Tag Archives: legal compliance

New Indiana Law Allowing Expungement of Old Criminal Records Takes Effect July 1

A new law in Indiana that takes effect July 1, 2013 – Indiana House Enrolled Act No. 1482 – will allow state residents to have certain old criminal records “expunged” or erased by the courts and could create job opportunities for ex-offenders. Signed into law by Governor Mike Pence in May 2013, this “second chance” law applies to both employers based in Indiana and those who hire workers in the state. The full text of the new law is available at http://www.in.gov/legislative/bills/2013/HE/HE1482.1.html. Continue reading

Latest Developments in Pre-Employment Background Screening Discussed in Webinar on July 2

Attorney and safe hiring expert Lester S. Rosen, Founder and CEO of Employment Screening Resources® (ESR), will participate in a live 90 minute Continuing Legal Education (CLE) webinar ‘Pre-Employment Background Screening: Latest Developments’ on Tuesday, July 2, 2013 from 1:00 PM to 2:30 PM EDT. For more information about this webinar from Strafford, which will also feature Attorney Pamela Q. Devata of Seyfarth Shaw and Attorney Cindy D. Hanson of Kilpatrick Townsend & Stockton as panelists, visit http://www.straffordpub.com/products/pre-employment-background-screening-latest-developments-2013-07-02. Continue reading

Federal Trade Commission Warns Data Brokers about Possible Fair Credit Reporting Act Violations

The Federal Trade Commission (FTC) has sent letters to ten data broker companies to warn them that their practices could violate the Fair Credit Reporting Act (FCRA). The letters were issued as part of a global privacy protection effort after a test-shopping operation by the FTC indicated the ten companies were willing to sell consumer information without following FCRA requirements. A news release from the FTC about the warning letters is available at http://www.ftc.gov/opa/2013/05/databroker.shtm. Continue reading

FTC Approves Final Order Settling Charges against Criminal Background Check Report Marketers

The Federal Trade Commission (FTC) has approved a final order settling charges that Filiquarian Publishing LLC, Choice Level LLC, and their CEO operated as a consumer reporting agency (CRA) that provided criminal background check reports to be used for employment decisions without taking consumer protection measures required by the Fair Credit Reporting Act (FCRA).  A press release from the FTC about the final order is available at http://www.ftc.gov/opa/2013/05/filiquarian.shtm. Continue reading

Immigration Bill in Senate Would Require Employers to Use E-Verify Employment Eligibility Verification System

A comprehensive immigration bill introduced in the Senate – S. 744 – would require all U.S. employers to use E-Verify, a free web-based employment eligibility verification system that compares information from the Employment Eligibility Verification, Form I-9 all newly hired workers must complete to records in Department of Homeland Security (DHS) and Social Security Administration (SSA) databases to verify their legal work status. The full text of S. 744 is available at http://www.gpo.gov/fdsys/pkg/BILLS-113s744is/pdf/BILLS-113s744is.pdf. Continue reading

Company Pays Over 13 Million Dollars to Settle Suit Alleging Background Check Reports Were Sold to Debt Collectors

A U.S. company providing risk management solutions has agreed to pay $13.5 million and overhaul its background check search product to settle a national class action suit that claimed the firm sold background check reports to debt collectors without following consumer protection laws, according to a report in the Dayton (OH) Daily News that cites the Law360 website. The full story is available at http://www.daytondailynews.com/news/business/lexisnexis-pays-135m-to-settle-suit/nWxJQ/. Continue reading

New EEOC Criminal Record Guidance Subject of Session at SHRM Conference in Albuquerque on February 25

Attorney Lester Rosen, a safe hiring expert and founder and CEO of background check firm Employment Screening Resources (ESR), will present a session titled ‘Practical Steps to Comply with the New Equal Employment Opportunity Commission (EEOC) Criminal Record Guidance’ at the 2013 Society for Human Resource Management (SHRM) NM Employment Law & Legislative Conference in Albuquerque, New Mexico on Monday, February 25, 2013 from 2:00 PM to 3:15 PM MST. For more information and to register for the SHRM conference, visit http://www.shrmnm.org/2013_Legislative_Conference.aspx. Continue reading

DOL Office of Contract Compliance Programs Issues Directive on Use of Criminal Records for Background Checks

The Department of Labor’s (DOL) Office of Contract Compliance Programs (OFCCP) has issued a new Directive on ‘Complying with Nondiscrimination Provisions: Criminal Record Restrictions and Discrimination Based on Race and National Origin.’ The OFCCP Directive advises federal contractors and subcontractors about potential discriminatory liability resulting from using criminal records for employment background checks and warns policies that exclude workers with criminal records without taking into account the age and nature of the offense could violate Title VII of the Civil Rights Act by adversely impacting minority candidates. The OFCCP Directive, which took effect immediately, is available at http://www.dol.gov/ofccp/regs/compliance/directives/dir306.htm. Continue reading

Allegation of Failure to Update FCRA Compliance Forms by National Retailer Leads to 3 Million Dollar Settlement

A large national retailer has settled an employment class action lawsuit for $3 million that alleged the company violated the federal Fair Credit Reporting Act (FCRA) by failing to send proper notices to nearly 65,000 plaintiffs who were job applicants. More detailed information about the settlement reached in Pitt v. KMart Corp., Case No. 11-cv-00697 is available at: http://www.archive.org/download/gov.uscourts.vaed.272989/gov.uscourts.vaed.272989.56.0.pdf. Continue reading

EEOC Updates Guidance on Criminal Records to Prevent Employment Discrimination during Background Checks

On April 25, 2012, the U.S. Equal Employment Opportunity Commission (EEOC) – the agency that enforces federal laws prohibiting employment discrimination – voted 4 to 1 to update the Enforcement Guidance on the Consideration of Arrest and Conviction Records in Employment Decisions Under Title VII of the Civil Rights Act of 1964. According to the EEOC, the updated Guidance builds on longstanding court decisions and guidance documents that the EEOC issued over 20 years ago and focuses on employment discrimination based on race and national origin. This greater focus by the EEOC on how employers use criminal records is Trend 2 of the 6th Annual ‘ESR Top Ten Background Check Trends for 2013’ available at http://www.esrcheck.com/Top-Ten-Background-Check-Trends-for-2013.php. Continue reading