Job background check must comply with Fair Credit Reporting Act — Business Management Daily: Free Reports on Human Resources, Employment Law, Office Management, Office Communication, Office Technology and Small Business Tax Business Management Daily

Job background check must comply with Fair Credit Reporting Act

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in Employment Background Check,Firing,Hiring,Human Resources,Leaders & Managers,Management Training,Preventing Workplace Violence

The Fair Credit Reporting Act (FCRA) regulates how your company performs a job background check on applicants. Contrary to popular belief, this federal law doesn’t just cover credit checks. It covers any background report, such as driving records and criminal histories obtained from a “consumer reporting agency” (CRA).

Under the FCRA, you’re typically free to conduct background checks and use the information—if you have a clear business interest, such as hiring, firing, reassigning or promoting someone.

But you can’t run a background check on a whim. You must receive written permission from the person before obtaining the report. Then, if you decide to act on it—for example, fire a worker or reject an applicant—you must tell that person in writing that you based the decision, in part, on the background check.

Sometimes, background checks are mandatory. Jobs working with children, the elderly or the disabled usuall...(register to read more)

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