California Fair Chance FAQs and Updates

The California Department of Fair Employment and Housing (the “DFEH”) has published FAQs for the state’s Fair Chance Act (the “FCA”). The FCA, which took effect in 2018, includes prohibitions on inquiries into an individual’s criminal history prior to a conditional job offer, limitations on what types of records may be considered, and requirements for employers to complete individualized assessments, among other requirements intended to remove barriers to employment.

The FAQs provide a general overview of the FCA’s intended purpose in addition to detailed insights into who it applies to, what it prohibits and permits, and how complaints should be filed.

The full text of the FCA can be found here. The full text of the FAQs can be found here.

In addition, the DFEH updated regulations to incorporate the FCA into their rules regarding consideration of criminal history. Effective October 1, 2020, this update also included the following clarifications:

  • The definition of “applicant” was expanded to cover individuals who have been conditionally offered and commenced employment subject to post-conditional offer review, noting that the FCA continues to apply to these individuals
  • The FCA’s scope applies to labor contractors and union hiring halls when admitting workers to pools and inclusion lists
  • Participation in diversion programs, although not permitted to be considered in employment decisions, may be considered as evidence of rehabilitation or mitigating circumstances

California employers should review their screening and onboarding practices and consult with their legal counsel regarding their compliance with the FCA. Sterling clients who would like to learn about solutions that are available to assist them in meeting their obligations in California should contact their account representative

The information contained herein is for informational purposes only. Clients are encouraged to consult with their legal counsel on the impact of this new law.  Sterling is not a law firm, and none of the information contained in this notice is intended as legal advice.

This and other important legislative updates can be found on the Sterling website on the Compliance Updates page.

Sterling default reference questionnaire removes pronouns and helps you stay complaint

Sterling is rolling out a new default personal and professional reference verification questionnaire.

Effective immediately, our newly formatted questionnaire removes pronouns, is less opinion-based, and is more pertinent with fact-based questions leading to better insights for more informed hiring decisions. Additionally, our default multiple-choice responses are designed to only gather reportable information, whereas open-ended responses may contain protected class information that cannot be reported based on Equal Employment Opportunity (EEO) regulations.

Important Update: FMCSA annual query reminder

As part of the Federal Motor Carrier Safety Administration (FMCSA) Clearinghouse rule that went in effect January 6, 2020, FMCSA-regulated employers must conduct Clearinghouse database queries for violation information:

  • Pre-Employment Full Access QuerySterling’s query of the FMCSA Clearinghouse database will check if a prospective employee is prohibited from performing safety sensitive functions due to an unresolved drug and/or alcohol program violation. The service also covers ad-hoc employer query requests.
  • Annual Limited Access Query. Sterling’s query of the FMCSA Clearinghouse database will check if a current employee is prohibited from performing safety sensitive functions due to an unresolved drug and/or alcohol program violation. If a record is found, a full access query will be initiated.

As we near the end of the calendar year, this is a friendly reminder to please complete your annual queries. If you have any questions, please contact your Sterling Client Success representative.