Background checks are assumed seemingly standard and straightforward but as Petco Animal Supplies found the hard way the Fair Credit Reporting Act (FCRA) contains very strict protocols and technicalities that can cost your company millions if not followed precisely.
In a month where the numbers of every other type of complaint was a bit depressed, FCRA has continued its remarkable growth streak, with a strong 422 plaintiffs represented in February invoking the statute.
FCRA used to be the ugly stepchild to TCPA, the statute that almost always had the the slightly better numbers and momentum. That trend appears to have subsided.
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Most human resource professionals have an incredibly busy work week. Piles of resumes on the desk, hiring deadlines to meet and more. When a background check comes back with a criminal record, many human resources (HR) leaders simply reject the candidate and move on to the next candidates.
The rejection of an applicant based on an obvious "no hire" criminal record rule is one of the most common lawsuits hitting employers in the United States today. Plaintiffs lawyers are hitting corporations with lawsuits, alleging failure to follow adverse action protocols at an astonishing rate.
Attorneys Michele Haydel Gehrke and Brian K. Morris recently wrote about about a case that may have significant impact on employers. particularly employers facing lawsuits regarding adverse action procedures, FCRA disclosure forms and proper notice of rights paperwork.
According to McKnight's long-term care news, an Indiana-based healthcare management group has been hit with a class-action lawsuit after a job applicant claimed she was denied a position at the company based on an allegedly false background check report.