1. IMMIGRATION REFORM 2013: Employer Issues and Solutions September 17, 2013

2. EMPLOYMENT VERIFICATION (FORM I-9) Compliance www.bgdlegal.com Immigration Reform and Control Act of 1986 (IRCA) requires:  All employers  Verify employment eligibility and identity  All employees hired after November 9, 1986  Complete and retain Form I-9  Refrain from discriminating

3. EMPLOYMENT VERIFICATION (FORM I-9) Compliance – Section 1: Employee Information and Attestation www.bgdlegal.com  Employee must complete  Employer must verify  Employee must attest to immigration status and sign and date  Completed no later than the first business day of employment for pay

4. EMPLOYMENT VERIFICATION (FORM I-9) Compliance – Section 2: Employer Review and Verification www.bgdlegal.com  Complete within 3 business days of first date of work for pay  Original, unexpired documents  Document must be on the List of Acceptable Documents  Record the information  Enter the first date of work for pay  Complete, sign and date

5. EMPLOYMENT VERIFICATION (FORM I-9) Compliance – Section 3: Reverification and Rehires www.bgdlegal.com  Employment authorization has expired  Rehire within three years  Update to biographic information  Examine the documentation  Record the document information  Sign and date  Choice of completing Section 3 or completing new Form I-9

6. EMPLOYMENT VERIFICATION (FORM I-9) Compliance – Section 3: Reverification and Rehires www.bgdlegal.com Do not reverify:  U.S. Passport or Passport Card  Permanent Resident Card  List B documents

7. EMPLOYMENT VERIFICATION (FORM I-9) Correcting a Form I-9 www.bgdlegal.com  Correct or prepare a new Form I-9  If you prepare a new Form I-9, retain the old form and attach a memo stating the reasons for your actions  Employers - Correct errors made in Section 2 or Section 3 of Form I-9  Errors in Section 1 can only be completed by an employee

8. EMPLOYMENT VERIFICATION (FORM I-9) Correcting a Form I-9 www.bgdlegal.com  The best way to correct the form is to  draw a line through the incorrect information  enter the correct information  initial and date your correction  Do NOT conceal changes  DO NOT BACKDATE the Form I-9

9. EMPLOYMENT VERIFICATION (FORM I-9) Storing a Form I-9 www.bgdlegal.com  Securely in a way that meets your business needs  Store Forms I-9 and document copies together, if applicable  Ensure that only authorized personnel have access to stored Forms I-9  BEWARE of electronic preparation and storage vendors

10. EMPLOYMENT VERIFICATION (FORM I-9) Retention a Form I-9 www.bgdlegal.com 3 years after the date of hire or 1 year after the date employment is terminated, whichever is later

11. EMPLOYMENT VERIFICATION (FORM I-9) I-9 Audit and Inspection Overview www.bgdlegal.com  Written Notice of Inspection - three days before the inspection  Notice of Inspection will include the who, what, where and when  Who – Whose Form I-9s? What time frame?  What – What other documents will be inspected?  When – When the inspection will occur?  Where – At employer’s site or send by mail/e-mail

12. EMPLOYMENT VERIFICATION (FORM I-9) I-9 Audit and Inspection Overview www.bgdlegal.com  Technical or procedural violation – 10 days to correct  Substantive or uncorrected technical violations may receive a monetary fine  Penalties may include civil fines, criminal penalties and debarment from government contracts

13. EMPLOYMENT VERIFICATION (FORM I-9) Practical Considerations for All Employers www.bgdlegal.com  Training  Periodic internal audits  Comprehensive, compliant and written I-9 policy  Relationships with contractors, authorized agents and independent contractors  E-Verify

14. IMPORTANT ISSUES THAT MAY EFFECT THE WAY EMPLOYERS DO BUSINESS www.bgdlegal.com  Automation of Form I-94  New classes of authorized workers  CIR  Increase in # of Form I-9 audits  Increase in amount of fines  Mandatory E-Verify  Changes to E-Verify  Governmental agencies cooperating with each other

15. AUTOMATION OF FORM I-94 www.bgdlegal.com  Paper Form I-94 no longer issued to foreigners entering the U.S.  Could create an issue or confusion as I-94 is could be a List A document on Form I-94  Must ask employee to print out I-94 number from CBP website

16. IMMIGRATION REFORM: WHAT IT COULD MEAN FOR YOU www.bgdlegal.com  S. 744 - Comprehensive package  Piece meal legislation includes the Agricultural Guestworker Act, the Legal Workforce Act, SKILLS Act as well as some border security legislation  Any immigration act that gets signed into law will affect ALL of you in one way or another

17. IMMIGRATION REFORM: WHAT IT COULD MEAN FOR YOU www.bgdlegal.com  E-Verify will likely become mandatory – What does this mean to you as an employer?  Previously unauthorized workers are now authorized – How to handle various situations that may come up? Liability?  New pool of unskilled, skilled and professional employees – What are the benefits of hiring foreign labor? What are the pitfalls?  New categories of employment authorization – How to complete the Form I-9? Changes to the Form I-9? Training?  Other issues?

18. E-VERIFY www.bgdlegal.com  No cost – Easy to use – Internet based  Verifies employment eligibility  Mandatory for all or most employers in Alabama, Arizona, Georgia, Louisiana, Mississippi, North Carolina, South Carolina, Tennessee, and Utah  If CIR passes, it is expected that E-Verify will become mandatory in all states

19. E-VERIFY www.bgdlegal.com  No pre-screening of employees  No later than three business days  Uses information from Form I-9  Requires SSN and identity document with photo  Employers must retain copies of Permanent Resident Cards (green cards) and Employment Authorization Documents

21. www.bgdlegal.com LISA M. GALVAN Attorney lgalvan@bgdlegal.com 3500 National City Tower 101 South Fifth Street Louisville, KY 40202 Twitter: @bgdlegal YouTube: Bingham Greenebaum Doll