Privacy Issues in the Workplace

 Upon written request by the applicant (made within a reasonable period of time after the receipt by the applicant of the above disclosure), the employer must make a complete and accurate disclosure of the nature and scope of the investigation that the consumer reporting agency has been requested to perform. 60  Prior to taking an adverse action (a denial of employment or any other decision for employment purposes that adversely affects any current or prospective employee) 61 based in whole or in part upon the report, the employer shall provide to the applicant a copy of the report, as well as a written description of the rights of the employee as prescribed by the Federal Trade Commission. 62  Upon taking adverse action, an employer must provide oral, written, or electronic notice of: 1) the adverse action to the applicant, 2) the name, address, and telephone number of the consumer reporting agency that furnished the report, 3) the applicant’s right to obtain a free copy of the report, 4) the applicant’s right to dispute the accuracy or completeness of any of the information in the report. The employer must also notify the applicant that the consumer reporting agency did not make the decision to take the adverse action and that it is unable to provide the consumer the specific reasons why the adverse action was taken. 63  The employer may not use the report for any purpose other than that for which it was authorized by the applicant to be procured. 64 ii. Restrictions on Information in Consumer Report There are strict limitations on the types of information that may be included in a consumer report. 65 The following is a list of the categories of information which must be excluded:  Cases under Title 11 or under the Bankruptcy Act that, from the date of entry of the order for relief or the date of adjudication, as the case may be, pre-date the report by more than 10 years.  Civil suits, civil judgments, and records of arrest that, from date of entry, pre-date the report by more than seven years or until the governing statute of limitations has expired, whichever is the longer period.  Accounts placed for collection or charged to profit and loss, which pre-date the report by more than seven years.  Any other adverse item of information, other than records of convictions of crimes which, pre-dates the report by more than seven years.  Paid tax liens which, from date of payment, pre-date the report by more than seven years. NOTE: There are also significant restrictions placed upon consumer reporting agencies, including the obligation to reinvestigate matters included in a report which are disputed by an applicant.

The above limitations do not apply when a report will be used in connection with the employment of any individual at an annual salary which exceeds $75,000. 66

Privacy Issues in the Workplace ©2021 (s) Liebert Cassidy Whitmore 23