Legal Mandate
The Immigration Reform and Control Act of 1986 (IRCA) requires all employers to attest to the employment eligibility of their employees and prohibits them from knowingly hiring potential unauthorized workers.
When completing the I-9 form, employers must verify the employee’s identity and eligibility to accept legal employment in the United States.
In the process of complying with the I-9 requirements, employers must see to it that they do not engage in discriminatory practices that may expose them to the risk of penalties and other sanctions.
The Immigration and Customs Enforcement (ICE) of the Department of Homeland Security is particularly charged with enforcement of the I-9 mandate. The Office of Special Counsel (OSC) of the Department of Justice protects employees against employers’ discriminatory practices with respect to citizenship and national origin.
The Importance of a Good I-9 Compliance Plan
I-9 compliance applies to all workers, whether they are US citizens or not. All employees of US-based companies must complete the I-9 form in a timely manner. E-VERIFY IS NOT A SUBSTITUTE FOR I-9 COMPLIANCE.
The government has become aggressive in promoting a “culture of compliance.” Lately ICE has issued an unprecedented number of notices to inspect I-9s and related records. Employers are tasked with ensuring that their workforce consists of workers who are authorized to work in the US , that they do not engage in discriminatory activities, and that they comply with I-9 requirements.
Mistakes in completing the I-9 form can result in hefty fines and government sanctions. Failure to complete I-9s, incomplete or untimely completion of I-9s, and failure to comply with I-9 retention rules are just a few examples of how employers could wind up having to pay hefty fines. A pattern of employing unauthorized workers or having constructive knowledge of the existence of unauthorized workers could result in criminal investigation and sanctions.
Having a good I-9 compliance plan saves time, money and resources. It guides frontline human resources personnel to engage in compliant practices and empowers them to efficiently take measures to avoid non-compliance. Engaging in compliant practices helps avoid negative publicity and a negative impact on employee morale and productivity. Doing the right thing prevents negative consequences, costly civil penalties, and/or prosecution for criminal action.
Periodic pre-ICE audits with legal experts helps employers avoid costly mistakes. Lawyers help employers address mistakes properly and as soon as they are discovered. They also assist the employer set a compliance plan and policies as well as review the suitability of available solutions. Ultimately, the objective is to save employers from substantial legal costs after an ICE audit.
The MadridCrost I-9 Legal Audit
Services Offered
Basic Services
- Comprehensive advice on I-9 issues
- Review of new I-9s
- Review of previously completed I-9s
- report on outcome of review
- report on types of errors made
- analysis of percentage of violation
- remedial action recommendation
- I-9 retention monitoring
Comprehensive Services
- Basic Services (see above), plus-
- Thorough review of company’s
- existing I-9 practices
- employee profile
- locations and type of business
- FAR requirements for federal contractors
- use of independent contractors
- previous I-9 violations
- receipt of social security no-match letter
- encounters with federal agencies
- Preparation of I-9 compliance plan and policies
- Semi-annual training of HR personnel and designated compliance officer
- Annual review with and training of key personnel
ICE Audit Response
The Engagement Process
- The Madrid Crost I-9 legal audit process starts with a thorough evaluation of the employer’s compliance policies, practices and requirements.
- Madrid Crost and the client will execute an engagement agreement setting out a detailed scope of services to be rendered by the law firm.
- The engagement is valid for one year and renewable annually thereafter, unless a different timeframe is agreed upon.
- To maximize the benefits of an I-9 legal audit, Madrid Crost offers electronic I-9 solutions through a certified provider.
At Madrid Crost, we treat sensitive information with utmost confidentiality.
Madrid Crost lawyers aim to promote efficiency and work for the best interest of employers with I-9 legal questions.
The I-9 Form and List of Acceptable Documents
Click here to access the most current I-9 form.
Click here to see list of acceptable documents.
List A – Documents that establish both identity and employment authorization
List B – Documents that establish identity; it must be accompanied with acceptable evidence of eligibility contained in List C.
List C – Documents that establish employment authorization
I-9 Solutions and Government Programs
aper-Based I-9s
Electronic I-9s
- What are the minimum legal requirements for electronic I-9s?
- Electronic I-9 systems are generally preferred to make it easier for employers to manage the entire process.
- Reverification that is generally automated decreases liability for failing to update an employee’s I-9.
- This also reduces the risk of identity theft as there are generally more security systems to protect employees’ privacy.
Government Programs
E-Verify
This program is a partnership program between the Department of Homeland Security (DHS) and the Social Security Administration (SSA) to verify the employment eligibility status of a newly hired employee. It requires the employer to provide information to the government (there is no certainty how the information provided will be used by the government)
It is not a substitute for the duty to complete the I-9 form.
It is generally optional except for states that make e-verify mandatory and employers who hire STEM (science, technology, engineering and math) students who are on optional practical training (OPT)
This program is mandatory for government contractors, pursuant to the Federal Acquisitions Regulations (FAR)
Caveat: Complying with e-verify is not a safe harbor (e.g., it does not insulate an employer from penalties for continuing to hire an individual who is no longer authorized to work) but it indicates that the employer is exercising good faith in hiring authorized employees.
IMAGE (Mutual Agreement between Government and Employers)
This is a government program that provides education and training on proper hiring procedures and fraudulent document detection. It requires enrollment in e-Verify and adherence to anti-discrimination procedures.
SSNVS
Under Construction
ICE I-9 Audits
Triggers
What triggers an ICE I-9 audit?
- Whistleblower
- Disgruntled employee or competitor who suspects violation of the law
- Information from other government agencies
- It could be random too
Typical ICE I-9 Audit
What are the steps of an I-9 audit?
- Notice of inspection (may be accompanied by an administrative subpoena)
- Notice of suspect documents (opportunity to correct)
- Notice of intent to fine (30 days within which contest/negotiate)
- mitigating/aggravating factors
- Final decision
Potential Outcome
- Monetary Penalties
- Criminal Sanctions
- Debarment
- Other Outcomes
Aggravating/Mitigating Factors
- size of the business
- good faith compliance efforts of the employer, e.g., training of personnel to ensure compliance
- seriousness of the violation
- history of compliance or non-compliance (violation)
- existence of undocumented employees in the workplace
- efforts to correct technical and procedural violations within the period (10 days) allowed by the government
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