HR Tip: Strengthen I-9 compliance to avoid costly penalties

In a recent blog, East Coast Risk Management, a member of the Institute of WorkComp Professionals, reminded employers to review their I-9 compliance as fines increased significantly June 28, 2024. The increases were dramatic:

• I-9 Paperwork Violations: $281 to $2,789 per Form I-9
• Knowingly Employing an Unauthorized Alien:
  • First Offense: $698 to $5,579 per violation
  • Second Offense: $5,579 to $13,946 per violation
  • Third or More Offense: $8,369 to $27,894 per violation
• E-Verify Employers - Failure to notify of final no confirmation of employee's employment eligibility: $973 to $1,942 per relevant individual employee

In addition, the Department of Justice (DOJ) has increased fines for discriminatory practices related to I-9 documentation and verification. Document abuse occurs when an employer requests specific documents or additional documentation beyond what is required. The updated penalties for document abuse and unfair immigration-related employment practices range from $230 to $23,048 per violation, depending on the offense and its recurrence.

How to strengthen compliance

• Ensure you are using the correct I-9 form. Recently U.S. Citizenship and Immigration Services updated the Form I-9, Employment Eligibility Verification to extend the expiration date to 05/31/2027. Employers must use Form I-9 with the edition date of 08/1/23, which may have an expiration date of either 07/31/2026 or 05/31/2027. Either form may be used until its respective expiration date. Employers are encouraged to update their electronic Forms I-9 systems to use the 05/31/2027 expiration date as soon as possible and must do so no later than July 31, 2026.
• Ensure all managers who process I-9 forms are trained properly. Do not rely solely on using electronic I-9 software. ICE and the DOJ have reminded employers, I-9 software does not provide a safe harbor. I-9 compliance should be an integral part of business operations, not merely a clerical task. Employers must train employees thoroughly before they handle any I-9 compliance duties.
• Conduct regular audits. Confirm that there is a compliant Form I-9 for each current employee hired on or after November 7, 1986, and for former employees within the retention period (the longer of one year after the date of termination or three years after the date of hire). Ensure that I-9s are completed within the federally mandated timelines.