The Form I-9 and Upper Level Management
How Do You Know?- What if your hiring managers aren’t taking the Form I-9 seriously?
- What if the I-9 is just one more thing on their “to do” list?
- Worse yet, what if they are purposefully circumventing the I-9 process in order to hire illegal workers?
If you are like Howard Industries, a manufacturing company in Mississippi, you find out when Immigration and Customs Enforcement (ICE) investigates your business and you ultimately pay $2.5 million dollars in fines as a result of the actions of one human resources manager.
According to court records this one “rogue” HR manager routinely hired unauthorized workers who presented fake documents and completed the Form I-9 with the false information. The same HR manager was also accused of ignoring notices from the Social Security Administration that SS numbers submitted for some employees were invalid.
ICE claimed the HR manager regularly instructed employees to obtain fake IDs. He plead guilty and faces a maximum of 5 years imprisonment on the conspiracy charge and on each employee verification fraud count. He also faces a minimum of 2 years of imprisonment for the aggravated identity theft charge and a possible fine up to $250,000.
As a result of the actions of this one “rogue” employee, Howard Industries was charged with knowingly and willfully conspiring to encourage and induce undocumented workers to reside in the U.S. and knowingly conspiring to conceal, harbor and shield from detection such workers. The company agreed to plead guilty to the one-count felony of “Conspiracy to commit offense or to defraud United States” which called for a term of not less than one and not more than 5 years of probation and a fine of up to $500,000. The fine was substantially enhanced to $2.5 million due to the nature of the crime, the number of workers involved and the size of the company.
What’s the Message Here?
Failure to comply with Form I-9 requirements can lead to huge fines, criminal indictments, and even prison sentences! The impact on your company’s image due to negative press as well as the enormous legal cost of defending yourself must also be considered.
To protect your business I urge you to order a full 3rd party audit of your I-9 records by a qualified expert. Sure you can audit your own I-9 forms, but an in-house audit is a case of “the fox watching the hen house” and offers little if any protection against I-9 abuse.
You should also develop a comprehensive Form I-9 policy and procedure plan to address such issues as document fraud. Order training for all your hiring managers so they fully understand the entire I-9 process and the risk of non-compliance.
ICE investigations continue to increase by the day. Now is the time to take a good look at your Form I-9 compliance program and get the help you need to protect your business from financial ruin.
W. Garnett & Associates
Human Capital Management
1-303-658-9342
The Serious Nature of Form I-9 Compliance
A Subway franchisee in North Carolina with 11 employees is probably wishing he had proper I-9 procedures in place before ICE visited him and cost him a lengthy legal battle and over $27,000 in fines. Macy’s department stores in Florida are licking their wounds after answering allegations of document abuse and paying stiff penalties concerning the Form I-9. Chipotle is reeling after its Minneapolis restaurants were audited by ICE and is now facing more scrutiny in Virginia and DC. As a result of the audit they have fired hundreds of employees and are facing a public relations nightmare.
How Will Your Company Fair When ICE Comes Knocking?
Immigration and Customs Enforcement (ICE) is on a mission and your business is in their crosshairs. This week, ICE issued 1000 Notices of Inspection to companies just like yours requesting Form I-9 documentation for all current employees plus the I-9 records of all employees terminated within the last 3 years.
Statistically, over 80% of those employers will pay civil money penalties for errors and omissions on the I-9. An ICE document inspection is a full audit of your company’s I-9 documents and EVERYTHING counts! It is not enough to have a Form I-9 on file for all employees. It must be 100% complete and accurate or you will pay significant fines. The more employees you have, the higher your risk.
It is a Costly Misconception that ICE is Only Looking for Illegal Workers
The above referenced Subway in North Carolina paid fines averaging over $2000 per employee. If your company has 100 employees, you could be facing fines of a quarter of a million dollars or more! Are you willing and/or able to take that chance?
As a proactive, prudent employer you should address your Form I-9 processes today. Focus on Best Practices such as:
- Train hiring managers to properly complete the Form I-9
- Develop a Company Compliance Plan concerning I-9 procedures
- Conduct an independent 3rd party audit to assess your risk BEFORE ICE visits
How Unemployed Job Applicants are Being Weeded Out
Bob Rose, a supervisory trial attorney for the federal Equal Employment Opportunity Commission, told HuffPost he frequently comes across cases of companies using codewords in employer profiles that indicate to a staffing firm the particular race, gender or age they want in a candidate.
W. Garnett & Associates
Human Capital Management
1-303-658-9342
Workplace Retaliation After Reporting Unfair Wages
When employers fail to pay their workers fairly, workers have a legal right to report the unfair practices. Sadly, sometimes bringing attention to an employer’s illegal practices causes the employer to retaliate by punishing or firing the employee. Therefore, many wage and overtime violations go unreported and employees are cheated out of the money they have rightfully earned and are owed.
W. Garnett & Associates
Human Capital Management
1-303-658-9342
Exempt vs. Nonexempt: Most Confusing Wage/ Hour Issue
Determining whether employees are exempt or nonexempt is the most confusing wage and hour issue, according to a recent BLR poll. While this area of employment law is complex, it’s important for employers to make sure they are classifying workers correctly, especially given the rise in wage and hour claims.
W. Garnett & Associates
Human Capital Management
1-303-658-9342
