How vulnerable is your company to class action litigation?

Partnering with a reputable background screening company is an investment in your business!

Consider the following facts.

  • Negligent Hiring:
    • $1 million is the average settlement in a negligent hiring lawsuit
    • 13% of workplace fatalities in one year were the result of assaults and violent acts by an employee. (U.S. Department of Labor)
  • Fraud: According to a 2016 report by the Association of Certified Fraud Examiners:
    • 5% of a corporation’s annual revenues is lost to fraud
    • $150,000 is the median loss from a single case of occupational fraud.
    • 23% of occupational fraud cases resulted in a loss of at least $1 million
  • Fines for FCRA non-compliance:
    • $6 Million             Publix Super Markets
    • $5.7 Million         AutoZone
    • $4 Million             Dollar General
    • $3 Million             Home Depot
    • $3 Million             Red Lion

Need help designing your background screening program or do you need to “tune up” your current program? If so, click here.

Learn the differences between County Criminal, State Criminal, Federal Criminal and “National” Criminal checks by speaking with your Cisive representative today at 1-866-557-5984.

CARCO Group Announces Corporate Rebranding, Introduces Cisive Family of Brands

CARCO Group, Inc., a leading provider of tech-enabled and compliance-driven human capital management solutions, is changing its name to Cisive to better communicate its focus on clear and accurate insights for its HR solutions, security and insurance/fraud prevention clients. As the parent company for all of its businesses, Cisive will house the CARCO and Driver IQ brands and continue its mission to help clients identify fraud and reduce risk through innovative technology.

Building on the success of its HR onboarding, background screening and investigation business, the company is rebranding to keep pace with its growth and drive innovation across the human resource capital management market. The CARCO brand will focus exclusively on pre-insurance vehicle inspections and fraud prevention.

“This is an exciting time of innovation and growth for our company. Cisive (think decisive!) stands for clear and accurate insights that give our clients confidence in their most critical decisions while protecting their brand and reputation,” said Jim Owens, CEO and President of Cisive. Owens further stated, “It has become harder and more complex to determine relevant facts in a world where instant information rules. Decision making is more important than ever, made even more challenging by an ever-growing number of sources, some credible, others not. Further, today’s businesses demand an experience best delivered by technology integrated with human insight.”

Throughout the company’s history, the world’s most prestigious organizations have turned to Cisive for the most accurate and legally compliant background screening and pre-insurance vehicle inspections. As the business environment grows ever more complex, Cisive will continue its focus on information accuracy to ensure clients receive clear and accurate insights in order to make confident business decisions.

The Cisive brand includes the following business divisions:

Cisive, the new name of the HR technology, human resource management solutions and background investigation business lines.

CARCO, the leader in the pre-insurance vehicle inspection and fraud prevention market. The CARCO name will now be focused exclusively on vehicle inspections and fraud prevention.

Driver iQ, the leader in screening for the trucking industry.

The Cisive family of brands will retain the established values and commitment to great customer service that its clients have come to know and expect over the years.

For more information, visit www.cisive.com.

About Cisive

Cisive is a leading provider of tech-enabled and compliance-driven human capital management and risk management solutions. The company’s core onboarding and pre-employment background screening offering provides clients with a high quality, regulatory compliant and tech-enabled solution. Cisive currently serves clients across the financial services, transportation and media and telecom end-markets, among others, and offers transportation clients a comprehensive, industry-focused solution through its Driver iQ branded offering. Cisive is headquartered in Holtsville, NY and has office locations in Spring Lake, NC, Tulsa, OK, and Tustin, CA.

 

Rite Aid Seeks Dismissal of Job Applicant Background Check Class Action

rite-aid-logoOn December 6th, Rite Aid filed a motion to dismiss a proposed FCRA class-action in the U.S. District Court for the Eastern District of Pennsylvania.

According to the complaint, Rite Aid violated the FCRA by allegedly failing to allow job applicants to challenge inaccurate or misleading reports after they were rejected for employment. The Defendant claims that the case should be dismissed because the Plaintiff, Kyra Moore, already settled claims with the background screening company.

Prior to applying for a job at Rite Aid, Moore was employed by CVS from 2006 to 2010. She signed a statement and was dismissed from her employment with CVS when a loss prevention officer confronted Moore about missing store stock.

In 2011, Moore applied for a store supervisor position at Rite Aid, which subjected her to a background screening by Lexus Nexus. Moore contends she was disqualified from employment at Rite Aid in April 2011 because of her signed statement regarding the alleged theft at CVS. However, according to Moore, a copy of that statement was not provided to her along with Rite Aid’s adverse action notice.

Rite Aid argues that in her complaint, Moore alleges that the background screening company acted as Rite Aid’s “agent” for purposes of the FCRA. Since Moore settled claims with the background screening company, any claims arising from the acts of Rite Aid’s agent, releases the company from alleged FCRA violations.

Rite Aid says Moore is now trying to “milk her claims for maximum personal benefit,” pointing to the fact that in 2013 Moore already filed two class actions and an EEOC proceeding.

 

Moore v. Rite Aid Hdqtrs Corp. et al., case number 2:13-cv-01515, in the U.S. District Court for the Eastern District of Pennsylvania.

Sweeping immigration law changes are coming! Know your responsibility as an employer.

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All indications are that the new President’s key initiatives will include sweeping changes in immigration. According to immigration law, employers have certain responsibilities during the hiring and background screening processes. Federal law requires that every employer who “recruits, refers for a fee, or hires an individual for employment in the U.S. must complete Form I-9 Employment Eligibility Verification,” according to the Department of Homeland Security (DHS).

It’s time to review your I-9 program and ensure it is compliant. Here’s why.

  • Monetary penalties for knowingly hiring and employing undocumented workers can be up to $16,000 per violation.
  • Penalties for technical violations, including failing to produce a Form I-9, can be up to $1,100 per violation.
  • Criminal penalties can be up to 6 months in prison for engaging in a pattern or practice of hiring, recruiting or referring for a fee unauthorized aliens.

Immigration and Customs Enforcement’s (ICE) audits are serious. In 2015, Hartmann Studios was hit with the largest fine ever ordered$605,250 – for more than 800 I-9 paperwork violations. Most of the violations were due to repeated failure to sign section 2 of the I-9 form. Employers need to have an audit proof process to ensure forms are properly completed and retained.

As part of our Onboarding Solution, CARCO can facilitate an electronic Form I-9 process (using e-signature technology) AND complete the E-Verify process through an interface with the DHS. The results of this process are available to clients within seconds. The employee’s I-9, along with the supporting documents, are then stored in compliance with ICE requirements.

In addition to the mechanics of providing the documents, CARCO’s I-9 solution allows its clients to achieve a far higher level of compliance than would otherwise be possible by having e-mail reminders, reporting, and e-mail escalation notices if these tasks are not complete.

Now is a good time to review your I-9 process with a CARCO Specialist to ensure compliance. Contact us a 1-866-557-5984 or click here to receive more information.

Don’t forget that the new Form I-9 must be used starting January 21, 2017.

 

 

Do You Know Who You Are Hiring? CARCO Can Help!

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25.3% of employee theft includes amounts stolen of $1M and up.
75% of employees have stolen from their employers at least once.
33% of all business bankruptcies are caused by employee theft.
2 years is the average time office fraud lasts before being detected.

(Source: Static Brain Survey) 

Do these numbers shock you? They should!

KNOW WHO YOU ARE HIRING!

At CARCO, our screening accuracy rate is the highest in the industry at 99.996%.

Contact CARCO at 1-866-557-5984 or click here to speak with a CARCO Specialist.

The Importance of Thoroughly Vetting Your Background Screening Provider: Man Wins $3.6M for FCRA Violation by a Background Screening Company

According to an article in The Gainesville Sun, a background screening company twice misidentified Richard Williams of Chiefland as Ricky Williams, a Delray Beach man convicted of aggravated battery on a pregnant woman in Broward County and arrested on charges of selling cocaine in Palm Beach County. The two men have the same birth date.

After receiving the report from the first company, Williams followed the proper procedure and filed a dispute. When he applied for a different job, this time at Winn-Dixie, the same background screening company processed his background check and made the same mistake!

To receive punitive damages, Williams’ attorney had to prove that the background screening company’s mistakes were done willfully. The attorney had to essentially prove that the company did not follow its own procedures for people with common names or set up an effective procedure for someone already misidentified once in its system. The attorney was able to prove that the process did not make use of available reports that show Social Security numbers or address histories. Publicly available records from the Department of Corrections showed that Ricky Williams was in jail in Broward County when Richard Williams applied for the job at Winn-Dixie.

The above issue is a prime example of why employers should fully vet the consumer reporting agency that provides background screening services for their company. Some of the largest companies are constantly embroiled in class action lawsuits for FCRA violations. A simple Google search shows pages and pages of disputes. The background screening company in this article alone has been involved in over 17,300 disputes from 2009 – 2013.

It is important to know that not all background screening companies have the same processes. It is especially important to work with a company that uses only official sources of data and confirms all information from online databases with the courts.

Here’s how to do background checks right:

  1. Never rely on 3rd party databases to complete criminal record checks.
  2. Never report the raw results of an inadequate database search.
  3. Take the extra steps that protect clients and their candidates by verifying through secondary documentation or sources all potentially adverse information contained in a background report. (At CARCO, we re-verify adverse information up to five times prior to dissemination.)

For more information on how to ensure your background screening program is done right, contact a CARCO Specialist at 1-866-557-5984 or click here.

To read The Gainesville Sun’s article in full, click here.

 

 

Need Help Preparing Your Background Screening RFP? CARCO Can Help!

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As the New Year approaches, it’s time to review your HR technology and background screening partnerships, define what you are seeking in those partnerships in 2017, and prepare a detailed Request For Proposal (RFP).

At CARCO, we know that preparing a Request For Proposal (RFP) can be a daunting task. CARCO CAN HELP!! We have the knowledge and experience to know what vendors need to know about your background screening process in order to bid accurately. We’ve been there thousands of times! Good bids lead to good working relationships.

Let us help you create a well composed RFP.

We have consulted with many of the Fortune 1000 companies in creating robust background screening RFPs by helping them:

  • Take the lead role in the RFP process (don’t allow non-HR units to run the entire RFP process)
  • Know industry trends
  • Audit their current processes
  • Understand new legislation
  • Create decision-making stakeholder committees
  • Address differentiators between vendors
  • Understand how background checks are performed
  • Keep their RFP in compliance with the FCRA
  • Ensure that QUALITY IS KEY in selecting a background screening vendor

Interested in learning more about how CARCO can help you create a meaningful, well-prepared background screening RFP?  Let us show you how!

Contact a CARCO Specialist at 1-866-557-5984 or click here for more information.

Robert Half Int’l Hit With Class Action Suit for FCRA Violations

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On October 21st, a proposed class action was filed against Robert Half International, Inc., a staffing agency, for allegedly violating the FCRA.

The Plaintiff alleges that he was denied employment based on a background report containing inaccurate information, including a felony robbery conviction, and that he never had a chance to dispute the information in the report.

According to the complaint, “As a result of [Robert Half]’s actions, Plaintiff and the members of the class have been deprived of their consumer rights and have been prevented from timely and effectively contesting the adverse action.”

The proposed class includes anyone who was subject to an adverse action over the past five years based on consumer reports procured by Robert Half and who were not given the opportunity to dispute the reports’ findings in advance. The lawsuit seeks damages between $100 and $1,000 per violation per class member.

We keep seeing the same type of class action lawsuit over and over again. Keep your company out of harm’s way by making sure your hiring process is completely compliant.  CARCO can help!

Click here for more information or call 1-866-557-5984 to speak to a CARCO Specialist.

 

Black v. Robert Half International, Inc., case number 3:16-cv-06077, in the U.S. District Court for the Northern District of California.

NEW DOJ/FTC ANTITRUST GUIDANCE FOR HR PROFESSIONALS

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The Department of Justice and the Federal Trade Commission recently published a Guide to alert HR professionals and others involved in hiring and compensation decisions to potential violations of the antitrust laws.

This is a must read for all HR professionals as the DOJ has sued several companies for violations. The guidance discusses in detail:

  • Antitrust laws establish the rules of a competitive employment marketplace
  • Agreements among employers not to recruit certain employees or not to compete on terms of compensation are illegal.
  • Avoid sharing sensitive information with competitors

The Antitrust Guidance also contains a Questions and Answers section. Below is a sample of what this section covers.

    Question: I work as an HR professional in an industry where we spend a lot of money to recruit and train new employees. At a trade show, I mentioned how frustrated I get when a recent hire jumps ship to work at a competitor. A colleague at a competing firm suggested that we deal with this problem by agreeing not to recruit or hire each other’s employees. She mentioned that her company had entered into these kinds of agreements in the past, and they seemed to work. What should I do?

    Answer: What that colleague is suggesting is a no-poaching agreement. That suggestion amounts to a solicitation to engage in serious criminal conduct. You should refuse her suggestion and consider contacting the Antitrust Division’s Citizen Complaint Center or the Federal Trade Commission’s Bureau of Competition to report the behavior of your colleague’s company. If you agree not to recruit or hire each other’s employees, you would likely be exposing yourself and your employer to substantial criminal and civil liability.

Click here to read the Antitrust Guidance.

It has always been CARCO’s mantra that Compliance is KEY in every aspect of your hiring process.

To learn how CARCO keeps your hiring process compliant in every way, click here or speak to a CARCO Specialist at 1-866-557-5984.

 

Are you looking for an Onboarding Experience that is Candidate-Centric?

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Are you looking for an Onboarding Experience that is Candidate-Centric?

CARCO can help!

 

We are all about making the onboarding and background screening process of your new hires as easy and efficient as possible via our industry-leading technology.

New hire productivity is critically important for every organization. Too often new hires begin their experience burdened with cumbersome paperwork!

Let CARCO take the onerous, paper-based new hire process out of your hands and make it completely automated and compliant. CARCO’s Onboarding Solution will streamline your process, reduce time-to-fill and provide your applicants an efficient and positive onboarding experience with your company before they even start!

To view a demo of CARCO’s Onboarding Solution, click here.

To learn more about the CARCO’s industry-leading HR Technology, click here or speak to a CARCO Specialist at 1-866-557-5984.