The newly enacted LA County Fair Chance Ordinance marks a significant development in employment regulations, adding complexity for businesses operating within the region. In a recent webinar, Morgan Reynolds, Vice President, Risk/Legal Counsel, DISA Global Solutions, provided a comprehensive overview of the ordinance's requirements and practical steps employers must take to remain compliant. This ordinance builds on California's existing Fair Chance Act, imposing additional obligations designed to promote fair hiring practices for individuals with criminal histories. Understanding and adhering to these new requirements is essential for organizations aiming to maintain compliance while supporting equitable hiring processes.
Understanding the Ordinance's Scope and Applicability
The LA County Fair Chance Ordinance, effective as of September 3, 2024, adds a new layer of complexity for employers, particularly in distinguishing between city and county regulations. It applies specifically to employers operating or hiring remote employees within unincorporated areas of LA County, which covers about 65% of the region. Determining jurisdiction is essential, as employers will need to differentiate between compliance obligations under LA City ordinances versus those of the broader county.
Additional Requirements Beyond the State Act
While California's Fair Chance Act already limits the use of criminal history in hiring until after a conditional job offer is made, the LA County ordinance imposes further restrictions:
- Post-Offer Question Restrictions: Employers must refrain from post-offer inquiries about criminal history until the background check report is received.
- Transparency in Job Solicitations: Job postings must state that candidates with arrest or conviction records will be considered, ensuring upfront communication about fair chance policies.
Employers are also required to outline the key job responsibilities that could potentially relate to a candidate's criminal history, highlighting transparency in the hiring process.
Navigating Individualized Assessments and Documentation
One of the more nuanced aspects of the LA County ordinance is the handling of individualized assessments:
- Employers must present candidates with the written assessment if adverse action is anticipated.
- Notification procedures demand that the notice be sent by mail and email (when possible), with the deadlines for response highlighted in bold or underlined to ensure clarity.
- Employers should prepare for potential form requirements similar to those of LA City, though final guidance on this is pending.
Compliance with Timing and Response Periods
The ordinance specifies precise waiting periods that employers must observe:
- Pre-Adverse Action Notice: Must always be sent by mail, extending the timeline for receiving candidate responses. The typical presumption for mail receipt adds an extra five business days to any waiting period.
- Additional Response Time: Candidates can request an extra 15 business days to gather evidence or present rehabilitation documentation.
Anticipating Enforcement and Preparing for Compliance
Although the ordinance became effective in September 2024, enforcement is not expected until September 2025, allowing a window for employers to align their practices with the new requirements. This period should be used to update policies, train HR teams, and stay informed on any additional guidelines, such as potential standardized forms.
How DISA Can Help
DISA Global Solutions provides resources and expertise to navigate the intricate landscape of employment compliance, including fair chance hiring practices.
Related Articles
About DISA Global Solutions
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.