The advice comes from an employer who tells his story about what happened when federal agents walked in and said, “Let’s see your I-9 forms.” The federal I-9 form is the basic document that verifies employees have legal standing to work in the United States.

First, realize your chances of getting auditing for I-9s have greatly increased over the past few years, since the Obama administration announced that it would shift immigration-enforcement tactics from raiding employers to checking I-9s. The number of audits this year is projected to increase about 20% over last year and probably more than double the number in 2009. And the figure could go higher in 2012.

Among those audited this year was Russ Tappan’s dairying operation in Arizona. Tappan was at a business meeting when he learned of the audit via a message from his office manager: “Two Immigration and Customer Enforcement agents are here.” Here’s what happened next, as Tappan explained to agweb.com.

• The ICE agents’ initial stay lasted only five minutes, during which they explained they’d return in 72 hours expecting to see the company’s I-9s and supporting documentation from the most recent three years. So staffers has three days to pull together the info, including workers no longer with the company. But Tappan’s operation had an ace in the hole. For three years, the company had been enrolled in E-Verify, the federal program employers can use to verify employment eligibility of new hires. The company had also done a self-audit at the same time it enrolled in E-Verify, to uncover and fix flaws in hiring documentation.
• After the initial visit by the ICE agents, the company’s HR and admin staff pulled all I-9s and supporting docs from the prior three years, and made copies that would be handed over when the agents returned.
• And return they did. They scooped up the documents and told the company they’d do a thorough review. About a month later, ICE sent correspondence noting that several employees appeared to be working illegally, and would have to be let go unless the company could come up with documentation showing they had legal standing to work in the United States. (And in fact, further digging showed that at least one employee was “legal” and had been red-flagged because of a paperwork mistake.) The workers who didn’t have proper I-9 backup documentation had to be let go within 10 days.

Advice if you get audited

Based on his experience, Tappan has advice for any employer who gets audited:

• Be cooperative and approachable. Tappan sees this as a two-way street. Employers who are cooperative and cordial receive cooperative and cordial treatment from the ICE agents. There was no atmosphere that the agents were out to “bag” the employer.
• Use E-Verify and do an internal audit, using an immigration attorney if you feel the need. Tappan’s observation: “Immigration is not going to get easier,” so you may as well start now to ensure you’re following the rules to the best of your ability.
• Make sure appropriate staffers know how to complete an I-9. Do your people know what the latest I-9 looks like? Do they also know enough to compare and match signatures, height, weight and age on the forms of identification that employees must submit?

Earlier this month, U.S. Immigration and Customs Enforcement (ICE) announced I-9 audits of more than 650 employers. The agency’s shifting more of its resources in the fight against illegal immigration to going after employers who fail to hire in compliance with the law and keep proper records.

ICE described the audits as a “first step,” meaning more rounds of inspections are probably coming. Here are the answers to some common questions about ICE’s investigations:

1. Who’s affected?

Anyone can be audited. ICE said the companies in the current investigation were chosen based largely on anonymous tips. Experts say certain industries, such as construction, manufacturing, hotels and restaurants, are being watched more closely than others.

2. What happens during the audit?

ICE starts the process by sending the employer a notice of inspection (NOI) with subpoenas for certain documents. In addition to I-9s, ICE is asking for some employers’ EINs, payroll records and correspondence with the Social Security Administration regarding no-match letters.

Companies have three days to send the documents, but can ask for a time extension in some cases. Either way, response to the NOI must be quick.

Once a notice arrives, attorneys recommend conducting a self-audit to correct simple mistakes before submission.

If ICE isn’t satisfied, it may conduct an interview with the employer — though the company has the right to refer the agency to an attorney. Once everything’s reviewed, the company could receive a “Notice of Intent to Fine,” as well as the names of undocumented workers who must be terminated and a list of “suspect documents,” requiring the employer to complete new I-9s.

3. How much can it cost?

In most cases, fines for bad documentation range from $110 to $1,100 per form. ICE can also pursue criminal charges if it thinks the company willfully hired illegal workers.

4. What can HR do now?

The best option for employers, of course, is to get documentation in proper order before an audit occurs. Experts recommend conducting an internal audit once a year.

Both internal and ICE audits will go more smoothly if the company keeps only the forms it needs. (The law requires companies to keep I-9s for three years after the employee is hired or one year after termination, whichever is later.) The first step of an audit should to compile a complete list of which forms should still be on file.