If you’re applying for a job in California, or are a current employee, you should know the state’s rules on background checks are more open than most.
All background checks are subject to the federal Fair Credit Reporting Act, which sets the national standard. Even states such as California, which has its own laws governing background checks, have to follow FCRA rules. In other words, states can give more rights to workers but cannot take them away.
The FCRA rules apply only when a background check is prepared by an outside company. When a third party compiles a report, the FCRA requires a person be notified an investigation may be performed, the person involved must consent and the person should be notified if information in the report is used to make an adverse decision.