At-a-Glance Compliance Overview

State Mini-FCRA Laws

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

Employment background checks obtained from consumer reporting agencies are governed primarily by the Fair Credit Reporting Act (15 U.S.C. §1681 et seq.).

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

Wisconsin does not impose state-specific reporting limits on criminal convictions 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 or other adverse non-conviction information that is more than seven years old, subject to federal salary threshold exceptions.

Criminal History Use Restrictions

Wisconsin imposes one of the most significant use restrictions in the country under:

Wis. Stat. §111.335(1)(c) – Wisconsin Fair Employment Act (WFEA)

Core Rule

Employers may not refuse to hire, terminate, or otherwise discriminate against an individual based on a criminal conviction record unless:

The circumstances of the offense are substantially related to the circumstances of the particular job

What “Substantially Related” Means

Employers must evaluate whether:

• the nature of the offense
• the circumstances under which it occurred
• the duties and environment of the job

create a meaningful risk that the same type of conduct could recur in the workplace.

Practical Impact

This standard requires employers to:

• conduct a fact-specific, case-by-case analysis
• avoid blanket disqualification policies
• document the relationship between the offense and the job

Failure to apply this standard correctly can result in discrimination claims under state law.

Record Sealing / Expungement

Wisconsin provides limited expungement, primarily for youthful offenders.

Relevant statute:

Wis. Stat. §973.015

Key Provisions

Expungement:

• is available only for certain individuals under age 25 at the time of the offense
• applies primarily to misdemeanor convictions
• must typically be ordered at the time of sentencing

Expunged records are removed from court records but may still exist in certain law enforcement databases.

Fair Chance / Ban-the-Box Law

Wisconsin has not adopted a statewide ban-the-box law applicable to private employers.

Private employers may:

• inquire about criminal history at any stage of the hiring process
• include criminal history questions on initial job applications

However, the substantially related test governs how that information may be used.

Credit Check Rules

Wisconsin does not have a statute specifically restricting employer use of credit reports for employment purposes.

Employers may obtain and use credit reports in compliance with the Fair Credit Reporting Act (15 U.S.C. §1681 et seq.).

Employers should ensure that any use of credit information is:

• job-related
• consistent with applicable anti-discrimination laws

Cannabis & Drug Testing Rules

Wisconsin has not legalized marijuana for recreational use and does not provide broad employment protections related to marijuana use.

Employers may:

• maintain drug-free workplace policies
• require drug testing
• discipline employees for positive drug tests

Local Fair Chance or Screening Ordinances

Madison – Fair Chance / Anti-Discrimination Ordinance

Madison has enacted an ordinance that provides additional protections related to criminal history.

Key Considerations

• criminal history may be treated as a protected characteristic
• employers must evaluate whether the offense is related to the job
• the analysis may differ slightly from the state “substantially related” test

Employers operating in Madison should ensure alignment with both:

• state WFEA requirements
• local ordinance standards

Key Statutes

• Substantially Related Standard – Wis. Stat. §111.335(1)(c)
• Expungement – Wis. Stat. §973.015

Employer Compliance Checklist

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

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

• Apply the “substantially related” test before taking adverse action based on criminal history.

• Conduct individualized, fact-specific assessments for each candidate.

• Avoid blanket disqualification policies based on criminal convictions.

• Document the relationship between the offense and job duties.

• Ensure expunged records are not considered in employment decisions.

• Evaluate use of credit information for job-relatedness and compliance with employment laws.

• For Madison employers, align hiring practices with local ordinance requirements.