Maryland Background Check and Ban-the-Box Laws

Incorporating pre-employment background screenings into the hiring process enables companies to make informed hiring decisions and reduce risks by uncovering critical details about prospective employees. However, it is essential for employers to ensure that background checks comply with all applicable federal, state, and local regulations. Continue reading to learn more about background check practices and legislation in Maryland.

What Is a Maryland Background Check?

Employers in Maryland use background screenings to evaluate potential job candidates or volunteers. The specific type of background check performed often depends on the position being filled. Common pre-employment screenings in Maryland include:

• Criminal background checks: These involve searches of national, federal, state, and county records to determine if a candidate has a criminal history. Roles involving vulnerable populations, such as seniors or children, require more comprehensive checks. For example, employees at childcare facilities must undergo extensive criminal record checks, including searches of the state sex offender registry, child abuse and neglect registry, National Sex Offender Registry, and FBI fingerprint checks. State criminal records are obtained through the Maryland Criminal Justice Information System (CJIS).

• Civil court checks: These searches look for lawsuits, bankruptcies, foreclosures, and other civil disputes, often used for managerial or finance-related positions.

• Driving record checks: Maryland motor vehicle records reveal details about an applicant’s license status, driving history, traffic violations, and DUIs. These checks are critical for roles involving vehicle operation.

• Credit checks: These screenings assess a candidate’s financial history, including collections, bankruptcies, and payment behavior. They are typically used for finance-related positions.

• Employment verifications: Employers confirm a candidate’s previous job titles, employment dates, and other work-related information.

• Education verifications: These checks confirm the schools a candidate attended, the dates of attendance, and the degrees they obtained.

How Far Back Do Maryland Employment Background Checks Go?

In Maryland, the depth of a background check is influenced by the type of check being conducted and whether it is carried out by a consumer reporting agency (CRA) or independently by the employer.

• CRAs: The Fair Credit Reporting Act (FCRA) restricts CRAs from reporting certain records beyond seven years, such as arrests without convictions, liens, and civil judgments. Bankruptcies are limited to a 10-year lookback period. However, for positions offering a salary of $20,000 or more, these restrictions do not apply.

• Employer-conducted checks: Employers conducting their own checks are allowed to dig deeper into a candidate’s history to verify education, employment, credentials, or licenses. Specific types of checks include:

  • Criminal records: Maryland law prevents CRAs from reporting adverse information older than seven years, but exceptions exist for roles with salaries over $20,000. Employers should only consider convictions relevant to the role and not expunged or sealed records.

  • Civil court records: CRAs are prohibited from reporting civil lawsuits, judgments, and paid tax liens older than seven years unless the salary exceeds $20,000.

  • Motor vehicle records: Typically, Maryland motor vehicle records cover a three-year period. However, transportation companies like Uber and Lyft must review the entire adult driving history.

  • Credit checks: Consistent with the FCRA, Maryland limits reporting on bankruptcies older than 10 years and collections older than seven years. Jobs paying $20,000 or more are exempt from these limits.

How to Get a Maryland Background Check

Employers in Maryland can either conduct background checks themselves or work with a CRA such as Identify Background Checks. While doing background checks independently may seem cost-effective, it can be time-consuming, prone to errors, and potentially delay the hiring process. Employers must also stay compliant with various federal and state regulations governing background checks.

Using a reputable CRA simplifies the process and ensures compliance with the law. CRAs can conduct thorough screenings more efficiently, accessing various records and databases. They also offer compliance features that help streamline background check reviews and adverse action procedures.

Maryland Background Check Laws

Employers conducting background checks in Maryland must follow the FCRA and Maryland-specific laws that govern the process:

• MD State Personnel and Pensions Code Ann. § 2-203: Public employers in Maryland can inquire about criminal history only after the applicant has been interviewed.

• MD Senate Bill 839: Public and private employers with 15 or more employees cannot ask about an applicant’s criminal record before the initial interview, except for roles involving minors or vulnerable adults.

• MD Commercial Law Code § 14-1203: CRAs cannot report bankruptcies older than 10 years, collections accounts older than seven years, or lawsuits, judgments, and paid tax liens older than seven years, except for roles paying $20,000 or more.

• MD Labor & Employment Code § 3-711: The Job Applicant Fairness Act prohibits employers from using credit reports to make employment decisions unless there is a bona fide job-related reason, such as for managerial positions or jobs involving access to sensitive information.

• MD Labor & Employment Code § 3-712: Employers cannot request job applicants’ or employees’ social media login credentials or other means of accessing their personal accounts.

Ban-the-Box & Fair Hiring Laws

Maryland has implemented several ban-the-box and fair hiring laws designed to ensure that individuals with criminal records are not unfairly excluded from employment opportunities:

• MD Senate Bill 839: Employers must wait until after the initial interview to ask about an applicant’s criminal history.

• Job Applicant Fairness Act: Employers are restricted from using credit history in making employment decisions, with some exceptions for specific roles.

Additionally, many cities and counties in Maryland have enacted their own fair hiring and ban-the-box regulations. Employers should be aware of local laws in addition to state and federal regulations.