DHS Tightens E-Verify Reporting And Expands Substantive I-9 Violations For Employers

corporate lawyer attorney US legal bankruptcy contract case

The Department of Homeland Security is intensifying its immigration enforcement tools, placing greater compliance obligations on employers across the United States.

DHS has expanded the E-Verify Status Change Report to give employers more detailed information about workers whose temporary employment authorizations have been revoked.

The report now covers revoked authorizations for applicants for asylum, adjustment of status to permanent residence, and temporary protected status, known as TPS.

It also covers revoked temporary employment authorization for those whose TPS or parole has been terminated, broadening the scope of employer oversight responsibilities considerably.

DHS is issuing an updated version of the report roughly every two weeks, meaning E-Verify employers must check it regularly and complete any required I-9 reverifications promptly.

Employers who fail to act on the information contained in these reports face a significantly higher risk of knowingly employing individuals who lack valid work authorization.

Separately, Immigration and Customs Enforcement has expanded the categories of Form I-9 deficiencies that can trigger immediate fines without giving employers an opportunity to correct.

Historically, I-9 errors were classified as either technical or procedural, allowing employers ten business days to fix mistakes after being notified by ICE before fines were applied.

However, in 2026 ICE updated its guidance to reclassify a broader range of deficiencies as substantive violations, which carry immediate financial penalties with no correction window.

Newly reclassified substantive violations include using the Spanish version of Form I-9 outside Puerto Rico, missing dates of birth, and omitted alien registration or USCIS numbers in the employee section.

Additional reclassified violations in the employer section include missing document titles, issuing authority details, document numbers, expiration dates, job titles, hire dates, and signature dates.

ICE has also issued fresh guidance on violations it had not previously formally categorised, including failures related to electronic I-9 completion, retention, document security, and audit trail requirements.

Employers who fail to verify a replacement document within ninety days of an employee presenting a valid receipt will now also face substantive violation status.

Similarly, failure to check the alternative procedure box when using a DHS-authorised remote verification process, or doing so without being an active E-Verify employer, constitutes a new substantive violation.

For 2026, ICE may fine employers between $288 and $2,861 per Form I-9 for substantive violations, while knowingly employing unauthorised individuals can result in fines of $716 to $5,724 per person.

Repeat offenders face higher fine levels, and the penalties are widely expected to increase further in 2027 as federal enforcement pressure continues to mount.

Experts recommend that employers prepare now for a potential ICE Notice of I-9 Inspection, ensure HR staff are properly trained, and conduct regular internal I-9 audits to identify and correct errors before a government inspection occurs.