A recent spate of class-action suits should remind employers and HR of the steep cost of FCRA violations. Experts say the time is right for employers to reassess their background-checking processes-and the role staffing and consumer reporting agencies play in those processes. With respect to FCRA, the statute “has a lot of technical requirements,” says Veena Iyer, a labor and employment attorney of Nilan Johnson Lewis. “This means there are lots of technical ways to violate the statute, and there’s a lot of plaintiffs’ attorneys who recognize that.” Doug Kauffman, a partner in Balch & Bingham’s labor and employment group, urges employers to follow all the necessary steps in providing individuals with the required notices and information in the event a consumer report influences an employment decision.

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