What is Employment Eligibility Verification and How Does It Function?

Employment Eligibility Verification is a fundamental process that helps employers confirm that their hires are permitted to work in the United States. This verification is a regulatory requirement and a key component in maintaining compliant and lawful hiring practices. The process primarily involves the completion of Form I-9, which is essential for verifying an employee’s identity and employment eligibility. Employment Eligibility Verification protects employers from legal liabilities and unauthorized hiring while safeguarding employees’ rights. Understanding and following Employment Eligibility Verification requirements is essential for maintaining lawful, equitable workplaces amid scrutiny.

1. What is Employment Eligibility Verification?

Employment Eligibility Verification is an important process that makes sure people hired in the United States can legally work. It helps prevent unauthorized employment, keeps the labor market fair, and protects employers from legal issues.

Requirements of the Immigration Reform and Control Act

The Immigration Reform and Control Act requires employers to complete Form I-9 for every new employee. Here are the key points:

• Completion Timeline: Employers must fill out the form within three business days of the employee starting work.
• Retention: Employers need to keep I-9 forms and show them to officials if asked.

Form I-9 Sections

Form I-9 has two main sections:

• Section 1: Employees fill this section out.
• Section 2: Employers check the documents.

Employees must show original documents from Lists A, B, or C to prove their identity and work authorization. This process ensures that employers follow federal rules and confirms that employees are eligible to work.

2. Legal Framework for Employment Eligibility Verification in the USA

In the United States, the Immigration Reform and Control Act (IRCA) of 1986 governs employment eligibility verification. This law requires employers to confirm the identity and work authorization of all new hires to avoid hiring unauthorized workers. Other regulations, like the Illegal Immigration Reform and Immigrant Responsibility Act (IIRIRA) and directives from the Department of Homeland Security (DHS), also influence the verification process.

Central to this process is Form I-9, officially known as “Employment Eligibility Verification.” This form, mandated by the IRCA, must be completed by both the employee and employer for every new hire. In Section 1 of Form I-9, the employee gives personal information and confirms their work eligibility. The employer then checks the employee’s documents and fills out Section 2 to verify their identity and work authorization. This form must be retained for three years from the hire date or one year after employment ends, whichever is longer.

Employers can use E-Verify, an electronic system from the Department of Homeland Security, alongside Form I-9. E-Verify compares Form I-9 information with federal databases to confirm an employee’s work eligibility in the U.S. Although not mandatory for all employers, federal contractors and some states often require E-Verify. E-Verify provides an extra verification layer, reducing the risk of hiring unauthorized workers and ensuring compliance. However, it is important to remember that E-Verify complements, rather than replaces, the Form I-9 process.

3. The Employment Eligibility Verification Process

The Employment Eligibility Verification process consists of several steps to ensure compliance with federal regulations. Here’s a clear breakdown of the process:

Employee Completes Section 1

• Timing: The employee must complete Section 1 of Form I-9 on or before their first day of work.
• Information Required: The employee provides personal details such as their name, address, date of birth, and Social Security number.
• Employment Eligibility: The employee must attest to their eligibility by selecting the appropriate category and signing the form.

Employer Completes Section 2

• Timing: The employer must complete Section 2 of Form I-9 within three business days of the employee’s start date.
• Document Review: The employer reviews the documents presented by the employee to verify their identity and work authorization.
• Information Recorded: The employer records details about the employee’s documents, including the title, issuing authority, document number, and expiration date.
• Confirmation: The employer signs and dates this section to confirm the authenticity of the documents.

Re-verification in Section 3

• Purpose: Section 3 is used to re-verify if the employee’s work authorization expires or if there are changes in Sections 1 or 2.

Document Requirements

Employees must present original documents from the specified lists in Form I-9 to establish their identity and work eligibility. The documents are categorized as follows:

• List A: Documents that prove both identity and work authorization
• List B: Documents that prove identity only
• List C: Documents that prove work authorization only

Common Mistakes to Avoid

Employers and employees should be aware of common mistakes, such as:

• Incorrectly completing Form I-9
• Inadequate checks of the documents
• Missing deadlines for form completion
• Failing to update or re-verify documents when necessary

By following these steps and avoiding mistakes, employers can ensure compliance with federal regulations and maintain a lawful workforce.

4. The Role of E-Verify

E-Verify is an electronic system that allows employers to check if new hires are eligible to work in the United States. It compares the information on Form I-9 with federal database data to confirm an employee’s work eligibility. After completing Form I-9, the employer inputs the employee’s information into the E-Verify system. E-Verify then checks this information against records maintained by the SSA and DHS to verify the employee’s eligibility.

The benefits of using E-Verify are significant for both employers and employees. E-Verify offers employers extra verification, ensuring compliance with federal employment laws and reducing unauthorized hiring risks. It can also offer a level of protection against potential legal and financial penalties associated with non-compliance. E-Verify can speed up employment and ensure employees’ work authorization status is accurately verified.

E-Verify electronically verifies employment eligibility, complementing Form I-9 to ensure legal hiring practices. Form I-9 is mandatory for new hires, while E-Verify is a voluntary program for validation. Employers complete Form I-9 as usual and then use E-Verify to cross-check the information against federal databases. This integration helps streamline the verification process and enhances the accuracy of employment eligibility checks. E-Verify complements Form I-9 by adding an extra layer of confirmation and compliance to verification.

5. Consequences of Non-Compliance

Failure to comply with Employment Eligibility Verification requirements can have serious legal and financial repercussions for employers. IRCA requires Form I-9 for all employees; non-compliance leads to serious penalties for employers.

Employers who do not adhere to employment eligibility verification requirements face various legal risks. These include fines, penalties, and potential legal actions. The U.S. Immigration and Customs Enforcement (ICE) enforces compliance with I-9 regulations and conducts audits of employer records. If an audit reveals violations, employers can be subject to civil penalties for each incorrect or incomplete Form I-9. We urge employers and HR professionals to follow best practices and stay updated on legal requirements.

Penalties for Non-Compliance with Form I-9 Requirements

The penalties for failing to comply with Form I-9 requirements can vary based on the nature and severity of the violations. Here’s a breakdown of potential fines:

• Civil Penalties: Fines can range from several hundred to several thousand dollars per violation.
• Minor Paperwork Errors: Employers may face fines of up to $2,500 for minor mistakes related to Form I-9.
• Serious Violations: Knowingly employing unauthorized workers can lead to fines as high as $25,000 per violation.
• E-Verify Non-Compliance: Employers who fail to comply with E-Verify requirements, when mandated, may also incur additional fines and sanctions.

Understanding these penalties is essential for employers to maintain compliance and avoid costly repercussions.

Get Help – Employment Eligibility Verification

Employment Eligibility Verification is a crucial process for ensuring that individuals hired in the USA are legally authorized to work. At Gehi & Associates, we recognize the importance of this process in maintaining a lawful and compliant workforce. Proper verification protects employees’ rights, confirms employment status, and helps employers avoid legal penalties. The impact of diligent verification extends to fostering a fair and regulated labor market, benefiting both employers and employees alike.

We urge employers and HR professionals to follow best practices and stay updated on legal requirements. Regularly reviewing and updating your verification processes can help mitigate risks and ensure compliance with federal regulations.

We invite you to share your experiences or ask any questions about Employment Eligibility Verification. For more insights and updates on employment law and compliance, be sure to subscribe to our blog at Gehi & Associates. Stay informed and ensure your hiring practices are both legal and effective.