Two Large Employers Settle Class Action Suits Alleging Violation of FCRA’s “Stand Alone” Requirement

Background Checks, Employment Law & Verdicts, Equal Employment Opportunity Commission, Hiring, Lawsuits

Two large companies have recently agreed to pay out millions of dollars in a settlement over class action lawsuits for alleged violations of the Fair Credit Reporting Act’s authorization and disclosure requirements. Frito-Lay Inc. has agreed to pay $2.4 million to settle a class action lawsuit alleging it violated the FCRA in its use of…

BEST PRACTICES FOR COMPLYING WITH NEW YORK CITY FAIR CHANCE ACT

Background Checks, Credit Checks, Criminal Background Checks, Discrimination, Equal Employment Opportunity Commission, Hiring, Interesting Reading, Job Success, Lawsuits, Productivity

“Given the imminent effective date of New York City’s Fair Chance Act, employers may be wondering what they need to do to comply with the law.  As many employers are aware, effective October 27, 2015, the Fair Chance Act amends the New York City Human Rights Law to prohibit most employers from inquiring about criminal…

CALIFORNIA ACTS TO OUTLAW PRE-EMPLOYMENT MANDATORY AGREEMENTS TO ARBITRATE LABOR CODE CLAIMS

Announcements, Employment Law & Verdicts, Equal Employment Opportunity Commission, Interesting Reading, Job Success, Lawsuits, Legislature, Policy Updates & Changes

“In late August, the California Senate and Assembly passed AB 465, which, if signed by Governor Jerry Brown, will make pre-employment mandatory agreements to arbitrate Labor Code violations against California public policy starting January 1, 2016. AB 465 would create a new statute that prohibits employers from requiring a candidate to “waive any legal right, penalty,…

BMW SETTLES EEOC CRIMINAL BACKGROUND CHECK SUIT FOR 1.6 MILLION

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“BMW Manufacturing Co. L.L.C. will pay $1.6 million to settle a U.S. Equal Employment Opportunity Commission lawsuit that charged it was liable for race discrimination in connection with its former criminal background checks policy, which allegedly disproportionately affected African-Americans, the agency said Tuesday. The 2013 lawsuit filed in U.S. District Court in Spartanburg, North Carolina,…

UBER BACKGROUND CHECKS MISSED CRIMINAL RECORDS

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“The background-check service that ride-hailing company Uber uses to screen potential drivers did not flag the criminal records of 25 drivers who gave thousands of rides to customers in Los Angeles and San Francisco, prosecutors said Wednesday. The findings were made public in an amendment to a consumer protection lawsuit filed last year by the district attorneys…

ANOTHER CIRCUIT COURT RULES PAID SUSPENSION IS NOT ADVERSE EMPLOYMENT ACTION FOR TITLE VII

Criminal Background Checks, Discrimination, Employee Fraud, Employment Law & Verdicts, Interesting Reading, Job Success, Lawsuits

“Addressing an issue of first impression, the federal Third Circuit Court of Appeals (which covers Delaware, New Jersey and Pennsylvania), recently held that an employee’s suspension with pay is not an adverse employment action for purposes of Title VII. In doing so, the Third Circuit has joined several of its sister Circuits across the country, including the…

TRUCKING FIRM TO PAY UP IN EEOC PRE-EMNPLOYMENT EXAM CASE

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“An Indianapolis trucking firm has agreed to pay $200,000 to settle an Equal Employment Opportunity Commission disability discrimination case, in which it was charged with requiring pre-employment medical exams. The EEOC said Tuesday that Indianapolis-based Celadon Trucking Services Inc. violated the Americans with Disabilities Act by subjecting applicants to medical exams before making a conditional…

SCOTUS HOLDS THAT EEOC CONCILIATION EFFORTS ARE SUBJECT TO LIMITED JUDICIAL REVIEW

Announcements, Criminal Background Checks, Discrimination, Employment Law & Verdicts, Equal Employment Opportunity Commission, Interesting Reading, Lawsuits, Legislature

I. Procedural Background and Party Positions “After investigating a gender discrimination claim against Mach Mining, the EEOC determined that reasonable cause existed to believe that the company had engaged in unlawful hiring practices. The EEOC sent a letter inviting Mach Mining and the claimant to participate in informal conciliation proceedings. About a year later, the…

TSA BACKGROUND CHECKS PASS 73 PEOPLE WITH POSSIBLE TERRORIST TIES

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“ Background checks by the Transportation Security Administration cleared 73 people for access to secure airport areas even though their names were on a federal database of possible terrorists, a senior official told a Senate committee Tuesday. The latest security lapse came to light as John Roth, the inspector general at the Department of Homeland Security,…

National Labor Relations Board and Courts Disagree about ‘Joint Employer’ Ruling

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“A divide may be forming between courts and the National Labor Relations Board over the “joint employer” ruling. In a statement issued to The Daily Caller News Foundation Friday, the International Franchise Association argued, “A ruling by a federal judge this week yet again affirmed the definition of ‘joint employer’ as it relates to franchise businesses,…