Effective Jan. 1, 2013, employers must use a revised “Summary of Consumer Rights” notice to comply with the Fair Credit Reporting Act (FCRA).
All businesses that conduct background investigations on applicants and employees must comply with the notification and identify theft provisions of the FCRA.
Under the FCRA, employers are obliged to obtain a background check authorization from an applicant or employee, provide a “Summary of Consumer Rights” notice if the background investigation results in adverse action, and ensure that background check documents are shredded to prevent identity theft. (An “adverse action” is defined as “failure to hire, promote, or transfer an applicant or employee.”)
Violations of FCRA notice requirements can result in penalties up to $2,500 per violation. To help employers ensure their compliance, Personnel Concepts has introduced a comprehensive FCRA Compliance Kit (FCRA-KIT.
This exclusive compliance solution includes an All-On-One FCRA Notification Poster, an FCRA Compliance Guide for Small Businesses, a pad of 25 “Summary of Consumer Rights” Notice & Acknowledgment Forms (to comply with new requirements effective 1/1/2013), and a pad of 25 Background Investigation Authorization Forms.