Certified Staffing Profesional Practice Exam

Must a company obtain written permission from each job applicant before getting a consumer report?

1. Yes, written permission is required

2. No, it is not required

3. Only for certain positions

4. Only if the applicant is a contractor

The correct answer is: Yes, written permission is required

Obtaining written permission from each job applicant before acquiring a consumer report is a necessary requirement under the Fair Credit Reporting Act (FCRA). This legislation ensures that individuals have control over their personal information and are informed when their background is being checked. The process emphasizes the importance of transparency and consent in the hiring process, which helps build trust between employers and potential candidates. The requirement applies universally to any consumer report used for employment purposes, which encompasses background checks, credit history, and other relevant information that could affect hiring decisions. Thus, having written permission safeguards the applicant’s rights and upholds legal standards intended to protect individuals from unauthorized disclosures of their information. This consent must be distinct and separate from other application materials, signifying the applicant's acknowledgment and understanding of the background check process. By emphasizing the need for written consent, the law aims to promote fair hiring practices and build a better relationship between employers and job seekers.