Many of today’s companies are doing a Criminal Background Check before making a final decision on personnel issues such as hiring, promotions, and reassignment. It’s not unusual for an employer to want to know about a candidate’s criminal record, work history, education, and, depending on the position, a financial history.

Similarly, before a company promotes any of its current workers, it’s a good idea to confirm that the employee has not fallen into some criminal activity, for instance, which could jeopardize their ability to carry out the responsibilities of the new position.

Although there are restrictions on some medical and genetic information, it’s not illegal for an employer to ask questions about an applicant’s or employee’s background, or to require background checks in Buffalo, NY—or anywhere else, for that matter.

However, whenever you use this background information to make an employment decision, you must comply with federal laws. These laws are meant to protect applicants and employees from discrimination based on criteria such as race, color, national origin, sex, or religion; disability; genetic information (including family medical history); and age (40 or older). The Equal Employment Opportunity Commission (EEOC) enforces these laws.

Also, if your company runs background checks through another company that’s in the business of compiling background information, you must comply with the Fair Credit Reporting Act (FCRA). And the Federal Trade Commission (FTC) enforces the FCRA.

Staying Compliant with the EEOC

Make sure you apply the same standards to everyone. Use caution when basing employment decisions on background issues that may be more common among people of a certain race, color, national origin, sex, age, or religion. For example, if you don’t reject applicants of one ethnicity with certain financial histories or criminal records, you can’t reject applicants of other ethnicities because they have the same or similar financial histories or criminal records.

Also, employers cannot have a policy that excludes people with criminal records if the policy significantly disadvantages individuals of a particular race, national origin, or another protected characteristic, and does not accurately predict who will be a responsible, reliable, or safe employee.

Employers should also be prepared to make exceptions for problems that were revealed during a background check and were caused by a disability.

Avoid Litigation by Meeting the FCRA Requirements

Compliance with the FCRA is the responsibility of both the employer and the background screening company. It is mandatory for any employer using a third party to conduct background checks.

Employers must disclose that they are going to conduct a background check and get written authorization. There are also adverse-action procedures they must follow if they make an employment decision based on negative information in the report.

Not being compliant with FCRA requirements can be costly. It requires an employer to do very specific things during the initial employment process. Employers are often sued in federal court when they fail to follow the proper procedures.

Do You Need a Background Check?

We are Metrodata Services Inc., one of the leading pre-employment screening firms doing Background Checks in Buffalo, NY. However, we are not attorneys. We are here only to remind you of your responsibilities to be compliant in 2018. Consult with your attorney to ensure that your processes are legal. And see us for help in finding your next employee.