You no doubt know that the background check, the applicant has a right to see the information the reporting agency provided.(FCRA) covers many conducted by entities defined as consumer reporting agencies. If you decide not to hire an applicant based on a
But what about complaints from customers or clients that become the basis for termination? Do those complaints have to be disclosed to the fired employee?
Not according to a recent 5th Circuit Court of Appeals decision.
Recent case: Jeffrey Kretchmer, a practicing Conservative Jew, worked as an account executive for a women’s lingerie and swimwear company. When the company decided to reorganize sales territories, Kretchmer would have been responsible for two major accounts: Neiman Marcus and J.C. Penney.
But Kretchmer’s supervisors had heard previous complaints from both retailers about Kretchmer’s performance. They concluded he shouldn’t be placed in charge of their accounts and therefore terminated him.
Kretchmer sued, alleging religious discrimination and FCRA violations. He claimed that he was entitled to see the underlying complaints because his employer relied on them to justify discharging him.
The 5th Circuit Court of Appeals rejected his claim. It said retail stores that supply information based on their experience with consumers aren’t covered by the FCRA. Kretchmer was therefore not entitled to copies. It also dismissed the other discrimination claims. (Kretchmer v. Eveden, No. 09-10556, 5th Cir., 2010)
Like what you've read? ...Republish it and share great business tips!
Attention: Readers, Publishers, Editors, Bloggers, Media, Webmasters and more...
We believe great content should be read and passed around. After all, knowledge IS power. And good business can become great with the right information at their fingertips. If you'd like to share any of the insightful articles on BusinessManagementDaily.com, you may republish or syndicate it without charge.
The only thing we ask is that you keep the article exactly as it was written and formatted. You also need to include an attribution statement and link to the article.
" This information is proudly provided by Business Management Daily.com: http://www.businessmanagementdaily.com/11666/fair-credit-reporting-act-doesnt-apply-to-complaints-that-lead-to-firing "