Many employers require background checks, both as a condition of being hired or as continuing employment.
Under federal and state law, employers may perform background checks on applicants for employment. Some occupations may require them. However, if an employer requests and uses an applicant’s background information, the employer must comply with federal and state laws that prohibit discrimination on the basis of race, national origin, color, sex, religion, disability, age, or genetic information. Additionally, employers must treat applicants equally when performing background checks. If an employer intends to use background information to make a hiring decision, the employer should request the information from all candidates. Types of background checks employers conduct include: criminal, credit, and employment history. Employers may also consider public information such as court records, and sex offender records or information found on internet websites like Google, Twitter, Facebook, and LinkedIn. Under federal law, if an employer uses a company in the business of compiling background reports to conduct a background check, the employer must inform the applicant that it may use the information to make a hiring decision and get the applicant’s written consent before obtaining the report. Although applicants cannot be compelled to provide consent, an employer may decide to reject the application of any individual who does not.
What Are the Rules on Criminal Records Checks?Employers conduct criminal background checks, often times to prevent liability. If an employer fails to perform a criminal background check and hires an individual with a criminal background, who later damages property or injures another while in the course of doing business, the employer can be held liable if a criminal background check would have revealed the individual’s history.
Many states have laws restricting employer’s use of criminal records in making hiring decisions. Under Texas law, most employers are limited to a seven-year criminal background check for positions paying under $75,000. If the position will pay more than $75,000, employers are entitled to check the applicant’s criminal background back to the age of eighteen. Additionally, Texas law does not require applicants to disclose the existence of any criminal records that have been expunged by a court order. Criminal records of minors are sealed so a criminal background check should not reveal any criminal convictions prior to the applicant turning eighteen. If an employer discovers this information, it should not be used in hiring decisions.
What are the Rules on Credit Checks?
Federal law permits employers to conduct a credit history check, as long as there is consent from the applicant. An “Employment Credit Report” contains information about the applicant’s credit and payment history, but will not contain private information like account numbers, credit score, age, or year of birth. Credit reporting agencies are required to provide relevant and accurate information.
If an employer uses an applicant’s credit history to make a hiring decision, the applicant must be provided a copy of the report and a written explanation of the effect.
Why Verify Employment History?Employers conduct employment history checks to verify an applicant’s previous job titles, tenure and salary. Employers may also request information regarding the applicant’s separation from employment. Employment verification can be provided by reporting agencies such as Equifax, TransUnion, and Experian, or Group One for medical professionals. Past employers may also be contacted for employment verifications.
Similar to a credit check, if a hiring decision is based on an employment verification report, the applicant is entitled to a copy of the report. If a reporting agency provides inaccurate information regarding an applicant’s work history, the applicant is entitled to correct the information.
What Public Information Is Available?
While employers may use a reporting agency to obtain private background information, it is important to remember that employers have access to any public information available about an applicant. Public information available to employers include civil and criminal court records, sex offender records and any information on social networking sites like Facebook, Twitter, and LinkedIn. Court records can reveal the litigiousness of an applicant as well as the nature of the cases. Sex offender records are particularly important in identifying whether an applicant would be a good candidate for certain position such as childcare workers, caregivers, and medical professionals. Social media posts can reveal details about an applicant that an employer may use to reject an application, like a blog post to which an employer’s clients may find offensive. Employers are still prohibited from using public information obtained to discriminate against applicants for a protected reason.
FAQs
The standard for employment-related background checks in Texas is seven years, except for criminal convictions, which may be reported indefinitely. The seven-year limit applies to tax liens, suits or judgments, and most credit history. Records of bankruptcies may go back as far as 10 years.
What background check do most employers use? ›
Criminal record searches are the most common type of background check, but there are many to choose from. Failing to conduct background checks could result in damage to your company brand.
What is the background check law in Texas? ›
Under Texas law, most employers are limited to a seven-year criminal background check for positions paying under $75,000. If the position will pay more than $75,000, employers are entitled to check the applicant's criminal background back to the age of eighteen.
What is discrimination in EEOC? ›
The laws enforced by EEOC protect you from employment discrimination when it involves: Unfair treatment because of your race, color, religion, sex (including pregnancy, gender identity, and sexual orientation), national origin, disability, age (age 40 or older), or genetic information.
What is a level 2 background check in Texas? ›
Level 2 Background checks refer to a state and national fingerprint based check and consideration of disqualifying offenses by law as holding positions of responsibility or trust.
How far do most background checks go back? ›
In most cases, the lookback period for criminal background checks is seven to ten years. These checks can turn up publicly available arrest records, court records and criminal records for felony arrests and convictions as well as pending cases.
What matters most in a background check? ›
Criminal Backgrounds
The biggest red flag in a background check is a criminal history. Background checks show different types of offenses depending on the type of check. They may involve national, federal, state, or county databases.
Do background check companies call previous employers? ›
Most will call just to confirm you actually worked at where you worked, and the person you listed there knows who you are, or they too legitimately worked there if they no longer do. It's rare you'll find an employer wanting to know more beyond that. Does a background check typically contact your current employer?
What does level 1 mean on a sterling background check? ›
Getting a level one background check means that the potential employee's personal details are verified. A level one check may also check for aliases that the applicant has used based on their date of birth, social security number and birth date.
What is a red flag on background check? ›
A red flag in a background check is anything alarming or concerning about a person's past. This could be a history of breaking the law, lying about work experience or education, or other serious issues. However, not all red flags are the same. Some might be small and not that serious, depending on the job.
The Texas Department of Public Safety charges $15 to conduct a fingerprint-based check. (The FBI will not conduct a fingerprint-based check until the requesting state conducts one). The FBI charges $13.25 to conduct a fingerprint-based check ($11.25 for foster and adoptive parent applicants and volunteers).
Does onboarding mean I passed the background check? ›
They are hired when they are sworn in and have taken the oath of office, which usually happens on the first day on the job. Yes, you just have to do training. But if you were given your onboarding info to fill out that means your background check was good which is why you received the next step which is onboarding.
What is the burden of proof for EEOC discrimination? ›
Who Has to Prove Discrimination Occurred? The burden of proof ultimately rests with the aggrieved person at all times; however, there is a three- step process utilized by the EEOC and the courts when deciding if discrimination occurred or not.
How does HR handle discrimination? ›
Investigation and Resolution: Once a report is received, HR conducts a thorough investigation. This involves interviewing the parties involved, gathering evidence, and assessing the situation impartially. If the investigation confirms the occurrence of discrimination, HR takes appropriate action.
What qualifies as discrimination? ›
Employment discrimination generally exists where an employer treats an applicant or employee less favorably merely because of a person's race, color, religion, sex, sexual orientation, gender identity, national origin, disability or status as a protected veteran.
Does criminal record clear after 7 years in Texas? ›
This is true even if the charges were dismissed, you were found not guilty, or you successfully completed deferred adjudication. There is a common myth that criminal charges are automatically removed after 7 years, however, this is simply not true.
What is the Texas 7 year rule? ›
The Seven-Year Rule for Criminal Background Checks in Texas
According to 15 U.S. Code § 1681c, when you have a criminal arrest on your record, reporting agencies are prohibited from including it on the report if the arrest was more than seven years old. This does not apply to convictions.
How does the 7 year rule work? ›
The 7 year rule
No tax is due on any gifts you give if you live for 7 years after giving them - unless the gift is part of a trust. This is known as the 7 year rule.
