Join Curt Schwall, Vice President of Compliance and Regulatory Affairs at EBI and learn what it takes to run a top-notch background check program that ensures you stay compliant.

1. Simplify Your
Background Check &
Compliance Process
+

2. ● More than 20 years of experience in the screening industry
● Serving third term on the Board of Directors for the National
Association of Professional Background Screeners (NAPBS)
● At EBI, Curt oversees state, federal and global regulatory
and compliance initiatives, US Privacy policies, and
vendor management
Curt Schwall
Vice President of Compliance and Regulatory Affairs
linkedin.com/in/curt-schwall-ccep-88a82a47

3. Disclaimer
The information contained within this presentation is for general
informational purposes only and does not constitute legal advice.
Participants are advised to contact professional legal counsel for legal advice.

4. 01. Creating and Maintaining an Effective Background Check Policy
02. The 10 Steps to Creating Your Background Check Policy
03. Understanding Your Compliance Obligations
04. Making an Employment Decision Based on Consumer Reports
05. Q&A
Agenda

5. 01. Creating and Maintaining an Effective
Background Check Policy

6. ● Background checks are complicated!
● Policy Benefits:
– Program Consistency
– Documentation of Compliance Policies and Procedures
– Risk Mitigation
● And…
Why You Need a Policy

8. 02. The 10 Steps to Creating Your
Background Check Policy

9. Step One
1. Company Statement

10. Step Two
1. Company Statement
2. Program Oversight

11. Step Three
1. Company Statement
2. Program Oversight
3. Background Check Services

12. Step Four
1. Company Statement
2. Program Oversight
3. Background Check Services
4. Background Check Packages

13. Step Five
1. Company Statement
2. Program Oversight
3. Background Check Services
4. Background Check Packages
5. Ordering Process and Compliance

14. Step Six
1. Company Statement
2. Program Oversight
3. Background Check Services
4. Background Check Packages
5. Ordering Process and Compliance
6. Report Evaluation Process

15. Step Seven
1. Company Statement
2. Program Oversight
3. Background Check Services
4. Background Check Packages
5. Ordering Process and Compliance
6. Report Evaluation Process
7. Adverse Action Process

16. Step Eight
1. Company Statement
2. Program Oversight
3. Background Check Services
4. Background Check Packages
5. Ordering Process and Compliance
6. Report Evaluation Process
7. Adverse Action Process
8. Document Retention

17. Step Nine
1. Company Statement
2. Program Oversight
3. Background Check Services
4. Background Check Packages
5. Ordering Process and Compliance
6. Report Evaluation Process
7. Adverse Action Process
8. Document Retention
9. Privacy Protection

18. Step Ten
1. Company Statement
2. Program Oversight
3. Background Check Services
4. Background Check Packages
5. Ordering Process and Compliance
6. Report Evaluation Process
7. Adverse Action Process
8. Document Retention
9. Privacy Protection
10. Policy Review and Approval

19. 03. Understanding Your
Compliance Obligations

20. Laws
● Federal Law
– Fair Credit Reporting Act
– Fair and Accurate Transaction Act
● State Law and Local Laws
– Ban the box
– Adverse Action Requirements
– Disclosure Laws

21. Compliance Obligations –
Disclosure and Authorization
● Disclosure Form
– FCRA: The disclosure must consist solely of the disclosure
– Ninth Circuit Court Ruling: Gilberg v Cal. Check Cashing Store, LLC
● Authorization Form
● State Disclosures
– California
– Washington
– New York (Article 23-A)
● Federal Summary of Rights

22. Compliance Obligations –
Adverse Action Process
● PRIOR to a Final Decision
– Do not indicate a final adverse decision has been made until the end of the process
● Pre-Adverse Process
– Notice
– Copy of the consumer report
– Copy of a summary of your rights under the fair credit reporting act
– Determine appropriate waiting period
● Halt process for a dispute
● Adverse action notice

23. Adverse Action Process –
New State and Local Requirements
● Reason for denial
● Required language in notices
– Pre-Adverse Action Notice
– Adverse Action Notice
● Individual Assessment Forms
● Required time frames between notices
● State notices
● Inclusion of your background check policy

24. Adverse Action Process –
Reason for Denial Jurisdictions
● Prospective employers must include a potential reason for denial in the following jurisdictions:
– New York City, NY
– Prince George’s County and Montgomery County, MD
– Philadelphia, PA
– Austin, TX
– Seattle, WA
– Portland, OR
– Both, California and Massachusetts
(for statewide criminal record checks obtained through DJIS/CORI)

25. Adverse Action Process –
Special Notice Requirements
● Pre-Adverse Action Notes
– State of Massachusetts (DCJIS/CORI)
– State of California
i. City of Los Angeles (additional)
ii. City of San Francisco (additional)
– New York City
● FINAL Adverse Action Notices
– State of California

26. 04. Making an Employment Decision
Based on a Consumer Report

27. Evaluation Basics
● Identify report evaluator(s)
● Individualized Assessment
– Do NOT have automatic disqualifiers
● Scoring Matrices / Models
– Pass / Review

28. Good News!

29. EEOC Factors: Things to Know
● The facts and circumstances surrounding the offense
● The number of offenses for which the individual was convicted
● The age of the individual at the time of conviction or release from prison
● Evidence that the individual has performed the same type of work post-conviction
– With the same or different employer
– Without incidents of criminal conduct
● The length and consistency of employment history before and after the offense
● Any efforts of the candidate towards rehabilitation
● Employment or character references
● Whether the individual will be bonded for the position

30. Memorialize Your Decision
● Always, always, always… Document Your Decision
● Document decision and reasoning
– “Candidate has a prior history of violence and may present a safety risk to employees and the public.”
– “Candidate applied for a position of trust and has demonstrated previous acts of dishonesty.”
– “Candidate does not have a bachelor’s degree as indicated on job application.”

31. To receive a sample Background Screening Policy
Contact us
cschwall@ebiinc.com
Visit us
www.ebiinc.com
Interested in a 30 Minute
Compliance Review?

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33. Questions and Answers