Los Angeles Has a New & Improved Fair Chance Ordinance

April 18, 2024

Employers hiring in Los Angeles must prepare for the new Los Angeles Fair Chance Ordinance, scheduled to take effect September 3, 2024.  This new law was introduced by the LA County Board of Supervisors and expands on the already existing protections afforded under the Los Angeles Fair Chance in Hiring Ordinance (FCIHO) and the statewide California Fair Chance Act. 

Fair Chance and Ban the Box laws are designed to provide individuals with a criminal history a fair chance at obtaining meaningful employment by prohibiting employers from asking about criminal history until after a conditional job offer is made, conducting an individualized assessment for each candidate with criminal history, and providing transparency about the reason for a denial of employment.

While the FCIHO aligns with California’s Fair Chance Act by prohibiting employers from inquiring about an applicant’s conviction history before making a job offer, the new Fair Chance Ordinance addresses gaps in the state law’s implementation and enforcement and expands coverage to Los Angeles County, where FCIHO covers the City of Los Angeles.

Notably, the new ordinance clarifies applicant rights more explicitly, introduces additional compliance requirements, and streamlines the complaint process by designating the LA County Department of Consumer and Business Affairs as the governing authority, making it more accessible for job applicants. 

Legal Requirements

Employers in Los Angeles County (previously City of Los Angeles) will need to adhere to the following requirements:

  • Eligibility: The ordinance applies to private employers with **five or more employees** performing at least **two hours of work** each week within the unincorporated areas of the County.
  • Ban-the-Box: Employers are prohibited from asking about an applicant’s conviction history before making a job offer.
  • Individualized Assessment: Employers must perform an individualized assessment regarding an applicant’s conviction history before rescinding a job offer.
  • No Blanket Bans: It is illegal for employers to have blanket bans that exclude all applicants with criminal records or applicants with certain convictions, even if those convictions are considered “knock out” convictions under state or federal requirements.
  • Enforcement: The Department of Consumer and Business Affairs will enforce the ordinance, and penalties may be collected for violations.  This differs from the CA statewide Fair Chance Ordinance, where the enforcement is handled by the California Civil Rights Department

Prepare for Compliance

To ensure compliance with the new Fair Chance Ordinance, employers should:

  • Review Hiring Policies: Update application forms and hiring processes to align with the ordinance’s requirements.
  • Educate Staff: Provide training for human resources personnel and hiring managers on the ordinance’s provisions and compliance procedures.
  • Post Notices: Display notices informing applicants and employees about their rights under the Fair Chance Ordinance.
  • Document Assessments: Keep records of individualized assessments and the rationale for employment decisions related to criminal history.
  • Adverse Action: Review your adverse action process and your pre-adverse action and adverse action notices to ensure all required information is clearly included in your notices. 

Additional Information

Keeping up with Ban the Box and Fair Chance laws is challenging.  For more specific details on the new law, how it differs from the existing FCIHO and all employer requirements, we recommend the following resources and, as always, we strongly urge you to review your current policies, procedures, and documents with counsel to ensure you are complying with all laws pertinent to your business requirements.

Resources:

For more information or to make any changes to your ordering options, please contact Frasco Profiles at (800) 820-9029.

Frasco® Profiles is NOT a law firm. The information contained in this post is for general informational purposes only. We are not providing legal advice and strongly recommend consulting your legal resources before taking any action.

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