OILFIELD BUSINESS: HUMAN RESOURCES
Employers must also make sure they are treating everyone equally. The EEOC considers background checks based on a protected class, such
as race or national origin, to be illegal.
The EEOC also does not want employers to have a blanket policy of performing criminal background checks on all applicants. Instead, the
employer must be able to show there is a business necessity for the check. For example, it may be difficult for an employer to prove a business
necessity to perform a background check on an applicant for a position as the company’s receptionist or for someone who will only perform
general labor for the company. Conversely, it is much easier to show a business necessity in the event the employee will work in a customer’s
residence or will handle money for the company.
FCRA Processes
As mentioned above, the FCRA has strict processes that must be followed when employers use third party credit reporting agencies to
perform background checks on applicants or existing employees. Applicants or employees must be given separate written notices concerning their rights under the FCRA and that the employer may use information in the report that could affect their employment. The employer
must also obtain written consent from applicants or employees to perform the background checks.
In the event the resulting background report reveals information that may affect the employability of an applicant or existing employee, the employer must provide the applicant/employee with
what is commonly referred to as the “Pre-Adverse Action” notice. This notice informs applicants
and employees that their background reports contain derogatory information that may affect
their employment. A copy of the background check