I-9 and Personnel File Audits

The I-9 Form is a document, issued by U.S. Citizenship and Immigration Services (USCIS), which verifies employees’ identity and authorization to work in the U.S. Employers must complete the I-9 form for all new hires: section 1 of the form must be completed by employees on their first day; employers must complete their section within three business days of new hires’ start and re-verify certain identification as it expires.

Employers need to then retain the form, separate from other personnel documents, for three years after an employee’s date of hire or for one year after separation, whichever is later.

The forms must be available for inspection by authorized U.S. Government officials from the Department of Homeland Security, Department of Labor, or Department of Justice.

While voluntary I-9 audits are not required by law, they are highly recommended. This is because there are many opportunities to be out of compliance (signing in the wrong box, completing late, not completing all sections relating to ID, etc.), and the fines from an ICE (U.S. Immigration and Customs Enforcement) audit range from $110 to $1,100 per violation and can result in criminal charges and up to $16,000 in fines per each undocumented worker.

Penalties for non-compliance can include civil fines, criminal penalties, debarment from government contracts, and back pay to individuals.

Fines are the most common, ranging from $110 to $1,100 per violation and up to $16,000 per each undocumented worker.

Both employees and employers complete sections of the form (employees complete Section 1 of the form; employers complete Sections 2 and 3); however, responsibility for completing and retaining the form falls on the employer.

Employers can provide the I-9 form to candidates as soon as the job offer has been accepted and must have Section 1 completed on the first day of employment and Section 3 completed no later than 3 business days from the first day of employment.

Employers need to retain the form along with copies of supporting documentation, if made, for three years after an employee’s date of hire or for one year after separation, whichever is later.

Personnel files should include employee’s W-4, direct deposit, and emergency contact forms as well as their resume, employment application, signed the offer letter, and job description. Their benefits forms should be stored in a separate binder, as should their I-9s.

No, it’s not; you may store them electronically, but if you do, you need to consider certain criteria. Do you have a secure document management system in place? Do you regularly back it up? Have you assigned the appropriate security roles to users? If you are collecting the original information in paper form, are you securely scanning, and then shredding, paperwork into the database? And finally, can you easily access the information when needed?