Failed Walmart Background Check? What to Do and What Your Rights Are

Walmart checkout area with cash registers and retail workspace environment

If Walmart denied your application because of a background check, it’s important to understand what your rights and options are. To start, Walmart is allowed to make hiring decisions based on accurate information in a background check, even if that information is negative.

But if your background check contains inaccurate or misleading information, and that’s what led to your denial, your rights under federal consumer protection laws may have been violated.

There are also specific procedures that both Walmart and its third-party background check provider must follow when obtaining and using these reports. In this article, I’ll break down how Walmart background checks work, what can lead to a denial, and what you can do if something doesn’t look right.

Does Walmart Do Background Checks?

Yes. In most cases, Walmart requires a background check as part of its hiring process.

These background checks are typically completed after a conditional job offer is made but before an applicant is officially hired. Depending on the role, Walmart may review criminal history and other background information to determine whether an applicant meets its eligibility standards.

If something appears on the background check, it can lead to a delay, additional review, or a decision not to move forward with the application.

Understanding how this process works is important, especially if your application was delayed or you were denied based on information in a background check.

What Company Does Walmart Use for Background Checks

In most cases, Walmart relies on third-party background check companies to conduct these screenings.

This means Walmart does not create the background report itself. Instead, it receives a report from a consumer reporting agency and uses that information to make decisions about whether to move forward with an application.

Walmart commonly uses First Advantage as its background check provider. In some cases, other screening companies, including Sterling Talent Solutions, may also be involved depending on the role or hiring process.

Walmart ultimately decides whether to hire an applicant. But if that decision is based on incorrect or misleading information in a background report, the potential issue may be with the company that prepared the report.

Type of Background Checks Used by Walmart

The type of background check Walmart uses can vary depending on the role, but most screenings focus on a few core areas. In most cases, Walmart will run a criminal background check that reviews your record for felony and misdemeanor convictions, as well as arrests, charges, and pending cases.

For positions that involve driving, such as delivery-related roles for Walmart Spark, a motor vehicle report may be reviewed to check for prior driving-related incidents, such as accidents or serious traffic violations. For certain positions, especially those considered safety-sensitive, additional requirements like drug testing may apply.

How Far Back Does Walmart Go on Background Checks?

How far back a Walmart background check goes depends on the type of information being reported, the background check company involved, and the laws that apply in your state.

The primary federal law that governs reporting time limits is the Fair Credit Reporting Act (FCRA). In general, the FCRA limits most adverse information, including arrests and other non-conviction records, to seven years. However, there is an important exception for criminal convictions, which are not subject to this seven-year limit.

State law can also play a role. Some states impose additional restrictions on how long certain types of information can be reported, which may further limit what appears on a background check. If negative information appears on your background check beyond the applicable reporting period, that may raise issues under the FCRA and could give rise to a potential claim.

Walmart Background Check Disqualifications

Walmart reviews background check reports against its own hiring standards, and certain types of information may lead to a decision not to move forward with an application.

In most cases, this includes criminal history or other issues that may be considered relevant to the position. However, the presence of a record does not always tell the full story. The way information is reported, and whether it is accurate, complete, and up to date, can make a significant difference in how it is evaluated.

For example, a record that appears recent or unresolved may be viewed differently than one that is properly reported with a final disposition. Similarly, errors in identifying information or incomplete records can create the impression of a more serious issue than actually exists.

Understanding what types of records can affect your eligibility is important, but it’s equally important to confirm that the information being reported is accurate before assuming a denial is justified.

Misdemeanors and Walmart Background Checks

In some cases, applicants may be told they failed a Walmart background check for a misdemeanor. But it’s important to understand what the law allows to be reported and how that information is presented.

In general, the FCRA limits most negative information to seven years, including arrests or charges that did not result in a conviction. After that period, those types of records should no longer appear on a background check.

Criminal convictions are treated differently. The FCRA does not impose the same seven-year limit on convictions, which means they may be reported for a longer period of time. Even when information is legally reportable, it still must be accurate and complete.

Issues can arise when misdemeanor records are reported in a misleading way, such as:

  • a case that was dismissed but is still shown as open or unresolved

  • an expunged or sealed record that continues to appear

  • a record listed under the wrong type of offense

  • a charge that is reported as a conviction when it never became on

  • a misdemeanor that does not belong to you at all

These types of errors can create the impression of a more serious issue than actually exists and may affect how a background check is evaluated. If a misdemeanor is being reported inaccurately or beyond the allowable time period, that may raise issues under the FCRA and give rise to potential legal claims.

Other Walmart Background Check Red Flags

Certain issues on a background check may raise red flags for Walmart, even if they do not automatically result in a denial.

For example, driving-related issues can be significant for roles that involve operating a vehicle, such as delivery positions. A history of serious traffic violations, license suspensions, or incidents like a DUI may affect how an application is evaluated, especially if those issues are recent.

Failed drug tests can also be a factor, particularly for roles that are considered safety-sensitive. In those situations, a failed or refused drug test may raise concerns about whether an applicant meets the requirements for the position.

In addition, inconsistencies between an application and a background report, such as differences in employment history or education, may be flagged during the review process. While not always disqualifying on their own, these discrepancies can lead to additional scrutiny.

It’s also important to recognize that errors can appear as red flags. Issues like mismatched records, incomplete case information, or outdated entries can create the impression of a problem where none actually exists.

As with any background check, even when information is legally reportable, it must still be accurate and not misleading. If red flags are based on incorrect or outdated information, that may raise issues under the FCRA and give rise to potential legal claims.

Walmart Background Check and FCRA Compliance

Under the FCRA, before a background check is run, Walmart must provide a clear and standalone disclosure and obtain your written authorization. This disclosure must be presented separately from other terms and in a way that is easy to understand. Issues can arise when the disclosure is buried in other documents or when the authorization is unclear, especially in situations involving ongoing or repeated background checks.

If Walmart relies on a background check to deny your application, it must also follow a two-step notice process. First, it must send a pre-adverse action notice, which typically includes a copy of your background check report and a summary of your rights under the FCRA. This gives you an opportunity to review the report and dispute any inaccurate or misleading information before a final decision is made.

If Walmart decides to move forward with the denial, it must then send a final adverse action notice confirming the decision.

Problems that may raise issues under the FCRA include situations where a background check is run without proper consent, where required disclosures are not clear or properly presented, or where an applicant is denied without receiving a copy of the report or a meaningful opportunity to dispute it before the decision is finalized.

These protections exist for a reason. When the process is not followed correctly, it may give rise to a claim under the FCRA, even if the information in the report itself is accurate.

Denied by Walmart Because of Incorrect Background Check Information?

If you were denied by Walmart because of incorrect information on your background check, you may have the right to bring a claim for monetary damages.

The FCRA sets a clear standard for background check companies: information provided to employers must be accurate and not misleading. One of the law’s core purposes is to protect consumers from losing job opportunities due to errors in background check reports.

This is why the FCRA allows consumers to bring claims against background check companies that fail to ensure accuracy. In many cases, the job opportunity is lost before the mistake is ever identified or corrected. When that happens, the law allows you to seek compensation for that loss.

It’s also important to understand that inaccuracies are not always obvious. In many cases, the issue is more subtle, such as:

  • an arrest being reported as a conviction

  • a case shown without a final disposition

  • outdated information appearing beyond the applicable reporting period

  • a record that does not belong to you

The FCRA also allows consumers to recover attorney’s fees in successful cases. This means that if a claim is successful, the background check company may be responsible for paying your attorney’s fees.

Talk to a Consumer Protection Attorney

If you believe there was an error in your background check, you can contact my office for a consultation to determine whether you may have a claim.

If the report was accurate, your options may be limited. But if your denial was based on incorrect or misleading information, you may have strong rights to enforce under the FCRA.

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