Why Care About Compliance?
Misuse of personal, sensitive information for hiring decisions can lead to illegal and discriminatory hiring practices. The Fair Credit Reporting Act (FCRA) is just one of many laws used to protect employees against injustices in hiring.
Companies have a “duty of care” to protect their workforce from employees who pose a security risk. That means employers must identify and avoid hiring high-risk applicants, but within a transparent and fair hiring policy.
FCRA-compliant consumer reporting agencies provide the processes for notifying a candidate when a background check uncovers adverse information. Our process includes a built-in opportunity for candidates to dispute the information.
GoodHire's Compliance Advantage
- In addition to FCRA, state, and local laws, GoodHire’s compliance team can help you comply with the Equal Employment Opportunity Commission’s (EEOC) guidance and requirements under Title VII of the Civil Rights Act of 1964. The EEOC has recently pursued discrimination claims against employers whose screening policies disproportionately affect a protected group.
- Consequently, any hiring policy that disproportionately screens out minorities, including policies that ban employment of people with criminal records that are not job-related or consistent with business necessity, may automatically be considered in violation. GoodHire is the only employment screening company that gives employers additional context for criminal records.
Comments for Context
|Sentence Length||6 Months Prison|
The record that appears on my background check isn't an accurate representation of me. I was charged with a misdemeanor for fraud last year and am currently in a deferral program that will result in this case being dismissed. I'm currently working to ensure this record will be expunged once the deferral program is completed, but I'd like to express that I do not currently have a conviction for this offense.
Federal and state laws discourage employers from screening out applicants based on a criminal record alone.
One way to avoid discrimination is to consider the relevance of the record to the job, along with other factors.
GoodHire Comments for Context lets candidates add the details that help you make fair, individualized hiring decisions.
Background check results offer limited details, making it hard to create the individualized assessment that can provide a defense to Title VII claims.
GoodHire provides guidelines to keep the information fact-based and insights-focused.
Comments stay with a candidate's GoodHire results forever, so any employer who uses GoodHire will see them.
Six Steps to FCRA Compliance
In addition to protecting individuals, the FCRA is one of many laws used to help employers avoid potential lawsuits.
Employers that use background checks to make hiring decisions can use these Six Steps to FCRA Compliance, in addition to checking relevant state laws and consulting with legal counsel, to develop a legally compliant hiring policy.
Compliance Download PDF
Ban the Box legal landscape is still developing, quickly expanding its effect nationwide. We recommend companies remove the “prior conviction” question from applications proactively, to save time later and deflate EEOC attention now.
If you must keep the question on your application, GoodHire’s Comments for Context becomes even more valuable as the additional explanation and relevant information for convictions could help establish an individualized assessment defense to a Title VII discrimination claim.