The two steps consist of a pre-adverse notice, sent before making a final decision, followed by
a notification of adverse action, sent after a decision not to onboard.
Not exact matches
In other states, state or federal law requires the insurance company to provide you some important
notifications — the most important
of which is the federal Fair Credit Reporting Act (FCRA)
Adverse Action Notification.
Once a decision has been made about a particular candidate on the basis
of a background check result, you may be required to issue an
adverse action notification to the applicant stating the reason for being denied employment.
Adverse Action Notifications are just one
of the many requirements imposed upon employers who use background checks for employment purposes.
This
notification must be sent to the applicant before
adverse action is taken AND you must provide the individual with a pre-
adverse action disclosure that includes a copy
of the individual's background report and a copy
of the FTC document, «A Summary
of Your Rights Under the Fair Credit Reporting Act.»
One
of the keys to maintaining compliance with the FCRA as it relates to
adverse action is the timing
of required
notifications.
«Some go beyond removing questions from an employment application and place restrictions on an employer's use
of certain types
of criminal records, require individual assessments, or require special
adverse action notification requirements.»
Each
of these suits involves a complex web
of legal issues and accusations — one involving an alleged failure to follow
adverse action notification... Read more»
Each
of these suits involves a complex web
of legal issues and accusations — one involving an alleged failure to follow
adverse action notification protocol that resulted in an expunged criminal record being used against a prospective employee; another revolves around the alleged misuse
of background screening disclosure and authorization forms and reporting
of background information that is not legal for a background check company to report (resulting in
adverse action against a hopeful applicant); and the third was news
of a $ 18.6 M settlement over the use
of unverified criminal database research.
It means that your obligations for volunteer screening are the same as those for employment screening — specifically you must have proper authorization and disclosure forms and you must follow the two - part
adverse action notification process any time you refuse to allow someone to volunteer altogether or even place restrictions on the types
of volunteer opportunities available to any individual.
You can find a detailed breakdown
of the two - part
adverse action notification process in Part 2
of this series.
The FCRA requires that all background checks be conducted with consent and that in the case an
adverse employment
action occurring as a result
of a background check, the applicant is entitled to certain
notifications including a copy
of the report.