Learn How 1 Document Can Save You Thousands in Fines!

Lisa Kennis-Miller is the Founder and President of HR Rescue Resources, LLC, a human resources consulting firm for small to medium sized companies. Follow her on Facebook.  For $50 OFF a 1 hour consultation or to join our mailing list, please visit www.HRRescueResources.com

                                                                                                            

  Shockingly, many small business owners dive right into their everyday duties without doing their homework on what is required in the back office. 

  What I mean is, most entrepreneurs don't know (and some don't care) that, there are employment laws that come with having employees (no matter how few). 

  Consider this your warning!  You never know who will show up on your doorstep wanting to audit your files and slap you with hellacious fines.  Small business owners are often the targets of surprise audits; and it is no wonder! 

  Many employers do not know what an I-9 Form is; let alone, that one is required by law for each employee hired since 1986.

I speak to business owners on a regular basis and only about 10% of them are knowledgeable about Form I-9 and less than 1% know about E-Verify (the electronic version of I-9).  So, allow me to give you a quick and thorough education - and save you THOUSAND$$ in potential fines for violations in the process...

   The Immigration Reform and Control Act (IRCA) of 1986 requires all employers to verify newly hired employees are eligible to work in the United States.  The employee must present documents verifying identity and employment authorization to the employer at the time of hire, in accordance with the List of Acceptable Documents on the last page of Form I-9. 

    The information has to be documented on the government provided, I-9 Form or in the E-Verify system.   The entire form has to be completed on the first day worked, but no later than the third day worked.  

   There are also record-retention requirements.  The I-9 has to be kept in a separate file (from the personnel file) and be retained after the employee leaves - for three years after the hire date or one year after the termination date; whichever is later.

Participation in E-Verify is voluntary for most businesses, but some companies are required by state law or federal regulation to use it.  

Failure to comply with provisions of Form I-9 can have severe financial, legal, and PR risks.  Most employers are not aware they have a problem until a government agency shows up for an audit.  Non-compliance, whether intentional or inadvertent, has severe consequences inflicted by the Department of Homeland Security (DHS).

Some Fines You Could Face:

• Failure to properly complete, retain, or make I-9 Forms available for inspection = $100 to $1100 per form
• Knowingly hiring or continuing to employ unauthorized workers = $250 to $11,000 per employee
• Employers engaging in a pattern or practice of unauthorized behavior = $3000 per employee and/or 6 months of imprisonment

Full instructions are included with the form in the link below. 

A newly revised form I-9 was rolled out on March 8, 2013. This new version is easier to read and supposedly more user friendly.  It is also 9 pages, whereas the older form was 3 pages.  The older version of the form is only valid until May 7, 2013.

Remember, a few minutes to comply with regulations can save your company unwarranted fines, legal fees, and unwanted press if you get the knock at your door. 

Lisa Kennis-Miller is the Founder and President of HR Rescue Resources, LLC, a human resources consulting firm for small to medium sized companies. Follow her on Facebook.  For $50 OFF a 1 hour consultation or to join our mailing list, please visit www.HRRescueResources.com