Staffing

Hiring boomerangers: Here's what you need to know

Understanding Form I-9 and other hire notification requirements is critical to avoiding potential fines, especially since the government recently increased the maximum fines for violations.

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May 7, 2021 by Jason Fry

The March Bureau of Labor Statistics jobs report saw the largest number of jobs added since August 2020, with food services and drinking places showing the largest increase. These are promising signs of "return to normal" as restaurant owners start looking to staff up and potentially re-hire employees they had to lay off last year.

While "eating out" still looks a lot different than it did pre-pandemic, restaurants are adapting and trying new ways to help keep customers satisfied — such as to-go meals, expanded outdoor dining, special occasion dining experiences, at-home restaurant experiences and more — in addition to normal operations. These fresh opportunities mean restaurant owners are seeking the right talent to support their businesses; however, many cities are grappling with a sharp contraction in the labor market, and finding qualified labor can be a major challenge for business owners.

Given that the restaurant industry was one of the hardest hit by the pandemic, this kind of staffing shortage seems counterintuitive. In response, restaurateurs seem to be considering rehire strategies to bring back former workers who are already familiar with and sometimes trained on restaurant menus and procedures. In fact, some metro areas, including Sacramento and San Francisco, are even considering or have already passed "Back to Work" legislation that would require businesses to offer any available jobs first to qualified employees who were laid off because of the pandemic.

There are a lot of potential benefits for rehiring former, experienced restaurant and food service employees. They already know the ins and outs of the organization, and it can take them less time to acclimate to the work environment. But while the onboarding basics may seem clear, the actual rehiring process itself may be unfamiliar. For example, the United States Customs and Immigration Service Form I-9 guidelines for rehires are a bit nuanced.

For example, if the employee is rehired within three years of the date that Form I-9 was originally completed, the employer may consider using Section 3 rather than doing an entirely new Form I-9. And while a new Form I-9 requires that employers must physically inspect an employee's eligibility documents — for Section 3 it only applies if the original work authorization document has expired. Equifax I-9 Management support teams also said that leaving the rehire date blank on Section 3 is one of the more common Form I-9 errors, which could indicate that some employers may not be as familiar with Section 3.

The guidelines are temporary and have also changed several times over the course of the pandemic, which are why some restaurants choose to use an I-9 management service. Many restaurants are in recovery mode, more aware than ever of expenses and risk. Because of this, since the employer bears the burden for Form I-9 compliance, it's important to either know or have assistance when completing Form I-9 and other new hire notification requirements to help avoid potential fines, especially since the government recently increased the maximum fines for Form I-9 violations. A check of new hire documents and notices to find any that may have expired when employment was terminated could be needed for the rehire packet, in addition to any state-specific forms that have been introduced or changed since the employee last worked at the restaurant.

So while rehires may be top of mind for restaurant owners and managers and hiring overall is starting to pick up this spring, it's important for employers to be current on the process and requirements for new hires and rehires, including Form I-9. Knowing the options for new hires versus rehires and considering the automation of the paperwork to help with onboarding processes allows everyone to focus on the customer experience.

About Jason Fry

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Jason is intimately familiar with state and federal tax programs affecting employers, and also focuses on compliance and risk mitigation for workforce regulatory issues. Earlier in his career, Jason worked for the U.S. Internal Revenue Service, Georgia State University’s College of Law, the Clayton County Solicitor General’s Office and a private civil litigation law firm. Jason received his law degree from Georgia State University and is a member of the State Bar of Georgia.

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