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Legal Alert: When Did You Have to Update Your Employee Background Check Forms?

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Beginning January 1, 2013, Employers were required to update the forms they use for securing employee background checks.

As we have discussed in this blawg on several occasions, performing an employee background check is not as simple as turning an employee's name, birth day¬ł and social security number over to a credit reporting agency and waiting for the results.

Employers are bound to follow a prescribed set of steps when securing and using employee background checks. If you fail to follow the proper steps the consequences can be dire.

The prescribed steps are listed below:

1. Secure proper authorization for employee and applicants background checks.

2. Notify affected employees or applicants of intent to take any adverse employment actions based wholly or partly on a background check prior to taking any adverse action.

3. Notify affected employees or applicants of adverse decision.

The new form requirement is imposed in step 2.

Post January 1, 2013, employers are required to provide employees and applicants with a standardized form entitled A Summary of Your Rights Under the Fair Credit Reporting Act.

The form must be given prior to taking any adverse action against an employee or applicant (i.e. not hiring an applicant, denying an employee promotion, firing an employee). A copy of the prescribed form can be obtained by clicking here.

Ignoring the employer mandates regarding employee background checks is not a good idea. Employers can be subject to fines up to $1,000 or the actual damage for each violation plus attorney fees.

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About this Entry

This page contains a single entry by Mary Beth Gettins published on February 6, 2013 12:38 PM.

Are Your People Making These Mistakes Using Live Chat with Your Brand's Customers? was the previous entry in this blog.

Who Else Believes They Deserve Better Customer Service? is the next entry in this blog.

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