The Basic Pilot Program,  as a voluntary, automated verification program, offers a mechanism with  potential to enhance the employment verification process by reducing  document fraud. However, existing weaknesses in the program, such as the inability of the  program to detect identity fraud, delays in entering data into DHS  databases, and some employer noncompliance with pilot program  requirements, could become more significant and additional resources  could be needed if employer participation in the program greatly increased  or was made mandatory. Current Employment Verification Process Based on Employers’ Review of Documents

In 1986, IRCA established the employment verification process based on  employers’ review of documents presented by employees to prove identity  and work eligibility. Employers must then  certify that they have reviewed the documents presented by their  employees to establish identity and work eligibility and that the  documents appear genuine and relate to the individual presenting them. Document and Identity Fraud Have Undermined the Form I-9 Process

Since the passage of IRCA in 1986, document fraud (use of counterfeit  documents) and identity fraud (fraudulent use of valid documents or  information belonging to others) have made it difficult for employers who  want to comply with IRCA to ensure that they employ only authorized  workers through the current verification and reverification processes. In 1998, INS proposed a further reduction in  the number of acceptable work eligibility documents to 14 but did not  finalize the proposed rule. Additionally, some of the employers, employer associations, and  immigration experts we interviewed for this review told us that the large  number of documents acceptable for proving work eligibility and the fact  that the Form I-9 has not been updated have impeded employer efforts to  verify employment eligibility. Current Program May Not Complete Timely Verifications if Use Greatly Increased

According to USCIS officials, due to the growth in other USCIS  verification programs, current USCIS staff may not be able to complete  timely verifications if the number of employers using the Basic Pilot  Program were to significantly increase. Since fiscal  year 1999, the number of notices of intent to fine issued to employers for  violations of IRCA and the number of administrative worksite arrests have  declined, which, according to ICE, are due to various factors, such as the  widespread use of counterfeit documents that make it difficult for ICE  agents to prove employer violations. Worksite Enforcement Has Been a Relatively Low Priority for ICE, but ICE Has Proposed Additional Resources for the Program

Worksite enforcement is one of various immigration enforcement  programs formerly managed by INS and now managed by ICE, and  competes for resources with these other program areas, such as alien  smuggling and fraud. Various  studies have shown that the availability and use of fraudulent documents  have made it difficult for ICE agents to prove that employers knowingly  hire unauthorized workers. After  September 11, 2001, INS and ICE focused investigative resources on  national security cases and, in particular, focused worksite enforcement  efforts on critical infrastructure protection, which is consistent with DHS’s  primary mission to combat terrorism. To assist Congress and ICE in determining the resources needed for the  worksite enforcement program and to help ensure the efficient and  effective use of program resources, we recommend that the Secretary of  Homeland Security direct the Assistant Secretary for ICE to take the  following two actions:    establish additional output goals and measures for the worksite  enforcement program to clearly indicate the target level of ICE worksite  enforcement activity and the resources needed to implement the program,  and   set a specific time frame for completing the assessment and development  of outcome goals and measures for the worksite enforcement program to  provide a target level of performance for worksite enforcement efforts and  measures to assess the extent to which program results have met program  goals. We analyzed former  INS plans for addressing Form I-9 challenges, including its plans to modify  the list of acceptable work eligibility documents. We also examined U.S.  Immigration and Customs Enforcement’s (ICE) interim guidelines on the  electronic Forms I-9 to determine what guidance, if any, they provide to  employers using the electronic form.
Why GAO Did This Study

The opportunity for employment is one of the most important magnets attracting illegal immigrants to the United States. Immigration experts state that strategies to deter illegal immigration require both a reliable employment eligibility verification process and a worksite enforcement capacity to ensure that employers comply with immigration-related employment laws. This report examines (1) the current employment verification (Form I-9) process and challenges, if any, facing verification; and (2) the priorities and resources of U.S. Immigration and Customs Enforcement's (ICE) worksite enforcement program and any challenges in implementing the program.

What GAO Found

The current employment verification process is based on employers' review of documents presented by new employees to prove their identity and work eligibility. On the Form I-9, employers certify that they have reviewed employees' documents and that the documents appear genuine and relate to the individual presenting them. However, various studies have shown that document fraud (use of counterfeit documents) and identity fraud (fraudulent use of valid documents or information belonging to others) have made it difficult for employers who want to comply with the employment verification process to hire only authorized workers and easier for unscrupulous employers to knowingly hire unauthorized workers. The large number and variety of documents acceptable for proving work eligibility have also hindered verification efforts. In 1997, the former Immigration and Naturalization Service (INS), now part of the Department of Homeland Security (DHS), issued an interim rule on a reduction in the number of acceptable work eligibility documents and, in 1998, proposed a further reduction, but this proposal has not yet been finalized. DHS is currently reviewing the list of acceptable work eligibility documents, but has not established a target time frame for completing this review. The Basic Pilot Program, a voluntary program through which participating employers electronically verify employees' work eligibility, has potential to help enhance the verification process and substantially reduce document fraud. Yet, current weaknesses in the program, such as the inability of the program to detect identity fraud, DHS delays in entering data into its databases, and some employer noncompliance with pilot program requirements could, if not addressed, have a significant impact on the program's success. Furthermore, U.S. Citizenship and Immigration Services officials stated that the current Basic Pilot Program may not be able to complete timely verifications if the number of employers using the program significantly increased. Worksite enforcement is one of various immigration enforcement programs that compete for resources and, under the former INS and now under ICE, worksite enforcement has been a relatively low priority. Consistent with DHS's mission to combat terrorism, after September 11, 2001, INS and then ICE focused worksite enforcement resources mainly on removing unauthorized workers from critical infrastructure sites to help address those sites' vulnerabilities. Since fiscal year 1999, the numbers of employer notices of intent to fine and administrative worksite arrests have generally declined, according to ICE, due to various factors such as document fraud, which makes it difficult to prove employer violations. ICE has not yet developed outcome goals and measures for its worksite enforcement program, which, given limited resources and competing priorities for those resources, may hinder ICE's efforts to determine resources needed for the program.