Background Screening: Evaluating Your Program For FCRA Compliance

The Basic Truths About Background Screening, Part 4Copyright © 2015 TRAK-1 Technology, Inc. All Rights Reserved.

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The Basic Truths About Background Screening:Evaluating Your Screening Program for Basic FCRA

Compliance

Trak-1 is an Accredited Member of NAPBS


Your Host: Rick ColtmanDirector of Strategic Marketing and Alliances, Trak-1 Technology, Inc.

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Your Presenter: Matt GrahamVP of Operations, Trak-1

Technology, Inc.

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1. FCRA Myths And Goals2. Disclosure And Authorization

3. Policy, Procedures And Practices4. What Can And Cannot Be Asked Of Applicants5. Appropriate Decision Making And Processes

Based On Business Application


Dispel The FCRA Myths

Any Organization Assembling Information About A Consumer And Issuing A Report For A Fee Qualifies As A CRA.

#1

Not Just Employees

The Fair Credit Reporting Act Applies To

All Background Screening Performed By A Consumer Reporting Agency (CRA)

Not Just CreditNot Just Criminal


• Protect The Privacy Of Consumer Report Information

• Guarantee Information Supplied By CRAs Is As Accurate As Possible

• Inaccurate Or Incomplete Consumer Reports Could Cause:– Applicants To Be Denied Jobs – Employees To Be Unjustly Denied

Promotions

UNDERSTAND THE GOALS OF THE FCRA#1


State law specific requirements

CONSUMER NOTICE REQUIREMENTS#2Provide Written Notice That A Consumer Report May Be Obtained

It Is Clear And Conspicuous

Use A Separate Document From The Main Application

Provide/Obtain Before The Consumer Report Is Requested (Key For Integrated Online Systems)

Specify Consumer Rights Under The FCRA

Post-conditional Offer? (Preferred By EEOC)

1234

567


• Written Authorization From The Consumer • Prior To Requesting A Consumer Report• Separate Form From Application• Same Form As Notice • No Waiver Or Disclaimer Of FCRA Obligations Or Rights Possible• Must Show Specific Screening Firm By Name, Address And Toll-

free Number Of Screening Firm On Form• Specify Scope Of Screening Authorized (I.E. Type And Purpose)• Specify Scope Of Authorization (Multiple Entities, Over Time, Etc.)• State Law Specific Requirements

CONSUMER AUTHORIZATION REQUIREMENTS#2


– Location Of Service/Hire/Housing– Position/Property– Department/Unit– Authority Or Price Level– Relationship To Company (Volunteer, Contractor, Employee, Professional

Staff, More)– Risk Requirements (DOT, Financial, HIPPA, Public Housing, Etc.)

Custom Screening Packages#3Properly Tailored Programs Have Custom Screening Packages That Are Tailored By:


• Motor Vehicle Records (DOT And Non-dot)• Credit Reports (Differ By Purpose)• Previous Employment/Education/Credential Verification• References (Personal, Professional, Character)• Drug Testing Or Physical Ability Testing

Screening Products By Purpose#3

All The Different Products: • Identity Verification Tools• Multi-state/National Criminal/Civil Databases• State Criminal/Civil Record Repositories• Offender And Other Registries• County-level Searches


Decision Making Criteria#3There Should Be Different Criteria For Each Application

Objective, Standard Criteria Required

Ex: Anyone Having A Record Of A Violent Felony Level Offense Is Prohibited From Working For Our Company

Individualized Assessment Required

Ex: Analyze Each Felony Record For Each Applicant For Each Position

Prohibited By EEOCDiscouraged By HUD

Historically Today Black And White


“Ban The Box”

What Can Be Asked In An Application#4

2012 EEOC Guidance Says Employers Cannot Ask About Convictions On

Applications

If/When Inquiries Are Made They Should Be Limited To Those Which Are Specific And

Job-related…

For Example: “Please Provide Information About Any Previous Conviction Which

Might Impact Your Ability To Be Eligible For This Position.”


FCRA Restrictions On Reporting Of Arrest Records

About Arrest Records#4

Use Of Arrest Records Is “Not Job Related And Consistent With Business Necessity” – Per The 2012 EEOC Guidance

Employer May Make A Decision On The Underlying Conduct If The Conduct Makes The Individual Unfit For A Position


EEOC Revises Enforcemant Guidance#4Revised April 25, 2012 (Last Updated Over 20 Yrs. Ago)

Interprets Title VII Of Civil Rights Act, ADA, ADEA,

GINA, EPA

Starts From The Premise That Using Criminal Records In Employment Decisions Is Presumed To Have A

Disparate Impact Absent Additional Factors Establishing No Such Impact


Factors To Consider Per EEOC#5

The Nature Of The Position Held/Sought

The Time That Has Passed Since Conviction/Sentence

The Nature And Gravity Of The

Offense(s)


The Facts Or Circumstances Surrounding The Offense Or Conduct

The Number Of Offenses For Which The Individual Was Convicted

Older Age At The Time Of Conviction, Or Release From Prison

Individualized Assessment Of #5


Evidence That The Individual Performed The Same Type Of Work, Post Conviction With The Same Or A Different

Employer, With No Known Incidents Of Criminal Conduct

The Length And Consistency Of Employment History Before And After The Offense Or Conduct

Rehabilitation Efforts, E.G., Education/Training

INDIVIDUALIZED ASSESMENT OF #5


Employment Or Character References And Any Other Information Regarding Fitness For The Particular Position

Whether The Individual Is Bonded Under A Federal, State, Or Local Bonding Program.

Individualized Assessment Of #5


Take Away Points• Employee Screening Best Practices

• Review your compliance based on EEOC enforcement guidance• Order hit verification upfront to increase accuracy and expedite hiring• Review your pre and post adverse action process• Go beyond criminal records• Consider probationary period pending screening

• Volunteer Screening Best Practices• Understand the risk of defamation, privacy claims• Pre and post adverse action process applies• Order hit verification upfront to increase accuracy and expedite hiring• Go beyond sex offender registry


Coming Up Next…

Evaluate Your Program for FCRA Compliance (continued)

1.800.600.8999 www.trak-1.com

Contact Nancy Roberts directly or talk with Trak-1’s FCRA certified screening professionals and begin – Ruling In The Right People!

Background Screening: Evaluating Your Program For FCRA Compliance

Recruiting & HR

Transcript of Background Screening: Evaluating Your Program For FCRA Compliance