1. www.williamsmullen.com 1 WEBINAR May 4, 2009 12 pm. EDT. The “Nuts and Bolts” of Electronic I-9s Brian Taylor, LawLogix (Guardian Systems) btaylor@lawlogix.combtaylor@lawlogix.com 602.295.6211 Eliot Norman, Team Leader Worksite Enforcement and Corporate Immigration Compliance Team Williams Mullen 804-783-6482 enorman@williamsmullen.com For updates:http://tinyurl.com/immupdates www.williamsmullen.com/immigration

2. www.williamsmullen.com 2 Today’s Agenda Moving to Electronic I-9 Forms & Signatures  Learn how the electronic system can work and see an actual demonstration online of an electronic I-9 system  Evaluate the pros and cons of the automated 1-9 approach  Learn how to stop filling in the forms by hand and eliminate mistakes, when moving from Section 1 to Section 2 and completing Section 2  Find out how going electronic on the I-9s gets your company ready for E-Verify (now postponed until June 30, 2009)  Discuss what the government requires if you want to scan your existing paper I-9 forms and shred the paper  Reduce Risks of Civil Penalties and Fines

3. www.williamsmullen.com 33 Corporate Immigration Compliance Risks

4. www.williamsmullen.com 4 Civil Penalties Against Employers for Immigration Violations Compliance Risks: What’s at Stake  Substantive Violations: Range from $375 to $3200 for First Offense:  Paperwork Violations: Range from $110 to $1100 for each I-9 Form  Substantive fines: assessed per unauthorized employee  Risk Factors: 50 to 1000 hires per year; 500 to 15,000 I-9 records  Section 1 of the I-9 is then used to register on E-Verify  E-Verify fines for continuing to employ worker whose paperwork does not match DHS and SSAdministration records: $500 to $1000: $500 for failing to timely notify employee of non-conformance based upon information initially filled in on Section 1 of the I-9  As Federal Contractors: Penalties include debarment  Costs of responding to Audit, Administrative Subpoena  VALUE OF DESK AUDIT OF SAMPLE OF 25 FORMS: determine scope of problems in advance of government inspections, audits

5. www.williamsmullen.com 5 President Obama on Worksite Enforcement  Typical Press Conference on April 29 th  “What has Surprised, Troubled, Enchanted, and Humbled you?  Then got asked the Immigration question.  His answer in part:  “We can't continue with a broken immigration system. It's not good for anybody. It's not good for American workers. [We need to be] “taking seriously the violation of companies. That’s again something we can start doing administratively.”

6. www.williamsmullen.com 6 New Assistant Secretary at DHS  From Senate Confirmation Hearings on April 23rd: John Morton, New Director of ICE and former federal prosecutor:  Q. “What is your view of the worksite enforcement operations conducted by ICE?” A. “ WE NEED TO PLACE RENEWED FOCUS ON EMPLOYERS TO ENSURE THAT THEY ARE PLAYING BY THE RULES…THIS FOCUS SHOLD INCLUDE MORE ROUTINE USE OF CIVIL SANCTIONS…AND WE SHOULD CONTINUE TO DEVELOP PROGRAMS SUCH AS E-VERIFY TO ENCOURAGE COMPLIANCE.”  Mentioned good old days of $25 million annually in civil fines. Time to bring em back.

7. www.williamsmullen.com 7 LAST MONTH’S MINI-WEBINAR: The Nuts and Bolts of Filling in the NEW I-9 Form (effective April 3, 2009) Link to audio and slides for your HR Managers or others who Missed It. http://www.williamsmullen.com/filling- in-the-new-i-9-03-23-2009/ http://www.williamsmullen.com/filling- in-the-new-i-9-03-23-2009/

8. www.williamsmullen.com 8 The New I-9 Form and List of Acceptable Documents

9. www.williamsmullen.com 9 NEW LIST OF ACCEPTABLE DOCUMENTS EMPHASIS: “ALL DOCUMENTS MUST BE UNEXPIRED” and Be more careful in Accepting List A Documents that show Identity and Work Eligibility

10. www.williamsmullen.com 10 NEW I-9 FORM Effective April 3, 2009 Section 1 : Employee fills in but Employer Pays Fine if its not Correct or Complete: Data Used For E-Verify Translator/Preparer Certificate Section 2 : HR: Fills in Info From Originals of List A OR List B and C Documents HR Certification: “UNDER PENALTY OF PERJURY” Section 3 : HR Re-Verifies Work Authorization, again under “penalty of perjury”

11. www.williamsmullen.com 11 Focus of New I-9: Section 1

12. www.williamsmullen.com 12 New I-9 Form Conclusion 1.Sample, Scorecard, Train, Certify, Self-Audit: and then go back 6 months later and do it again. 2.When Box 4 (temporary employment eligibility) is checked in the new Section 1, “Stop, Look, and Listen” 3.Get the List of Available Documents out as early as possible in the application process: New and old U.S. Citizens in particular are going to have problems with the new I-9 4.Go to electronic I-9s: internal check against filling in Section 1 incompletely and proceeding to Section 2; and making sure Section 2 squares with info on Section 1 5.Scan existing I-9s and documents presented and shred the paper ones 6.Purge your I-9 data using the 3yr/1yr rule

13. www.williamsmullen.com 13 All of Which Led to Today’s Webinar Desired Features: I-9 Electronic System  Easy on-web access by new hires when offer is accepted  Electronic signatures  Must do more than just substitute an electronic form for a paper one  Must have controls so that HR cannot fill in Section 2 until Section 1 properly completed by employee  HR cannot sign off on Section 2 if data incorrect  Wish list: HR can review electronically I-9 forms for trends, problems in real time  Some sort of “monitoring” feature.  Need for Date Tracking Systems; Controls; Reports  Scanning of existing records should meet federal standards, integrate into new I-9 System?  Costs v. Benefits?

14. www.williamsmullen.com 14 Introduction to LawLogix

15. www.williamsmullen.com 15 “Best Practices” and “Safe Harbors”

16. www.williamsmullen.com 16 14 E-Verify States in Red

17. www.williamsmullen.com 17 Questions and Upcoming Events? Eliot Norman, Immigration and Worksite Enforcement Team 804-783-6482 enorman@williamsmullen.com For updates: http://tinyurl.com/immupdates http://tinyurl.com/immupdates www.williamsmullen.com/immigration