Background checks play a significant role in hiring practices across various industries.
Employers use them to evaluate candidates’ history, qualifications, and potential risk factors before extending job offers.
These checks help reduce liability, ensure workplace safety, and verify information provided by applicants.
In Texas, background checks hold legal weight in specific industries.
While not universally enforced by law, several sectors are subject to strict mandates. Others are advised to adopt them as best practice to avoid potential legal and operational risks.
A clear distinction must be made between legal obligation and strategic necessity in Texas employment practices.
Are They Legally Required in Texas?
Background checks form an integral part of the hiring process in many workplaces across Texas. Employers rely on them to verify identity, uncover risks, and ensure that hiring decisions align with safety, regulatory, and operational standards.
While Texas does not impose a blanket legal requirement on all employers, there are specific situations where checks are required by law or strongly advised for legal protection.
General Employment and Non-Mandated Sectors
Texas law does not require all employers to conduct background checks.
However, omitting them can leave businesses exposed to negligent hiring claims or operational vulnerabilities.
Legally Mandated Industries
In contrast to general employment, certain industries are held to more stringent standards due to the nature of services provided or populations served. Background checks in these sectors are not optional but required to comply with statutory and licensing obligations.
Industries where background checks are mandated include:
Healthcare: Screening is essential due to patient safety concerns, regulatory compliance, and access to sensitive environments such as hospitals, clinics, and assisted living facilities.
Childcare and Education: Staff interacting with minors must undergo background checks to meet legal obligations for child protection and school safety.
Public Safety: Roles in law enforcement, emergency medical services, and firefighting require mandatory screening to maintain public trust and integrity in high-responsibility positions.
In-Home Services and Delivery: Texas Civil Practice & Remedies Code § 145 encourages employers to perform background checks by offering civil liability protection only when such checks are completed.
Background Checks and Federal Contracts
Federal contractors are not legally obligated to perform background checks on every applicant, but they must follow the Fair Chance to Compete for Jobs Act. This law limits the timing of inquiries into an applicant’s criminal history.
Key provision for federal contractors:
Criminal history cannot be requested or reviewed until after a conditional job offer has been made.
This rule applies to both direct federal employers and private contractors providing services under federal agreements.
Types of Background Checks Commonly Used in Texas
Texas employers utilize a variety of background check methods to assess candidate suitability based on job responsibilities, risk exposure, and compliance requirements.
Certain roles demand more rigorous screening than others, especially those involving driving, medical care, financial access, or interaction with vulnerable populations.
The types of background checks most frequently used in Texas are outlined below, grouped by their focus and purpose.
Criminal History Search
Criminal records are a critical component of background checks, particularly in sectors involving public safety, healthcare, and financial oversight.
Employers use criminal history searches to determine whether a candidate has been convicted of crimes that could impact safety or job performance.
In cases where an individual has had a charge dismissed or resolved favorably, expungement may be an option to remove the record entirely.
This is especially valuable in Texas, where criminal records do not expire on their own and can appear indefinitely on background checks.
Trey Porter Law’s Dallas expungement lawyers offer expert legal guidance to individuals seeking to delete eligible criminal charges from their records.
Their experience in handling expunctions helps clients avoid negative employment outcomes due to outdated or inaccurate criminal data.
Employment and Education Verification
Employers often need to ensure that applicants have the qualifications and experience claimed on their resumes.
Verification helps identify false representations and confirm past professional conduct.
- Checks previous job titles, dates of employment, and duties
- Confirms academic degrees and attendance at institutions
- Detects potential resume fraud or exaggeration
Professional License Verification
In fields like healthcare, law, and engineering, holding an active, valid license is non-negotiable.
Employers confirm license status and disciplinary history before hiring.
- Verifies current license status and expiration dates
- Checks for disciplinary actions or suspensions
- Ensures compliance with state and national regulatory boards
Drug Testing
Frequently used in industries that demand alertness, safety, and integrity.
Employers conduct drug tests during pre-employment screening or at random intervals for current staff.
- Screens for controlled substances and performance-impairing drugs
- Required in federally regulated jobs and by certain state licensing boards
- Helps reduce workplace accidents and liability
Motor Vehicle Records (MVR) Check
For positions that involve driving company vehicles or transporting goods or passengers, MVR checks are essential.
They help identify driving-related offenses and gauge risk.
- Reveals history of DUI, license suspensions, and traffic violations
- Ensures compliance with commercial driving laws
- Required for commercial driver’s license (CDL) roles and delivery services
Sex Offender Registry Search
Especially important in roles involving minors, the elderly, or vulnerable populations.
Employers search state and national registries to detect prior offenses that may disqualify an applicant.
- Identifies registered sex offenders at the state and national level
- Used in education, childcare, home services, and healthcare sectors
- Can influence hiring decisions and fulfill legal obligations
Social Security Number (SSN) Trace
An SSN trace helps verify an individual’s identity and detect inconsistencies that could signal fraud or alias use.
- Validates the applicant’s identity and issued state
- Uncovers other names used by the applicant
- Links to addresses associated with criminal records
Key Legal Framework Governing Background Checks
Legal compliance is a core requirement when conducting background checks in Texas.
Both federal and state laws define what can be checked, how long information can be reported, and what employers must do to remain compliant.
These laws are in place to protect the rights of job applicants while ensuring employers perform responsible hiring practices.
Federal Laws
Federal regulations serve as a baseline for employers nationwide.
These laws focus on privacy, fairness, and nondiscrimination, and they apply regardless of company size or location.
Fair Credit Reporting Act (FCRA)
FCRA governs how background reports are collected and used by third-party consumer reporting agencies.
Employers relying on such reports must follow specific procedures to avoid liability.
- Limits reporting of non-conviction arrests and civil suits to seven years (unless the applicant earns $75,000 or more annually)
- Allows indefinite reporting of criminal convictions
- Requires written notice to the applicant before conducting a background check
- Mandates applicant consent through a standalone disclosure form
- Requires a pre-adverse action notice if employment may be denied based on report findings
- Allows applicants to dispute and correct any inaccurate information
Title VII of the Civil Rights Act of 1964
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Title VII prohibits discrimination in employment based on race, color, religion, sex, or national origin.
When background checks result in disqualification, employers must ensure the decision does not create a disparate impact on protected groups.
- Prohibits blanket bans that automatically reject applicants with criminal records
- Requires individualized assessments considering the nature of the offense, how long ago it occurred, and its relevance to the job
- Encourages transparency and fair treatment in hiring decisions
Fair Chance to Compete for Jobs Act
This law applies to federal agencies and contractors, setting guidelines on when criminal history information may be requested.
- Prohibits criminal history inquiries until after a conditional job offer is made
- Aims to ensure fair evaluation of qualifications before reviewing criminal background
- Encourages second-chance hiring practices for individuals with records
Texas State Laws
Texas law aligns with some federal standards while introducing specific provisions to address state-level concerns.
Employers operating in Texas must comply with these local regulations in addition to federal rules.
Texas Business & Commerce Code § 20.05
This provision mirrors FCRA’s seven-year rule but applies specifically to Texas employers and consumer reporting agencies operating within the state.
- Limits reporting of civil judgments and non-conviction criminal records to seven years
- May be preempted by FCRA if both state and federal laws apply to the employer
- Highlights the importance of determining applicable legal jurisdiction before hiring
Texas Regulatory Consistency Act (2023)
This law eliminates inconsistencies created by local ordinances by establishing statewide hiring standards.
- Invalidates local “ban-the-box” laws such as those previously adopted in Austin and Harris County
- Prevents municipalities from enforcing stricter or different hiring requirements
- Creates uniform compliance expectations across all Texas counties and cities
Texas Civil Practice & Remedies Code § 145
This statute provides legal protection for businesses offering services in private homes or delivery settings.
Employers may qualify for limited liability if background checks are performed prior to sending workers into customer residences.
- Encourages screening of in-home service employees, including repair technicians and delivery drivers
- Provides an affirmative defense in lawsuits involving employee misconduct if background checks were conducted
- Incentivizes preventive hiring practices to reduce risk exposure
Summary and Best Practices
Background checks are widely used in Texas and often essential for safeguarding employees, clients, and company assets.
While not universally mandated, certain roles and sectors demand strict compliance with legal screening procedures.
Employers should stay informed about both federal and state rules. Documentation, proper consent, and clear communication are crucial steps. Maintaining fairness through individualized assessments helps avoid discrimination claims while improving hiring decisions.
Strategic use of background checks promotes a secure and compliant workforce without overstepping legal boundaries.
