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Eighth Circuit Says Criminal Convictions Justified Termination of Bank Employees

The Eighth Circuit of Appeals recently concluded that a bank was justified in terminating employees or rejecting applicants based on criminal convictions involving dishonesty. Several minority employees filed suit under Title VII, alleging disparate impact based on race in Williams v. Wells Fargo Bank, N.A., after they were denied employment following criminal background checks. Due to the requirement that FDIC-insured institutions exclude from employment those who have convictions for dishonesty or breach of trust, the bank was found to have business necessity for conducting and acting upon information uncovered by the screenings.

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Posted Under: Legal Issues

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