In the United States, every employer must ensure their workforce is legally authorized to work. Failure to do so can result in hefty fines, legal battles, and reputational damage. This is where I-9 requirements come into play. The Form I-9, Employment Eligibility Verification, is your first line of defense against hiring unauthorized workers.
In this guide, we'll delve into some of the intricacies of I-9 requirements, covering some of the latest updates for 2024, common mistakes to avoid, and best practices to help streamline the process.
Form I-9 is a mandatory federal document used to verify the identity and employment authorization of every new hire in the U.S., regardless of their citizenship status. It involves two key components:
Section 1: Employee Information and Attestation: New hires complete this section, confirming their identity and eligibility to work under penalty of perjury. They must do so no later than their first day of employment.
Section 2: Employer Review and Verification: Within three business days of hire, employers must physically examine the employee's identity and employment authorization documents (e.g., passport, driver's license, Social Security card) and record the information on the form. Employers must also sign and date the form to attest that they have examined the documents and believe they are legitimate.
The I-9 form and its associated regulations are not static. In 2024, several key changes have been implemented to help improve the process:
Streamlined Form: The new I-9 form (Nov. 8, 2023, edition is shorter, easier to understand, and more user-friendly).
Remote Verification: Employers enrolled in E-Verify can now utilize a remote verification option under specific conditions, such as when employees work exclusively in a remote setting or are hired during certain declared emergencies. This can allow for greater flexibility and efficiency in the hiring process.
Updated List of Acceptable Documents: The list of acceptable documents has been revised to reflect current identification standards. Employers should always refer to the latest version to help meet regulatory requirements.
Despite the seemingly straightforward nature of the I-9 process, many employers stumble into these common mistakes:
Incomplete or Incorrect Forms: Rushing through the process or using outdated forms can lead to errors, omissions, or incorrect information. Always double-check the information and ensure all fields are completed accurately.
Missed Deadlines: Failing to complete Section 2 within three business days of work for pay can trigger penalties. Employers must adhere to strict timelines to help avoid issues.
Discriminatory Practices: Requesting specific documents based on an employee's national origin or citizenship status is illegal and can lead to discrimination claims. Treat all employees equally and consistently during the verification process.
Improper Record Retention: Not maintaining I-9 forms for the required duration (three years after the date of hire or one year after employment ends, whichever is later) can result in fines during an audit. Maintain organized and accessible records, whether physically or electronically.
Beyond the legal mandate, meeting your I-9 compliance requirements is essential for several reasons - it helps you::
Protect Your Business: Non-compliance can lead to significant financial penalties, ranging from hundreds to thousands of dollars per violation.
Uphold Ethical Standards: Maintaining a legal workforce is not only a legal obligation but also an ethical one.Meeting you I-9 requirements helps you ensure a fairer and more equitable hiring process for individuals.
Maintain a more Secure Workforce: By verifying the employment eligibility of your workforce, you are helping contribute to national security and better ensuring that unauthorized individuals are not employed in sensitive positions.
Comprehensive Training: Regularly educate your HR team and hiring managers on the latest I-9 procedures, document requirements, and common mistakes. This can help reduce or prevent errors and help ensure more consistency across your organization.
Regular Self-Audits: Conduct internal reviews of your I-9 records to identify and correct errors before they become problematic. This proactive approach can help save you time and money in the long run.
Leverage Technology: Consider using electronic I-9 systems or E-Verify to help streamline the process, reduce paperwork, and enhance accuracy. These tools can help improve many aspects of your I-9 process, which can help you save time and resources.
Stay Informed: Subscribe to updates from the U.S. Citizenship and Immigration Services (USCIS) to remain aware of changes to the regulations. This will help you adapt your processes quicker and maintain your regulatory requirements.
The information provided is intended as general guidance and is not intended to convey any tax, benefits, or legal advice. For information pertaining to your company and its specific facts and needs, please consult your own tax advisor or legal counsel. Equifax Workforce Solutions provides services that can help employers reduce their compliance risks. Details on our provision of these services and related support will be contained in your services agreement. Links to sources may be to third party sites. We have no control over and assume no responsibility for the content, privacy policies or practices of any third party sites or services.