Class Action Case Shows Importance of Background Screening Firms Following Fair Credit Reporting Act when Reporting Sexual Offender Data

A new class action lawsuit filed in federal court on August 23, 2011 underscores once again the importance of background screening firms following the Fair Credit Reporting Act (FCRA). According to the civil complaint for damages, a background screening firm allegedly reported sexual offender data on applicants based solely upon a name match only, without …

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Employer Not Liable for Technical Violation of FCRA where Employer Committed Inadvertent Mistake but Consumer Suffered No Damages

In a case that underscores why it important for employers to have good screening procedures in place, a federal trial court ruled that a violation of the Fair Credit Reporting Act (FCRA) does not always mean that an employer is liable for damages, where the employer committed an inadvertent mistake that resulted in no damages …

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Studies Show Drugs in Workplace Cost Employers Billions and Small Businesses Employ More Drug Users but Drug Test Less

According to statistics from recent studies on drug abuse by American workers, workplace drug and alcohol abuse may potentially cost U.S. businesses an estimated $100 billion each year and smaller businesses are more vulnerable to drug use in the workplace but drug tested less than larger businesses. In addition, statistics showed that a majority of …

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New FCRA Rules on Credit Scores Would Not Apply to Employment Background Checks Where Employment Credit Reports are Utilized

New regulations announced by the Federal Reserve System and the Federal Trade Commission (FTC) on credit scores and the Fair Credit Reporting Act (FCRA)  should not affect employers that use employment credit reports that do not contain credit scores.  Credit reports provided by background screening firms do NOT contain credit scores.  The two federal agencies announced …

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California Supreme Court Case Demonstrates Difference Between Negligent Hiring and Direct Employer Vicarious Liability

A case decided by the California Supreme Court on June 23, 2011 graphically demonstrates the difference between allegations of negligent hiring as opposed to “vicarious” liability where an employer has direct responsibility for the acts of an employee.

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Eight Truths Employers Should Know about Employment Screening Background Checks

Employment screening background checks have become a mission critical task to ensure employers avoid the legal and financial nightmare of hiring employees who are unfit, unqualified, dangerous, or dishonest. However, some employers have misconceptions concerning background checks.  Here are eight simple truths every business, both large and small, should know about employment screening background checks.

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Background Check Expert Shows Consumer Reporting Agencies How to Avoid Legal Hot Water at 2011 NAPBS Annual Conference

Attorney at Law and background check expert Lester Rosen, founder and President of Employment Screening Resources (ESR), shows Consumer Reporting Agencies (CRAs) how to stay out of legal hot water and avoid lawsuits and legal fees in an educational session ‘Staying Out of Court! Critical Considerations for Every Screening Firm’ at the 2011 National Association …

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Class Action for Failure to Follow Fair Credit Reporting Act for Employment Screening Settles for $4.3 Million

In a case that once again emphasizes the importance of employers following the federal Fair Credit Reporting Act (FCRA) for employment screening, attorneys for thousands of mass-transit drivers and school bus drivers announced approval of a class action settlement of 4.3 million dollars for failure to adhere to the requirements of the FCRA. The proposed …

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Voice Stress Test for Employment Screening: Science Fiction or Scientific Breakthrough

A recent story from Canada in The Vancouver Sun – ‘Controversial device popular with public, private employers’ – reveals that while tests using a “truth verification” device called a Computerized Voice Stress Analyzer (CVSA) to screen job applicants in British Columbia are becoming increasingly popular with employers, the accuracy rate is being questioned as some …

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ACLU Calls Background Checks Asking for Social Network Passwords of Job Applicants Illegal Invasion of Privacy

Should employers be allowed to ask job applicants for the logins and passwords to their social network site profiles such as Facebook as part of employment background checks? The answer to this question may involve the next frontier of online privacy, suggests the American Civil Liberties Union (ACLU), after the Maryland Department of Corrections (DOC) asked a …

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