I-9 Compliance Overview
Every U.S. employers must comply with the Form I-9 requirement to verify the identity and employment eligibility of individuals whom they wish to hire to work in the United States. This mandate is required by the Immigration Reform and Control Act of 1986 (IRCA) and applies to every employee hired after November 6, 1986, regardless of citizenship or immigration status.
Form I-9 Completion Timelines
To properly complete Form I-9, employers must adhere to the following requirements:
Section 1
Must be completed by the employee no later than the first day of employment.
Section 2
Must be completed by the employer within three business days of the employee’s start date.
Document Examination
Employers are required to physically or remotely examine original documents from the Lists of Acceptable Documents to confirm identity and work authorization.
Remote Examination
Certain employers who are enrolled in E-Verify may be eligible to remotely examine the employee’s I-9 documentation.
Retention and Inspection Requirements
Employers must retain each I-9 for either three years after the date of hire or one year after employment ends, whichever is later. Forms must be made available for inspection upon request by agencies such as U.S. Department of Homeland Security, U.S. Immigration and Customs Enforcement, the Department of Labor, or the Department of Justice.
Risks of Noncompliance
Noncompliance can result in significant civil fines, criminal penalties, and reputational risk. Common violations include:
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Failure to timely complete forms
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Improper document verification
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Inadequate recordkeeping
To reduce the risks of noncompliance, employers should implement internal compliance protocols, conduct periodic self-audits, train HR personnel, and consider enrollment in E-Verify. Maintaining consistent and nondiscriminatory practices is also essential to avoid violations of anti-discrimination provisions enforced by the Department of Justice.
ICE Audits and Enforcement
ICE has the authority to investigate employers for compliance with I-9 requirements. After receiving an I-9 Notice of Inspection, an employer must produce I-9 Forms and supporting documents for their employees within 3 business days. Following the audit, ICE may identify technical or substantive violations and can impose civil fines or other penalties for noncompliance.
Civil Penalties for Violations
Currently, the civil penalties for I-9 noncompliance are structured as follows:
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Substantive Violations: Penalties range from $288 to $2,861 per violation.
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Knowingly Employing Undocumented Workers: The first-time penalty is between $716–$5,724, with penalties increasing for subsequent offenses.
Proactive Compliance Strategies
With increased I-9 enforcement by ICE, employers could potentially face significant penalties for noncompliance. Our attorneys work with employers and HR teams to implement consistent procedures, train staff, and conduct regular audits in order to reduce the risks of noncompliance. A proactive approach to I-9 compliance is essential to avoiding costly fines and operational disruption.
