At-a-Glance Compliance Overview

State Mini-FCRA Laws

Alabama does not maintain a comprehensive state consumer reporting statute comparable to the “mini-FCRA” laws adopted in states such as California, Colorado, or Massachusetts.

Employment background checks obtained from consumer reporting agencies are therefore governed primarily by the federal Fair Credit Reporting Act (FCRA).

Employers using third-party background screening providers must comply with federal requirements, including:

• providing a clear written disclosure before obtaining a consumer report
• obtaining written authorization from the applicant or employee
• providing pre-adverse action and adverse action notices when information in a consumer report influences an employment decision.

Criminal Record Reporting Rules

Alabama does not impose state-specific reporting limits on criminal records in employment background checks.

Convictions

Criminal convictions may generally be reported without time limitation under FCRA §605(a)(5).

Non-Convictions

Under the Fair Credit Reporting Act, consumer reporting agencies generally may not report arrests, indictments, or other adverse non-conviction information that is more than seven years old.

Expunged Records

Alabama permits expungement of certain criminal records under Ala. Code §15-27-1 through §15-27-21.

Eligible records may include:

• misdemeanor charges that did not result in conviction
• certain non-violent felony charges that were dismissed or resulted in acquittal
• certain misdemeanor convictions under limited circumstances.

Once a record has been expunged, it generally may not appear in employment background checks.

Fair Chance / Ban-the-Box Law

Alabama has not adopted a statewide ban-the-box law affecting private employers.

Private employers may inquire about criminal history during the hiring process, including on initial job applications, unless another law restricts the inquiry.

Employers should ensure that criminal history screening practices comply with federal anti-discrimination laws when evaluating criminal records.

Credit Check Restrictions

Alabama does not impose statutory restrictions on employer use of consumer credit reports for employment purposes.

Employers may obtain credit reports for employment purposes if they comply with the Fair Credit Reporting Act, including disclosure, authorization, and adverse action requirements.

Employers should ensure that credit checks are relevant to the duties of the position and applied consistently.

Cannabis Use and Drug Testing Rules

Alabama permits the use of medical cannabis under the Darren Wesley “Ato” Hall Compassion Act, codified at:

Ala. Code §20-2A-1 et seq.

The law allows registered patients to obtain medical cannabis for qualifying conditions.

However, the statute does not create employment protections for cannabis users. Employers may continue to:

• maintain drug-free workplace policies
• prohibit cannabis use during work hours
• discipline employees for workplace impairment or positive drug test results.

Pay Equity and Salary History Rules

Alabama does not maintain a statewide salary history ban affecting private employers.

The state also does not impose pay transparency requirements requiring employers to disclose wage ranges in job postings.

General anti-discrimination laws continue to apply to compensation practices.

Local Fair Chance or Screening Ordinances

Alabama does not currently maintain local fair chance hiring ordinances affecting private employers.

Cities and counties in Alabama have not enacted municipal regulations restricting employer use of criminal history in hiring.

Employers operating throughout the state generally follow the same statewide rules governing background checks.

Record Sealing / Clean Slate Laws

Alabama permits individuals to expunge certain criminal records under Ala. Code §15-27-1 et seq.

Expungement may apply to:

• charges that were dismissed
• charges resulting in acquittal
• certain misdemeanor offenses under specific conditions
• certain non-violent felony charges that did not result in conviction.

Eligible individuals must petition the court for expungement after satisfying statutory waiting periods and eligibility criteria.

Once a record has been expunged, it generally may not appear in employment background checks.

Key Statutes

• Alabama Expungement Law – Ala. Code §15-27-1 – §15-27-21

• Alabama Medical Cannabis Law – Ala. Code §20-2A-1 et seq.

Employer Compliance Checklist

Employers conducting background checks in Alabama should implement several compliance practices.

• Follow federal Fair Credit Reporting Act disclosure and authorization requirements when ordering background checks.

• Provide pre-adverse action and adverse action notices when consumer reports influence hiring decisions.

• Ensure background screening providers exclude expunged records from employment reports.

• Apply criminal history screening policies consistently to avoid discrimination risks.

• Maintain clear workplace drug testing policies consistent with Alabama medical cannabis law.

• Ensure credit checks are job-related when used in hiring decisions.