Four Reasons Why An Employer Might Rescind a Job Offer To A Candidate

INTRODUCTION:

A job seeker asked, ‘Will an employer hold a job offer while waiting for a background check to clear?’

SUMMARY RESPONSE:

Some mistakenly think that a pre-employment background check is for criminal history only. Pre-employment background checks can also verify a candidate’s employment history, driving record, education, credit, residential history, and/or their character.

Before an employer can rescind a job offer for a negative report, the law requires them to administer the pre-adverse action process. This process determines how long an employer must hold a job offer for a candidate’s background check clearance.

This post explores four instances when an employer might consider rescinding a job offer that they have extended to candidate.

SCENARIOS:

Criminal history:

Criminal history is one of the most common reasons why employers rescind job offers.  

Some employers that I’ve worked for have held the job offer for two weeks or more while the selected candidate obtained information related to an unfavorable report. Depending upon the circumstances, they may extend that time frame.

Education:

Specialized career fields may require licensure, certification, or a certain level of education to practice in the field.  So, an employer can typically rescind job offer if they are unable to confirm that the selected candidate possesses the required qualifications.

The great news is that, if the selected candidate lacks only a licensure or certification, or they are currently pursuing it, some employers might allow them to start work, possibly at a lower level or salary, with the condition that they will meet all requirements within a certain time frame.

Work authorization:

Also, regardless of the employer, all employees must be authorized to work in the US.

All Federal Government employees must be citizens. If a Federal agency is unable to confirm their selected candidate’s citizenship, they can legally rescind the job offer.

Many overseas employers also require their employees to obtain work authorization in the country where they will work. I have unfortunately seen some employers have to separate awesome employees because their work authorization expired.

Credit:

Last, but definitely not least, your credit can impact the security of a job offer. Positions that manage or move real or virtual money around likely require good credit. Some employers may only rescind a job offer if their selected candidate’s credit report contains public records. These can include judgements, liens, bankruptcies, repossessions, collections, or foreclosures. The employer may also check active employees’ credit on a regular basis.

IN CONCLUSION:

The public databases that provide information for background checks may contain incorrect or outdated information. This is one reason why the law requires employers to apply the pre adverse action process before they rescind a job offer. Pre-adverse action guidelines usually vary by state and allows the candidate an opportunity to provide documentation related to their background check results. The information provided may clear them to work for the employer, or confirm that they are indeed not eligible to work.

I recommend that everyone conduct a background check on themselves at least once every ten years. If you are about to lose a job offer because of a slow background check clearance or negative information, consult an employment law attorney who can provide you with the appropriate guidance.

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