented your company’s Form I-9 processes and policies?
7. Do you hire a large volume of foreign workers, students, special placement, or minors?
8. Do you maintain a formal tickler system for follow-up and re-verification of expired work authorization documents?
9. Do you keep copies of the supporting documents presented by the employee during the I-9 process?  If so, how are they stored?
10. Do you bid for government contracts?
11. When was the last time you had a qualified I-9 specialist audit your compliance?

As you review these eleven questions, you may discover you are not as compliant as you thought!  The experts at I-9 Okay are uniquely qualified to assist you with every aspect of Form I-9 compliance, E-Verify, and Social Security Number Verifications.  We offer the most affordable way to train every person in your company who has I-9 responsibility.

Don’t be fooled!  ICE is actively looking for employers who are not complying with I-9 requirements.  Take a proactive approach to addressing your compliance today. It’s more affordable than you think.

It’s Time to Take Form I-9 Compliance Seriously

A Subway franchisee in North Carolina with 11 employees is probably wishing he had proper I-9 procedures in place before ICE visited him and cost him a lengthy legal battle and over $27,000 in fines.  Macy’s department stores in Florida are licking their wounds after answering allegations of document abuse and paying stiff penalties concerning the Form I-9.  Chipotle is reeling after its Minneapolis restaurants were audited by ICE and is now facing more scrutiny in Virginia and DC.  As a result of the audit they have fired hundreds of employees and are facing a public relations nightmare.

How Will Your Company Fair When ICE Comes Knocking?

Immigration and Customs Enforcement (ICE) is on a mission and your business is in their crosshairs.  This week, ICE issued 1000 Notices of Inspection to companies just like yours requesting Form I-9 documentation for all current employees plus the I-9 records of all employees terminated within the last 3 years.

Statistically, over 80% of those employers will pay civil money penalties for errors and omissions on the I-9.  An ICE document inspection is a full audit of your company’s I-9 documents and EVERYTHING counts!  It is not enough to have a Form I-9 on file for all employees.  It must be 100% complete and accurate or you will pay significant fines.  The more employees you have, the higher your risk.

It is a Costly Misconception that ICE is Only Looking for Illegal Workers

The above referenced Subway in North Carolina paid fines averaging over $2000 per employee.  If your company has 100 employees, you could be facing fines of a quarter of a million dollars or more!  Are you willing and/or able to take that chance?

As a proactive, prudent employer you should address your Form I-9 processes today.  Focus on Best Practices such as:

• Train hiring managers to properly complete the Form I-9
• Develop a Company Compliance Plan concerning I-9 procedures
• Conduct an independent 3^rd party audit to assess your risk BEFORE ICE visits

Aggressive worksite enforcement by ICE is here to stay and there is no excuse for ignoring your responsibility to the Form I-9 any longer.  Taking affordable proactive steps now can save you time, money, and your corporate image in the future.

Employers Bear the Burden of Hiring a Legal Workforce

Chipotle and other restaurants are in the crosshairs of Immigration and Customs Enforcement (ICE).  To date, Chipotle has been audited in Minnesota and as reported by the Wall Street Journal, will also have restaurants in Virginia and Washington,D.C., undergo a Form I-9 document inspection by ICE auditors.

The Huffington Post invites readers to comment on the article posted.  After reviewing readers’ comments, it is clear the general public does not understand the employer’s responsibility to the Form I-9 and the employer’s struggle to balance the anti-discrimination provisions of the law with the need to hire only authorized workers.

It seems the public believes when an employer, as in the case of Chipotle, is investigated by ICE and is found to have employees with “suspect documents”, the employer has purposefully and knowingly hired illegal workers because they are available, cheap labor. Unfortunately, the employer is considered “guilty” in the court of public opinion because of the appearance of impropriety.

At this point in the investigation and with the information that has been released, it is impossible to conclude what role Chipotle played in hiring employee’s who presented “suspect documents”.

The employer’s burden is “simple” at first glance. The law requires every employer to complete the Form I-9, Employment Eligibility Verification on the first day the employee starts to work.  The I-9 requires the employee to attest, under penalty of felony perjury, they are authorized to work in the U.S.  The employer then must examine certain documents provided by the employee to verify the new hire’s identity and work eligibility.  Sounds simple right?

Unfortunately, the Form I-9 process was developed in 1986 and has changed very little since its inception.  The ability to produce fraudulent or counterfeit documents with today’s sophisticated technology has created a terrible “Catch 22″ for employers.  The law does not require an employer to be a document expert and the employer cannot be expected to be able to identify “quality” counterfeit documents when hiring individuals who present fake documents.

The law also protects employees from unlawful discrimination by limiting the employer’s ability to ask for additional documentation in most circumstances. New tools such as E-Verify are available but they too have issues and limitations.

The bottom line is the employer may have done all of the right things under the law and still end up hiring illegal workers. Hiring authorized workers is an extremely complex, complicated matter.  It is unfortunate that the general public only sees one aspect of the process and is all too quick to rush to judgment based on media reports and their perception of the problem.

Chipotle’s Form I-9 Compliance Nightmare

Last week, amidst rumors of a Forms I-9 audit by the U.S. Immigration and Customs Enforcement (ICE), news sources are reporting that at least 50 employees were fired at several Minnesota-area Chipotle restaurants.

The following statement was released from Chipotle headquarters:

“Chipotle is fully cooperating with Immigration and Customs Enforcement (ICE) officials in connection with a document request they have made.”

ICE declined to give a statement regarding a possible I-9 audit of the chain.

While details of the Chipotle firings have been scarce, ALL business owners and managers need to pay attention to the hot button issue of Form I-9 compliance. Over the past 2 years, we’ve seen many high-profile retail outlets, as well as small independent businesses, slapped with large fines for Form I-9 compliance violations.

Given the political climate and the ramping up of ICE audit activity, we can expect this to be a familiar pattern into the next year.  The Obama Administration is cracking down on businesses looking to “get around” immigration rules of employment eligibility verification.

Be proactive – make 2011 the year you take action to make sure your company implements a Form I-9 Compliance Plan.