Are Your Adverse Action Letters Current? It Depends on Your State

Changes to state and city laws could mean an employer’s current adverse action policies are no longer in compliance with legislation. Under the Fair Credit Reporting Act (FCRA), a preliminary adverse action letter must include a copy of the report, contact information of the reporting agency, and a summary of the person’s rights under the FCRA. After the preliminary notice has been sent and an employer determines that adverse employment action will be taken, specific information must be provided to the applicant. In addition to the FCRA, employers must also pay attention to state and local legislation that places additional requirements and limitations on the timing of background checks, criminal record inquiries, and subsequent adverse action.


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Posted Under: Legal Issues

Post By Ken Shafton (2,322 Posts)