An adverse action is a negative action reported to a job applicant pertaining to the denial of employment, due to issues identified through a pre-employment screening check. Taking adverse action is perfectly legal (and necessary!). However, there are two key steps to take to ensure you don’t discriminate against a candidate: A pre-adverse notice, sent…

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Fair Credit Reporting Act (FCRA), when employment is denied following a background check. The first step is a pre-adverse notice, sent before a final decision is made. The second step is a notification of adverse action, sent once a hiring decision is made. Adverse action has a critical role to play in effective hiring, but…

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three large grocery store chains have found themselves the target of lawsuits for violations of the Fair Credit Reporting Act. All three of them chose the wiser route, to settle the class action lawsuits rather than risk going to court and losing their cases. Whole Foods, Food Lion/Delhaize, and Publix Supermarkets each settled out of…

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Fair Credit Reporting Act (FCRA). When he applied for a job with Amazon as a “puller” at one of the online retailer’s distribution centers in November 2013, Williams also filled out a form giving SMX the authority “to obtain his consumer report for employment purposes.” That form stated that if anything is found in the…

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has signed a consent decree with the Equal Employment Opportunity Commission, and agreed to pay $1.6 million out to 56 claimants. According to the Equal Employment Opportunity Commission, those claimants may have been discriminated against when BMW took adverse action against them due to stringent criminal record checks conducted after they had already been hired.…

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adverse action.” Adverse action can also be letting go an existing employee, or refusing promotions based on similar information. For the sake of this blog post, however, we will focus on taking adverse action during the hiring process. Taking adverse action is legal, so long as you do not discriminate against a candidate in your…

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