CONTINUED RESTRICTIONS ON CREDIT INFORMATION
Restrictions continue to mount on the use of credit information during the employment process. If you are currently using credit reports as a component in your screening process, please note state legislation is continuing to increase. Currently, 39 bills in 20 states and the District of Columbia have been introduced or are pending in the 2012 legislative session. Out of the total 39 bills, 38 address restrictions on the use of credit information in employment decisions. The total number of states that limit employers' use of credit information in employment is now eight: California, Connecticut, Hawaii, Illinois, Maryland, Oregon, Washington, and most recently Vermont.
For a complete detailed list on the state laws please visit our website.
NEGLIGENT HIRING AND SCREENING
Across the country negligent hiring and retention laws hold employers liable for willful misconduct by their employees. Failure to screen prospective employees for criminal history and substance abuse can cost millions.
A furniture company was found liable for $2.5 million for negligent hiring and retention of a deliveryman who savagely attacked a woman customer in her home. -Tallahassee Furniture Co., Inc. v. Harrison
An employee with a criminal record sexually assaulted a child; $1.75 million awarded for negligent hiring and retention. -Doe v. MCLO
An employer settled for a $2.5 million suit seeking to hold it liable for negligent hiring, and entrustment of an intoxicated security guard. The guard had an on-duty traffic accident in a company car which killed him and another motorist. -Butler v. Hertz Corp
The minimal costs to screen a prospective employee can far out way the costs associated with not screening. For complete information on background screening, visit our webpage or give us a call at 760-244-6886.
