Companies lose millions of dollars a year in FCRA lawsuits that can be avoided! Typically, lawsuits begin when a company neglects to follow the proper procedures in conducting background screenings. Small business and huge corporations are all responsible for remaining complaint with FCRA and state ordinances. Both are often found in the middle of hiring practices lawsuits that can seriously damage company reputation and cost a fortune.
Compliance is nonnegotiable and there are many FCRA compliance lawsuits happening all the time. Recently we talked about how Uber settled for over $100 million. Just last month James Goodman reported on the upcoming court case against Wegmans food stores. The lawsuit alleges Wegmans did not give the proper disclosures needed to retrieve consumer reports on their potential hires. More specifically Wegmans included a statement in the same document as the background check authorization that may violate the FCRA rules and regulations.
Even multinational companies like Starbucks can be caught in the compliance trap and just this month a lawsuit filed in Colorado alleged that Starbucks failed to provide pre-adverse action documents to a potential hire before notifying him he was not selected. In the Starbucks case the potential hire was notified that he was not selected due to background check findings. However, Starbucks did not provide the correct documentation advising him of his rights under the FCRA and could be found non-compliant. Now anyone who was not provided with the necessary compliance documents when denied employment at Starbucks could be joining the suit and the company could face huge fines.
Problems arise in all professions; background checks have become a requirement for applicants seeking employment in schools or with students. In Pennsylvania a potential bus driver was denied employment after refusing to submit to the finger print portion of the required background check. The case states that she refused on religious beliefs, explaining that finger prints are associated with the devil. The private company hiring bus drivers refused to accommodate her wishes and now may be liable for it.
Luckily as a HireSafe customer you don’t have to worry about keeping up with the various federal and state laws surrounding background checks. Our employment background check experts work tirelessly to stay on top of the law and ensure that all of our services are complaint. The simplest way to stay compliant is to take advantage of the paperless options provided to all HireSafe customers free of charge.
Our QuickApp™ paperless background check format is an easy way to make sure your background checks are FCRA and state compliant. With the HireSafe QuickApp™ all of the necessary compliance documents are automatically sent to your potential hire. The QuickApp™ also allows the applicant to input their own personal information, eliminating transcription errors and ensuring security as sensitive information is only submitted once through our secure online portal.
Medium to large HireSafe customers can get the most out of our services by taking advantage of customized online applications with the QuickApp PRO™. The PRO version allows you to create customized application links for each role you need to fill. With the QuickApp PRO™ you can streamline your companies hiring process and request background checks at the click of a button.