Feds Cracking Down on False Documentation

Issuances of Notice of Inspections (NOI) and I-9 audits by the federal government show no signs of slowing in the foreseeable future.  While many businesses recognize the severity of employing improperly documented workers, even companies with the best intentions make errors which can cost them thousands of dollars in fines and sanctions.

From a recent Chron.com article*, the Grand America Hotel in Salt Lake City, Utah is just one recent example among hundreds that learned this lesson the hard way.  While the hotel assured government auditors they have been verifying their employees’ social security numbers since 2006, the audit revealed an undisclosed number of employees with falsified documents who had “presented facially valid documents when they arrived,” per hotel president Bruce Fery.  The hotel was required to terminate all employees who failed to produce valid documents authorizing work in the United States, as of September 1, 2011.  The monetary penalty against the hotel was not disclosed.

While employers may view examples such as Grand America Hotel as reason to request documentation above and beyond that required by the Form I-9, this too can have disastrous effects on employers.  In August 2011, the Department of Justice issued the highest civil penalty against a Missouri-based company, Farmland Foods, Inc., for discrimination in hiring during the I-9 process.  Specifically, Farmland was requiring applicants to provide specific documents or documentation beyond that required by federal law.  Farmland reached a settlement agreement of $290,400.  These errors are not unique, as evidenced by the thousands of companies which have been penalized by the government.  As such, employers should take advantage of all avenues by which they can mitigate the risk of sanctions.

Providing training to managers on how to correctly complete the Form I-9 and, more importantly, how to recognize falsified documents, is one such avenue and an increasingly popular service provided by Business Controls, Inc. (BCI). BCI trainers are experts in the field and provide only the most up to date information.  Given the frequency of government updates and changes, staying up to date with this information can be overwhelming for employers.  These interactive trainings can be conducted on-site or through an online webinar and customized to a company’s specific need.  Not only will managers leave well equipped to properly complete the Form I-9 and determine if a document is authentic, but employers will be in a more defensible position should an audit occur by having provided such third-party training.

*http://www.chron.com/news/article/Grand-America-firing-staff-without-documentation-2151646.php