Winter May Be Over But There's Lots Of Ice In The Forecast

Several weeks ago, ICE (Immigration and Customs Enforcement) publicly announced it had issued a whopping 180 Notices of Inspection to various businesses in 5 southern states. In the summer of 2009, ICE released information that it issued over 650 Notices of Inspection to businesses across the country.

Reaction varied. Some people said, "It's about time". Other businesses were of the mindset, "They won't visit us - we're not a target". Still others recognized it for what it is...the beginning of a rigorous strategy by ICE to hold employers accountable for following existing law that requires identity AND work eligibility verification for the people they hire. It all starts with the Form I-9.

So, how does ICE choose which employer it will visit and demand to inspect all I-9 Forms and payroll records? ICE has a pattern of investigating industries with a history of hiring immigrant workers such as agriculture, construction, landscaping, restaurants, and other hospitality businesses. But don't get complacent. It doesn't mean because your business is not in one of these categories that ICE won't visit you next.

ICE often acts on the basis of a tip from a "concerned citizen". I'm sure many of you have "concerned citizens" as employees, customers, or competitors. Some ICE raids are the result of a tip form a disgruntled employee, unhappy customer, or mean-spirited competitor.

What Can Happen to My Business?

By whatever method ICE is tipped off, the results are the same - a worksite inspection of I-9 Forms that will most likely end up costing you tens of thousands of dollars in fines and penalties. It will also cost your business many hours of lost productivity for HR employees and company executives dealing with the demands of the inspection, not to mention it is a public relations nightmare.

INA Section 274A(e)(5) provides for the following civil penalties :

*Fines range from $110 to $1,100 per deficient Form I-9 for employers who commit paperwork violations. Form I-9 violations can include failure to sign the form, failure to complete the form in a timely manner, or failure to list the appropriate identity and work eligibility documents.

*If you knowingly hire or continue to hire unauthorized workers, the fine ranges from $275 to $2,200 per employee for the first violation and up to $11,000 per employee thereafter.

*Civil penalties for accepting fraudulent documents may range from $250 to $2,000 per document for the first violation and up to $5,000 per document thereafter. Violations of employment verification procedures carry fines of $100 to $1,000 per offense.

Criminal penalties for a pattern of knowingly hiring or continuing to employee unauthorized employees include up to 6 months in jail and/or a fine of up to $3,000 per unauthorized employee. Employers who harbor unauthorized workers face up to 5 years imprisonment for knowingly hiring ten or more unauthorized employees in a twelve-month period with actual knowledge that they were brought into the United States illegally; up to 10 years imprisonment for helping an unauthorized employee enter the country illegally or harboring aliens for commercial advantage or financial gain.

Take Action to Protect You and Your Business

My advice is to take the time now to get your company's I-9 compliance processes in place. This is a very complex matter and too many employers are trying to navigate it without expert advice. If you don't do your own corporate tax return or write your employee's insurance policy without expert advice, why would you do your I-9 Forms without seeking expert advice? It's not worth the risk. Get the right advice and make a commitment to bring your organization into 100% compliance with employment eligibility verification requirements.