Compliance

Accuracy, Fairness and Protection

When you work with FYI, you can be assured that we operate in full compliance with the governing standards in our industry.

FCRA Compliance

The Fair Credit Reporting Act (FCRA) is designed to protect individuals by promoting accuracy, fairness, and privacy of information in the files of every Consumer Reporting Agency (CRA). Most CRAs are credit bureaus that gather and provide information about individuals – such as if they pay their bills on time or have filed bankruptcy – to creditors, employers, and landlords. Companies that perform pre-employment screening services, such as FYI Screening, Inc., are also governed by the FCRA, as are the employers that use FYI’s background screening services.

FYI provides FCRA compliance information and online templates of all letters and forms necessary to comply with FCRA employment background screening requirements, including:

  • Applicant Disclosure and Consent forms
  • Adverse Action letters
  • Summary of Consumer Rights

For a full copy of the FCRA and other useful information, visit the Federal Trade Commission’s Website

EEOC Compliance

When making personnel decisions – including hiring, retention, promotion, and reassignment – employers want to consider the background of applicants and employees. For example, some employers might try to find out about the person’s work history, education, criminal record, financial history, medical history, or use of social media. Except for certain restrictions related to medical and genetic information, it’s not illegal for an employer to ask questions about an applicant’s or employee’s background, or to require a background check.

However, any time you use an applicant’s or employee’s background information to make an employment decision, regardless of how you got the information, you must comply with federal laws that protect applicants and employees from discrimination. That includes discrimination based on race, color, national origin, sex, or religion; disability; genetic information (including family medical history); and age (40 or older). These laws are enforced by the Equal Employment Opportunity Commission (EEOC).

In addition, when you run background checks through a company in the business of compiling background information (such as FYI Screening), you must comply with the Fair Credit Reporting Act (FCRA). The Federal Trade Commission (FTC) enforces the FCRA. The following publication explains how to comply with both the federal nondiscrimination laws and the FCRA. It’s also a good idea to review the laws of your state and municipality regarding background reports or information because some states and municipalities regulate the use of that information for employment purposes.

Background Checks – What Employers Need to Know

Employers are advised to consult with their employment attorney regarding the hiring process. This information is to be used strictly as a guide for employers, and should not be deemed as legal guidance or advice. Employers are solely responsible for complying with all local, state and federal laws.