Since You Asked: Adverse Action Requirements

In our Since You Asked feature, we will answer questions commonly or recently asked by our clients.  We hope you find these posts informative.  Please feel free to contribute your own questions via email.  We would love to hear from you!

Question: We are not hiring an individual based on the background check that we got from Achievement Tec.  What are our obligations?

Answer: If the background search revealed information that caused the adverse action in whole or in part, then you are required by the Fair Credit Reporting Act (FCRA) to notify them of your intent not to hire them, provide a copy of their Summary of Rights, and supply a copy of all the background reports gathered. Only after allowing the applicant "reasonable" time to review or dispute the results can you take adverse action against them.

 

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