FCRA Employer Compliance Responsibilities

Jan 27, 2021 | Complete Employee Screening, In the News, Industry News

FCRA Employer Compliance Responsibilities

Employers are faced with tough decisions every day, including keeping up with FCRA Employer Compliance Responsibilities. You work hard to advance the company. Hiring a safe and responsible workforce is part of that work. Running background checks is a safe way to help vet potential employees. However, you need to be aware of your responsibilities as an employer when it comes to being FCRA compliant. Did you know that FCRA compliance issues can cause major headaches for your company?

There are specific issues you must address when dealing with background screenings. Here is a brief rundown:

  • Approved Purpose: You may use a third-party company to run background checks for approved purposes like prescreening potential employees. When requesting a background check for employment considerations, you must follow the FCRA provisions and guidelines.
  • Written Disclosure: Potential candidates must be given written disclosure advising of the background check. You must present this document separately to the candidate, and they have to give their signed consent before the screening can be ordered.
  • Completed Results: After the screening comes back the potential employee must be shown the information to have the opportunity to challenge any wrong or missing information.
  • Adverse Action: There are 2 steps you must take when the screening reports an adverse result that will be grounds to deny employment. First, you’ll need to provide them with a pre-adverse action notification and a copy of the report, along with a copy of “A Summary of Your Rights Under the Fair Credit Reporting Act.” After providing them these documents, you’ll need to wait at least five days, maybe longer depending on your local rules, to allow the candidate to offer a rebuttal on the report. The second step is to provide them with a written adverse employment decision notice.

Following these guidelines can be time-consuming and confusing for a business to handle. That’s why it is so important to find a good background screening company like Blueline Services. We are up-to-date on FCRA Employer Compliance Responsibilities.



The information provided above is for educational purposes only. It is not intended to be legal advice.