WASHINGTON — The Federal Deposit Insurance Corp. has made it a little easier for institutions to hire employees who previously had committed insignificant crimes, the agency said Friday.
The FDIC told banks in a letter that a prospective employee who had paid less than $2,500 and spent no more than three days in jail for past offenses could be exempted from a general ban on hiring individuals with a criminal record. Before the FDIC's change, which was made in December, the allowed "de minimus" fine was $1,000 and any jail time disqualified applicants.
"Adjusting the de minimus exceptions to increase the potential fine to $2,500 and allow a limited number of days of actual jail time served for minor infractions appears just and reasonable," the FDIC said in the letter to all depository institutions.
The law generally bans hiring, without prior FDIC approval, any individual with past convictions for crimes related to dishonesty, breach of trust or money laundering. The ban also applies to those in certain pretrial diversion programs. But the provision — contained in Section 19 of the Federal Deposit Insurance Act — allows "automatic approval", the FDIC said, for minor offenses meeting certain criteria.
The criteria includes that there was just one conviction for an offense covered by the statute; the conviction occurred at least five years prior; the crime did not involve a depository institution; and the adjusted de minimus levels for fines and jail time. There are separate criteria for cases involving the writing of "bad" checks.
"Modifications of the criteria are expected to reduce the number of Section 19 applications and regulatory burden," the FDIC said.
Our starting point in considering whether a minor conviction should be held against an applicant is their answer to the question of "Have you ever been convicted of a criminal offense". If this is answered "No" and then if a conviction is unearthed it is difficult to accept that they have learned to honest, especially if there are signs that steps have been taken to conceal past discrepancies.
We find that where offenders have a conviction that they know will not be identified in an online search they will omit in the hope that a proper search at county level will not be completed.
Maybe the increase in the allowable amount of fine is just a sign of inflation!
Looking for a job is tough. Jobs are scarce and there is huge competition for each job. Unfortunately because of cultural changes in our employer/employee landscape companies are turning more and more to technology to whittle down the number of applicants to which they respond. Some companies are turning to what I like to call "confession portals" to weed out the drug users and thieves among applicants.
According to the Profiles International, Inc. website:
Employee assessments can give organizations and managers consistent, in-depth, and objective information about their people. This includes the employee's:
-Fit with organizational culture, job, manager, and team
-Knowledge, skills, job performance, and developmental needs
-Preferred learning and communication style
-Integrity, reliability and work ethic, and attitude towards substance abuse
-Response to conflict, stress, and frustration, and likelihood of aggression
One such company a Federal Credit Union in Austin, TX uses Profiles Intl assessments.
The CU uses sophisticated modeling software and algorithm's to weed out unpleasant candidates. They use this company Profiles International which has as their tagline "imagine great people." This sounds like a line from a John Lennon song.
In a 50 question survey there were 3 questions about getting fired, 11 questions on Theft, and 17 questions on Drug use and drug distribution. "Hey you're a drug dealer. Maybe we should let the DEA know--in an anonymous sort of way..."
Here are some of the questions on Theft:
How much money have you taken (stolen) from any of your employers?
How many times have you taken (stolen) money from your employers?
How many times have you taken (stolen) equipment, materials, parts, supplies, etc. from your employer?
When the most recent time you took was (stole) any equipment, material, parts, supplies, etc. from any of your employers?
You have taken money from your employer without anyone knowing it, but you always put it back later?
What is the estimated value of equipment, materials, parts, supplies, etc. you have taken (stolen) from all the companies you have worked?
When was the most recent time you took (stole) money from any of your employers?
Survey Questions Regarding Drug Use?
When was the most recent time you used any illegal drugs while at work?
Indicate your current use of any illegal drugs
Have you failed a drug test in the last three years?
How many times at work have you sold or given any illegal drugs to any of your co-workers?
Would you submit to a drug test for illegal drugs if it was company policy and you were requested to do so?
How many times have you used illegal drugs while at work?
The illegal drugs you have used at work were not enough to hurt your performance?
When was the most recent time you sold or gave any illegal drugs to any of your co-workers at work?
(So the company would like me to confess in writing that I'm a drug dealer)
Survey questions regarding Criminal Record?
Have you been convicted of (or pled guilty to) a crime in the last five years that has not been completely stricken from the court?
The crime you were convicted of involved:
- Theft
- Illegal Drugs
- Violence
- Some other crime
Did you spend time in jail/prison for your conviction?
How long were you in jail/prison?
Are you on parole or under court mandated probation?
Their were 50 questions on the first test and 100 on the second. The same questions were asked over and over again.
I've never done drugs, never committed a crime, and never stolen from my employer yet I wouldn't want to work for this company. They were in agreement that I probably wouldn't fit in.