The topic of immigration violations in the U.S. business community has become a widespread issue that companies, employers and employees are well-advised to become familiar with.  The recent media coverage regarding illegal immigrants makes it apparent that no company is immune to raids by the USCIS (United States Citizenship and Immigration Services, formerly known as the INS). From small stores in rural Minnesota to large corporations on the New York Stock Exchange, employing illegal immigrants is a gamble. A recent and highly-publicized raid of a large, national retailer resulted in the government arresting over 300 illegal immigrants at 61 different stores, spread out over 21 states. The results of this action are still unknown.  However, they could be catastrophic for the company and its stockholders. 

Immigration violations can result in substantial civil and even criminal penalties if the employer knowingly hires illegal immigrants or has not complied with I-9 regulations. These consequences are in addition to the inevitable bad press that can severely damage a company’s reputation. Moreover, the aftermath of such issues can result in loss of employee morale, resentment from ethnic groups, distrust, tension and suspicion among employees, and negative community or business relationships.

How Can We Protect Our Company?
First, learn from other companies’ mistakes. Work on setting up practical policies and procedures to help reduce future problems and long-term risks. Second, follow immigration laws and familiarize yourself with the penalties.  Re-examine your compliance program carefully and train the necessary employees in your business to handle immigration compliance.  Additionally: 

• Conduct a self-audit – It is not necessary or even advisable to review every I-9 within your company database, though conducting a random sample is recommended and will give you a sense of whether or not you have problems within your system.

• Make your expectations clear in writing – State very clearly in each contract that you expect your vendors to be in full compliance with all employment laws.   

• Stay on top of your I-9 obligation – Employers are required to check I-9 forms filled out by every new employee, and keep the forms for a specific amount of time. These forms need to be filled out properly and completely at the time of hire, and re-verified if needed.   Implement a “tickler” system and devote the necessary resources to track I-9s that will need to be updated for re-verification of work authorization.  These procedures should include a method of notifying employees in advance of their expiration date to make sure they are aware of their obligation to provide re-verification.

• Training – The most effective action that you can implement is to train all supervisors, human resources, management and recruiting teams on your expectations regarding compliance with immigration laws.

• Contractors are not employees – Some businesses insist on reviewing records for contract employees (I-9 forms).  This is actually the wrong thing to do.  By treating contractors as employees, you are running the risk of becoming responsible for the actions of your contractors. If you have reviewed records for contract employees, a court could easily conclude that you should have known of any potential violations.  
  
  Explore the option of working with staffing companies with excellent reputations for compliance with immigration and other employment-related laws.  Ask for verification of their I-9 procedures.  Do not be tempted to work with a company who cannot prove its expertise in I-9 compliance. The potential lower billing rates will pale next to the potential risks and liabilities. 

• Respect your employee’s rights – You may be tempted to re-verify every I-9 form within your grasp. However, if you demand a new I-9 when one was already lawfully completed, or if you demand documentation beyond the requirement of the law, you could find yourself in violation of laws prohibiting unfair immigration-related employment practices and document abuse. Or, if you subject non-citizen employees to special scrutiny or run special checks on the documentation of non-citizens who are current legal employees, you run the risk of civil rights violations.  

In light of recent USCIS activity, it has become clear that authorities are setting their sights on companies that are employing illegal workers and increasing their profit margins by violating immigration laws.   By remembering these guidelines and having comprehensive policies in place, you can reduce future problems for your business and reduce your chances of becoming another media headline.