Employee Background Checks FAQ – What Employers Need to Know

Background checks are an essential part of the hiring process, helping employers make informed decisions about potential hires. The scope of a background check can vary greatly, depending on the industry, role, and compliance requirements. By tailoring a combination of screening services, companies can develop a program that meets their industry’s standards and upholds safety and integrity in the workplace.

A background check validates a candidate's suitability by verifying their personal history, including criminal and civil records, employment and education credentials, and other relevant information. This process helps employers gauge whether a candidate is the right fit for their organization, ensuring they maintain a safe, trustworthy, and compliant workforce.

In order to begin the background screening process, the employer must comply with the federal Fair Credit Reporting Act (FCRA) by disclosing to the candidate in writing that a background check may be run for employment purposes and by obtaining the candidate's authorization to procure the report. Once these steps are complete, the screening provider compiles relevant data from a variety of sources and produces a report for the employer’s review.

The information that appears on a background check can vary based on the type of screening performed and the requirements of the role. Common elements include:

• Criminal Records: A criminal background check generally includes any past convictions or ongoing cases. Incarcerations are reported when they are part of a conviction record.
• Credit History: In select cases, employers may review a candidate’s credit report. This is more common in roles involving financial responsibilities and includes details like outstanding debts or past bankruptcies.
• Civil Records: Information on civil judgments, lawsuits, and liens may also be reviewed, depending on the employer’s policies. This can be useful in assessing any unresolved legal issues a candidate may have.
• Driving Record: For positions involving driving or vehicle operation, employers may review a candidate’s driving record, including any traffic violations or license suspensions.
• Education and Employment History: Verification of a candidate’s educational background and work history is common, ensuring they possess the claimed qualifications and experience.
• Reference Checks: Employers may reach out to past employers or personal references to gain further insights into a candidate’s qualifications, character, and work ethic.

A criminal background check offers insight into any history of criminal activity. Key aspects that may appear in this report include:

• Convictions: Information about the type of crime, date, and sentencing details.
• Incarcerations: Details about jail or prison time, reported when tied to a conviction.
• Probation or Parole: Records of any probation or parole orders and related court actions.

Employers evaluate criminal background information based on its relevance to the role. For example, a recent conviction related to theft might be relevant to a financial role, while a driving violation may be pertinent to a transportation position.

Employers generally conduct background checks as part of the pre-employment process, but some industries require regular checks throughout an employee’s tenure. Industries such as healthcare, transportation, and government often mandate periodic re-screening, especially for positions with safety or security responsibilities. For instance, some government roles require re-screening every five years, while healthcare positions may need biennial checks. Employers should balance the need for updated information with respect for employee privacy.

The duration covered in a background check can vary. Typically, criminal history searches extend back seven years, although some positions, particularly in finance or healthcare, may require a more extended review period. The Fair Credit Reporting Act (FCRA) limits reporting of non-conviction information to seven years but allows for indefinite reporting of convictions. For employment and education verifications, it’s common to verify the last 5–10 years.

Employers must also consider state and local laws, as some jurisdictions impose additional restrictions or requirements on how far back background checks can go.

Compliance with background screening laws is crucial for employers. Key regulations include:

• The Fair Credit Reporting Act (FCRA): This federal law requires that employers disclose the intent to perform a background check and secure written consent from the candidate. If adverse action is taken based on the report, the employer must follow specific steps to inform the candidate.
• Equal Employment Opportunity Commission (EEOC) Guidelines: To avoid discrimination, the EEOC mandates that background checks be conducted fairly, without excluding candidates based on protected characteristics. Employers should ensure that background checks are applied consistently and relevantly.
• Ban-the-Box Laws: Many states and cities have passed laws restricting when employers can inquire about criminal history during the hiring process. Ban-the-box laws aim to give candidates with criminal records a fair opportunity to be considered for a role without bias.

Adhering to these laws helps employers avoid potential legal issues and create a fair and compliant hiring process.

DISA Global Solutions offers comprehensive, compliant background screening services tailored to meet the needs of various industries. From criminal and civil records to employment verification and compliance support, DISA provides a one-stop platform that simplifies the background check process. With deep expertise in FCRA compliance and a commitment to privacy and security, DISA helps employers mitigate risks and make informed hiring decisions. Through customizable solutions, DISA ensures that employers receive relevant insights to support a safe and productive workplace. Choose DISA to streamline your background screening process and rest assured that your compliance needs are covered.

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Founded in 1986, DISA is the industry-leading provider of employee screening and compliance services. Headquartered in Houston, with more than 35 offices throughout North America and Europe, DISA’s comprehensive scope of services includes background screening, drug and alcohol testing, DOT & HR compliance, occupational health services, and I-9/ E-Verify. DISA assists employers in making informed staffing decisions while building a culture of safety in their workplace.