Have you heard?

You’ve likely seen news coverage this year of large U.S. Immigration and Customs Enforcement (ICE) raids in Texas and Mississippi. ICE agents are conducting an increasing number of investigations and I-9 audits across the country.

The increase from FY 20-17 to FY 2018 is staggering!

According to a U.S. Immigration and Customs Enforcement (ICE) news release, FY 2018 saw a huge increase in criminal investigations, business audits, and arrests by ICE Homeland Security Investigations (HSI) special agents and auditors.

Here are their numbers:

• Worksite investigations
  • FY 2017 – 1,691
  • FY 2018 – 6,848
  • 305% increase
• I-9 audits
  • FY 2017 – 1,360
  • FY 2018 – 5,981
  • 340% increase
• Criminal work-site related arrests
  • FY 2017 – 139
  • FY 2018 – 779
  • 460% increase
• Administrative work-site related arrests
  • FY 2017 – 172
  • FY 2018 – 1,525
  • 787% increase

• Worksite investigations
  • FY 2017 – 1,691
  • FY 2018 – 6,848
  • 305% increase
• I-9 audits
  • FY 2017 – 1,360
  • FY 2018 – 5,981
  • 340% increase
• Criminal work-site related arrests
  • FY 2017 – 139
  • FY 2018 – 779
  • 460% increase
• Administrative work-site related arrests
  • FY 2017 – 172
  • FY 2018 – 1,525
  • 787% increase

Companies are paying the price

Fines are also going up. Even small paperwork errors like a missing birthdate, a date in an incorrect format, a missing signature, or a box left unchecked can incur fines. If they are not corrected within 10 days, technical failures like these become substantive violations and subject to penalties. The lowest penalty is $230 for the first offense of this type and goes up to $2,292 for the 3rd (and any additional) offense. It’s easy to see how these can add up to a significant amount.
Penalties for errors in documentation as well as for knowingly hiring an illegal immigrant are adjusted annually for inflation. The Federal Register listed current penalties assessed after April 5, 2019 for violations that occurred after November 2, 2015.
Here are the current penalties:

• Civil penalties for I-9 substantive paperwork violations (e.g., using unacceptable documents for employment verification)
  • Minimum fine per individual – $230
  • Maximum fine per individual – $2,292
• Civil Penalties for knowingly hiring/continuing to employ unauthorized aliens
  • First offense per person – $573-$4,586
  • Second offense per person – $4,586 – $11,463
  • Third and subsequent offenses per person – $6,878 – $22,927

(For more information on how an audit works and about penalties and how they are calculated, see the Form I-9 Inspection Overview.)

How to stay compliant and avoid penalties

The best way to prepare for an I-9 audit is to be proactive. Ensure your files are in order before an ICE agent shows up at your door and serves a Notification of Investigation (NOI). Here are steps you can take now:

1. Make sure you are using the correct version of Form I-9.
2. Require all new employees to fill out Form I-9 Section 1 themselves (or a preparer/translator) on their first day of work. Check to make sure all boxes are correctly completed. (Here’s a list of common mistakes made by employees, translators/preparers, and employers and how to avoid them.)
3. Make sure the translator or preparer who assists the employee in filling out Section 1 (if needed), signs and enters the correct date in the appropriate boxes.
4. Ensure the employer or an authorized representative of the employer reviews documents presented by employees for proof of identification and employment authorization and completes Section 2. Make sure the documents are one the list of acceptable documents.
5. Retain copies of all I-9 documentation provided.
6. Maintain an easily accessible, separate file location for your employee I-9s. Do not place them in employees’ personnel files. In an audit, you will turn over the I-9 files to ICE agents. They should not have access to sensitive information contained in personnel files.
7. Keep track of dates when employees’ authorization to work documents expire. You must follow up and reverify their eligibility.
8. Keep I-9s and copies of documentation for required time period. You must keep an employee’s I-9 for three years after hire date or for one year after termination, whichever comes later. While all states don’t require you to keep copies of documentation, it is a good idea to do so.

How Sage HRMS HR Actions I-9 can help

Sage HRMS HR Actions I-9 is an add-on for Sage HRMS HR Actions. This electronic Form I-9 can help reduce errors and makes storage and retrieval for an audit quick and easy. See how it addresses the suggestions above:

1. HR Actions I-9 will always provide the current Form I-9.
2. Employees complete and electronically sign Section 1.
3. If they use a preparer and/or translator to assist, they will also electronically sign and date the form. HR Actions I-9 provides step-by-step instructions with its hover help text providing information for each field. After the form is completed, our product helps ensure compliance by automatically checking the document, flagging the majority of improper entries. For example, simple mistakes like forgetting to check a required box or entering the data of completion in an incorrect format will be flagged so you can correct them before saving the document.
4.  The HR Actions I-9 form includes a picklist that contains the acceptable documents for each document category (A, B, or C).
5. Our form also allows you to attach scanned copies of the documents presented, keeping the form and documents together for easy access.
6. HR Actions I-9s are stored electronically in a SQL database and can be easily retrieved and produced for I-9 audit purposes.
7. Sage HRMS has a standard report that allows you to print out a list of E-verify due dates. It is not automatic but is done manually. An additional product, Sage HRMS Alerts & Workflow, can be configured to automatically send notifications of expiring documents.
8. Since HR Actions I-9 electronically stores all your I-9s without using office space, there is no need to delete any documents, even when you are no longer required by law to retain them. This eliminates the possibility of inadvertently removing required documentation.

Find out more

To learn more about our electronic Sage HRMS HR Actions Form I-9 and paperless onboarding with Sage HRMS HR Actions, visit our website, sign up to attend one of our Web-Based Paperless HR with Sage HRMS HR Actions webinars, contact us at 888.421.2004, or use the CONTACT SALES button on our website.