U.S. Immigration and Customs Enforcement (ICE) has issued updated guidance outlining how Form I‑9 inspections are conducted and the potential consequences of noncompliance under the Immigration and Nationality Act (INA). The updated Fact Sheet provides greater detail regarding inspection procedures, employer obligations, and enforcement outcomes associated with Form I‑9 violations. 

With increased audit activity anticipated this year, employers should keep in mind a few of these key takeaways: 

1. I‑9 inspections begin with a Notice of Inspection (NOI). ICE initiates administrative inspections by serving a Notice of Inspection, and employers generally have at least three business days to produce requested Forms I‑9 and supporting documentation. 
2. Limited time to correct certain errors. When ICE identifies technical or procedural Form I‑9 failures, employers are provided at least 10 business days to correct those errors. Uncorrected issues are treated as substantive violations and may result in monetary penalties. 
3. Serious enforcement consequences may apply. ICE may issue warnings or Notices of Intent to Fine for substantive violations, uncorrected errors, or violations involving knowingly hiring or continuing to employ unauthorized workers. In certain cases, penalties may include civil fines, criminal prosecution, or debarment from federal contracts. 

What Does it Mean 

Compared to prior ICE inspection guidance, the March 2026 Fact Sheet provides significantly more detail and directness regarding how inspections are conducted and how violations are assessed: 

• More detailed treatment of inspection outcomes. Earlier ICE guidance described inspection results at a high level. The updated Fact Sheet now more specifically identifies each type of notice ICE may issue (e.g., Notices of Suspect Documents, Notices of Discrepancies, Technical or Procedural Failure Notices, Warning Notices, and Notices of Intent to Fine) and explains their consequences. 

• Expanded differentiation between technical and substantive violations. Previous guidance acknowledged a correction period but offered limited examples. The updated Fact Sheet now provides extensive, section‑by‑section examples of technical and substantive violations across Sections 1 and 2 and Supplements A and B and clarifies when uncorrected technical issues convert into substantive violations. 

• Explicit incorporation of DHS‑authorized alternative document examination procedures. Unlike earlier ICE materials, the updated Fact Sheet expressly addresses DHS‑authorized alternative document examination procedures, including documentation requirements and conditions for their use, signaling ICE’s expectation that employers understand and properly document these newer verification options. 

• Transparency in penalty calculation. Prior ICE guidance referenced penalty ranges generally. The updated Fact Sheet explains how ICE calculates fines, including the use of violation percentages, annual inflation‑adjusted penalty ranges, and statutory aggravating and mitigating factors considered during enforcement. 

What Employers Should Do Now 

• Conduct an internal Form I‑9 compliance review. Ensure Forms I‑9 are properly completed, retained, and readily available for inspection for both current and former employees.
• Prepare for a potential inspection. Identify responsible personnel, organize required documentation, and develop a response plan for handling a Notice of Inspection efficiently and consistently.