The federal Form I-9 is deceptively simple, yet crucial in every new hire process. The form is designed to help employers verify the identity and certify that each employee can legally work in the United States. Can you imagine being fined hundreds of dollars because an employee forgot to sign or date it? Multiply one mistake by hundreds or thousands of employees and the result is a huge burden for business owners who fail to realize the importance of properly completing the I-9.
The U.S Immigration and Customs Enforcement, referred to commonly as ICE has been hitting companies hard with I-9 audits recently, and there is no sign of them slowing down. According to a recent Associated Press article, audits of employer I-9 forms increased from 250 in 2007 to more than 3,000 in 2012, and this number will likely continue to grow. ICE handed out more than $13 million in fines in 2012 based on violations discovered during these audits.
The USCIS states that fines for improper completion and retention and not making I-9 documents available for inspection range from $100 to $1,100 for each I-9. Fines for purposely hiring or continuing to employ unauthorized employees range from $250 up to $11,000 per offense. Employers who show a continued pattern of hiring unauthorized workers are liable for criminal penalties of as much as $3,000 per employee and may be subject to a minimum prison penalty of 6 months.
All companies, regardless of size, state, or industry, are subject to an ICE I-9 audit. A large clothing retailer reached a settlement with ICE of more than $1 million dollars in fines regarding I-9 documentation violations discovered during a 2008 audit. A drywall company was fined $173,250 for 225 separate I-9 paperwork violations. Additionally, a worldwide staffing company has been fined $227,000 in civil fines for improperly completing the Form I-9.
As you can imagine, these fines have greatly impacted companies worldwide, and could have been prevented with proper training and knowledge. So what can a business do to properly protect itself?
The rules around I-9 forms can be very specific and sometimes confusing. As your trusted HR partner, BCN takes pride in ensuring our clients are in compliance, and trained properly in the I-9 paperwork procedures, avoiding the headache and stress of massive fees and penalties. If you have any questions or would like more information about Form I-9, contact your HR specialists at BCN Services.