Employment Screening And Background Checks On Independent Contractors

The screening of independent contractors is an often overlooked screening issue.

Most companies recognize the liability arising from independent contractors when it comes to workers’ comp and other insurance issues, but businesses must also consider that allowing independent contractors access to company personnel, records and property can produce the same liabilities to the company as any other employee might.

Therefore, a background check on all independent contractors is a major risk management consideration.

The bookkeeper might be treated as an independent contractor.

Other than modifying the authorization form from employee to independent contractor, do you take any other steps for screening contractors who will NOT be employees?

Therefore, a background check on all independent contractors is a major risk management consideration.

The bookkeeper would be treated as an independent contractor.
Other than modifying the authorization form from employee to independent contractor, do you take any other steps for screening contractors who will NOT be employees.

As to releases, please see the FTC staff opinion letter reproduced below.

A client requested a background search on a new bookkeeper they were hiring.

FTC Opinion Letters on point regarding independent contractors:

http://www.ftc.gov/os/statutes/fcra/allison.shtm

http://www.ftc.gov/os/statutes/fcra/solomon.shtm

Barring, duress or coercion, it seems to me that the authorization was legally obtained and is legally valid (assuming it was a separate document and contained all the requisite language.)

That said, if the consumer  attempts to revoke the authorization during the background check process, it would be reasonable to cease the background check.

However, anything already processed/completed would seem to have been legally obtained and anything already provided to the client would also seem to have been legally provided.Vincent J. Pascarella, Esq., SPHR 

Our Automated Employment Screening provides an applicant controlled process that allows; FCRA compliant background check forms, including Electronic Chain-Of-custody  forms and  releases to be completed online by the applicant.

We provide several short videos to easily acquaint you with the system.This makes the background check process fast and easy.

Call Us now at    800-459-3034  and begin ordering instant driving records and background checks within minutes or:

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Disclaimer

None of the information contained in this web site should be construed as legal advice. All forms, policies, information and procedures should be reviewed by your legal counsel before being used in any way.

Updated 05/2021

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