Los Angeles County's Fair Chance Ordinance: A Comprehensive Guide

What is the Fair Chance Ordinance?

The Los Angeles County Fair Chance Ordinance, effective September 3, 2024, expands California’s existing “Ban the Box” law. It imposes stricter regulations on employers in unincorporated areas of LA County regarding criminal background checks.

Who Does It Affect?

The ordinance applies to employers with five or more employees who operate within the unincorporated areas of Los Angeles County. This includes businesses of all sizes, from small businesses to large corporations.

Key Provisions of the Ordinance:

The ordinance speaks to a few different areas of hiring. Let’s break it down per section:

• Job Postings:
  • Employers must include a statement in job postings indicating that qualified applicants with arrest or conviction records will be considered for employment.
  • Employers must specify any laws that restrict or prohibit hiring individuals with certain criminal histories.
  • Employers must list all “material job duties” that could be negatively impacted by a criminal history.
• Conditional Job Offers and Background Checks:
  • Employers cannot inquire about criminal history before extending a conditional job offer.
  • If a background check is conducted, the employer must provide a written notice to the applicant, explaining the reasons for the check and the types of information that will be reviewed.
  • Employers must provide a copy of the background check report to the applicant before discussing any criminal history information.
• Individualized Assessment:
  • Employers must conduct an individualized assessment of an applicant’s criminal history to determine if it has a “direct, adverse, and negative bearing” on their ability to perform the job.
  • If an adverse action is considered, the employer must provide a preliminary notice to the applicant, allowing them to respond and provide mitigating factors.
  • A second individualized assessment must be conducted after considering the applicant’s response.
• Notice and Recordkeeping:
  • Employers must post a notice about the ordinance at workplaces and on company websites.
  • Employers must maintain records of job postings, employment decisions, and criminal history information for four years.

What Could Happen If You’re Non-Compliant?

Non-compliance can negatively impact an employer’s reputation. This has a trickle-down effect! It can hurt business opportunities, hiring, and overall success.

Beyond that, there are monetary impacts too. Employers who violate the ordinance may face penalties of up to $20,000 per violation. Additionally, individuals harmed by violations of the ordinance may file civil lawsuits.

How Can Employers Stay In Compliance?

If you hire in LA county and you’re concerned about being non-compliant, there are a few things you can do:

1. Review and Update Hiring Policies and Procedures: Ensure that your policies and procedures align with the requirements of the ordinance.
2. Train HR Personnel: Train HR staff on the specific requirements of the ordinance to ensure compliance.
3. Consult with Legal Counsel: Seek legal advice to understand the specific implications of the ordinance for your business.
4. Stay Informed: Keep up-to-date on any changes or updates to the ordinance.

By understanding and complying with the Los Angeles County Fair Chance Ordinance, employers can avoid potential legal issues and promote fair hiring practices.

What’s Next?

The Los Angeles County Fair Chance Ordinance represents a significant step towards promoting fair hiring practices and reducing barriers for individuals with criminal records. By understanding and adhering to the ordinance’s requirements, employers in the region can ensure compliance and build a more inclusive workforce.

Partnering with a reputable background screening provider can help streamline the process, minimize risk, and ensure that your hiring practices align with the Fair Chance Ordinance. By staying informed and taking proactive steps, employers can navigate the complexities of this new legislation and create a more equitable hiring process.

By understanding and complying with the Los Angeles County Fair Chance Ordinance, employers can avoid potential legal issues and promote fair hiring practices.