Source: National Law Review —
The real estate industry, and the people employed in it, build and maintain communities driving domestic growth. Naturally, employers in the real estate world want to know their employees are reliable and trustworthy. Therefore, employers are taking steps, including conducting background checks, to ensure a single hire does not inadvertently cause liability.
Background checks have been the traditional means to ensure quality hires. Background checks are regulated by the Fair Credit Reporting Act, which imposes certain requirements on employers and background check companies, such as requiring authorization, providing a stand-alone disclosure form to employees and job applicants prior to requesting a background check report, and exposure to potential liability for noncompliance.
In light of continuing workforce shortages and ever-changing legal requirements, employers across all areas of the real estate industry are responding with changes to their hiring standards and criteria. In some cases, employers may also have relaxed their previous standards as being outdated or in response to the urgings of state and local agencies to be more lenient when screening out candidates.
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