Check that a completed Form I-9 is on file for each person on payroll required to complete it, according to U.S. Citizenship and Immigration Services.
Key takeaways
- The six audit checks divide into two distinct categories: verification file maintenance and workforce data reporting.
- Do not treat a missing I-9 form as a reporting error, or a late EEO-1 copy as a verification failure.
- If a form is missing for a person who is required to complete one, flag it for immediate correction.
Recruiting records audit: the checks to make
Employers must have a completed Form I-9, Employment Eligibility Verification, on file for each person on their payroll (or otherwise receiving remuneration) who is required to complete the form, according to U.S. Citizenship and Immigration Services. This requirement applies to individuals receiving remuneration, not just those on the active payroll register. The form serves as the primary verification record for employment eligibility. See Immigration employment rules: 6 topics for hiring. This initial check establishes the baseline for the verification file duties that follow.
Check 1: Completed verification forms. This is a file integrity duty, not a data submission task.
Check 2: Verification storage arrangements. Forms I-9 may be stored on paper, microfilm, microfiche or electronically, according to U.S. Citizenship and Immigration Services. Your audit must confirm the storage method matches your documented policy and that the format remains accessible.
Check 3: Former employee verification files. The audit must flag these files for a retention-date determination rather than discarding them at departure. The core duty remains having the completed form on file for those who were required to complete it, according to U.S. Citizenship and Immigration Services.
Before the audit, identify the relevant EEO reporting population
Determine which reporting obligation applies to the employer before locating files, because the thresholds and data elements differ by entity type. The EEO-1 Component 1 report is a mandatory annual data collection that requires all private sector employers with 100 or more employees, and federal contractors with 50 or more employees meeting certain criteria, to submit workforce demographic data, including data by job category and sex and race or ethnicity, to the EEOC, according to U.S. Equal Employment Opportunity Commission. If the organization is a local referral union, the Local Union Report (EEO-3), EEOC Form 274, also referred to as the EEO-3 Report, is a mandatory biennial data collection that requires local unions, specifically local referral unions, with 100 or more members to submit demographic data including membership, applicant, and referral information by race/ethnicity and sex, according to U.S. Equal Employment Opportunity Commission. For state and local government entities, the State and Local Government Information Report (EEO-4), EEOC Form 164, also referred to as the EEO-4 Report, is a mandatory biennial data collection that requires all State and local governments with 100 or more employees to submit demographic workforce data, including data by race/ethnicity, sex, job category, and salary band, according to U.S. Equal Employment Opportunity Commission.
Note the distinction between employee counts and membership counts when identifying the covered population. The private employer and government reports rely on employee numbers, while the local union report relies on member numbers.
During the audit, locate completed I-9 forms and supporting copies
According to U.S. Citizenship and Immigration Services, employers must keep completed Forms I-9 for a certain amount of time after their employees stop working for them.
Confirm that the storage format matches your established retention policy. If you use electronic storage, ensure the system preserves the form structure and allows for inspection.
Check that any document copies are properly associated with the primary form. According to U.S. Citizenship and Immigration Services, if copies of documents presented by your employees were made, they should be kept with the corresponding Form I-9. Locate these supporting copies during the audit to confirm they are not separated from the verification record.
Review the safeguards protecting the personal information collected during the verification process. According to U.S. Citizenship and Immigration Services, completing Form I-9, Employment Eligibility Verification, requires collecting personal information about employees. Employers should keep this in mind when determining how to retain and store completed Form I-9 and any corresponding documentation so that personal information does not get into the wrong hands.
Ensure the files are available for inspection. The storage method you choose must allow you to produce the records when required. If you store forms electronically, verify that the access controls do not prevent authorized personnel from retrieving the files during an audit. If you store them on paper, confirm that the physical location is secure and that the forms are organized for quick retrieval.
Identify any gaps in the verification files for current and former employees. If a completed Form I-9 is missing, note the discrepancy in your audit log. If supporting document copies are missing, determine whether they were ever created or if they were separated from the form. If the storage method does not protect personal information adequately, document the risk and plan a remediation step.
Focus on the specific retention requirements for former employees. According to U.S. Citizenship and Immigration Services, once an employee no longer works for the employer, the employer must determine how much longer to keep the employee’s Form I-9. Do not assume a fixed destruction date applies to all former employees without this determination.
During the audit, check Colorado job descriptions and wage histories
When your workforce includes employees in Colorado, the audit must extend beyond verification forms to include specific compensation and role documentation. Under the SB19-085 Equal Pay For Equal Work Act, employers are required to maintain records of job descriptions and wage rate history for each employee while employed and for 2 years after the employment ends, according to Colorado General Assembly. This requirement applies to the specific jurisdiction of Colorado and does not establish a nationwide standard for all employer files.
To execute this check, locate the current job description for each active employee and verify that it reflects their actual duties and classification. See Job description parts in 6 standard sections. For former employees, confirm that the file retains the job description and wage rate history for the full duration of their employment. The record must remain accessible for the two-year period following the end of their employment. If a separation occurred more than two years ago, the specific obligation to maintain these records under this act may no longer apply, but you should verify your own retention policies against other applicable laws before disposing of any documents.
Wage rate history is a distinct component of this requirement. It is not sufficient to keep only the final pay record or the initial offer letter. The audit should confirm that the file contains a traceable record of wage changes over time. Document the reasons for pay decisions separately from the wage history. For staffing agencies, this check is critical when managing workers across multiple states, as the Colorado requirement may apply to a subset of your workforce. See Salary history questions: 3 state rules to check.
After the audit, record applicable Massachusetts submission dates
Identify whether the employer qualifies as a "covered employer" under Massachusetts General Law, Part I, Title XXI, Chapter 149, Section 105E. According to The General Court of the Commonwealth of Massachusetts, this definition applies to an employer with not less than 100 employees in the commonwealth at any time during the prior calendar year and subject to the federal filing requirements of a wage data report. If the employer does not meet both conditions, these specific state copy-submission duties do not apply.
For covered employers, record the following submission obligations to the state secretary, each due not later than February 1:
- Annual EEO-1 copies: A covered employer subject to EEO-1 data report filing requirements shall submit a copy of its EEO-1 data report for the prior year pursuant to section 32 of chapter 9, according to The General Court of the Commonwealth of Massachusetts.
- Odd-year EEO-3 or EEO-5 copies: In each odd-numbered year, a covered employer subject to federal EEO-3 data report or EEO-5 data report filing requirements shall submit a copy of its EEO-3 data report or EEO-5 data report, as applicable, covering the most recent filing period pursuant to section 32 of chapter 9, according to The General Court of the Commonwealth of Massachusetts.
- Even-year EEO-4 copies: In each even-numbered year, a covered employer subject to federal EEO-4 data report filing requirements shall submit a copy of its EEO-4 data report covering the most recent filing period pursuant to section 32 of chapter 9, according to The General Court of the Commonwealth of Massachusetts.
Note that the obligation to submit a specific report copy is contingent on the employer being subject to the corresponding federal filing requirement for that report type.
Employer records reference table
The table below summarizes the six record and report items covered in this audit, drawn from the cited sources. Each row names the publisher, the specific record or report, the key requirement or threshold stated in that source, and the source page.
| Publisher | Record or Report | Key Requirement or Threshold | Source Page |
|---|---|---|---|
| U.S. Citizenship and Immigration Services | Completed employee verification forms | Employers must have a completed Form I-9 on file for each person on their payroll who is required to complete the form, according to U.S. Citizenship and Immigration Services. | Retention and Storage |
| U.S. Citizenship and Immigration Services | Permitted verification storage formats | Forms I-9 may be stored on paper, microfilm, microfiche or electronically, according to U.S. Citizenship and Immigration Services. | Retention and Storage |
| Colorado General Assembly | Colorado job and wage histories | Employers are required to maintain records of job descriptions and wage rate history for each employee while employed and for 2 years after the employment ends, according to Colorado General Assembly. | SB19-085 Equal Pay For Equal Work Act |
| U.S. Equal Employment Opportunity Commission | Private employer reporting coverage | The EEO-1 Component 1 report is a mandatory annual data collection requiring all private sector employers with 100 or more employees, and federal contractors with 50 or more employees meeting certain criteria, to submit workforce demographic data, according to U.S. Equal Employment Opportunity Commission. | EEO Data Collections |
| U.S. Equal Employment Opportunity Commission | Local referral union reporting | The Local Union Report (EEO-3) is a mandatory biennial data collection requiring local referral unions with 100 or more members to submit demographic data, according to U.S. Equal Employment Opportunity Commission. | EEO Data Collections |
| U.S. Equal Employment Opportunity Commission | Government workforce reporting coverage | The State and Local Government Information Report (EEO-4) is a mandatory biennial data collection requiring all State and local governments with 100 or more employees to submit demographic workforce data, according to U.S. Equal Employment Opportunity Commission. | EEO Data Collections |
Illustrative example of six file checks
This illustrative review uses round figures only. Use 100 employees for a private employer and 50 for a federal contractor count. One former employee's Form I-9 stays while retention is decided. For 2 Colorado employees, keep the job description and wage rate history 2 years after employment ends. If the Massachusetts count reached 100, mark February 1 for the EEO-1 copy.
One file pull to do today
Pull one current file and one former-employee file today. Confirm each completed Form I-9, note the storage format, and write how much longer to keep the former employee's form.
FAQ: verification files and EEO report copies
What should a recruiting records audit check?
Check I-9 files, storage, retention, Colorado wage histories, and EEO copies. This check confirms that the employer maintains the necessary verification documentation for its workforce.
Does Massachusetts report-copy filing apply to an employer with fewer than 100 employees in the commonwealth?
Having fewer than 100 employees now does not end coverage, because a covered employer is defined as an employer with not less than 100 employees in the commonwealth at any time during the prior calendar year, according to The General Court of the Commonwealth of Massachusetts. The definition also requires the employer to be subject to the federal filing requirements of a wage data report.
Which EEO reports use employee counts and which use union membership?
Private-sector EEO-1 coverage uses 100 or more employees, federal contractors use 50 or more employees meeting certain criteria, State and local governments EEO-4 coverage uses 100 or more employees, and local referral union EEO-3 coverage uses 100 or more members, according to U.S. Equal Employment Opportunity Commission.
Can completed Form I-9 records be stored electronically?
Yes, Forms I-9 may be stored on paper, microfilm, microfiche or electronically, according to U.S. Citizenship and Immigration Services.
When are Massachusetts copies of EEO reports due?
Annually, not later than February 1, a covered employer subject to EEO-1 data report filing requirements shall submit to the state secretary a copy of its EEO-1 data report for the prior year, according to The General Court of the Commonwealth of Massachusetts.