April 22 (Bloomberg) -- Bed Bath & Beyond Inc. will stop rejecting out of hand job applicants with criminal records and evaluate the individual ex-offender’s situation under an agreement with the New York attorney general’s office.
The household goods retailer, which operates more than 1,000 stores across the U.S. and 62 within New York, will pay a $125,000 in the settlement, including $40,000 of restitution to applicants unlawfully denied jobs, Attorney General Eric Schneiderman’s office said.
Under New York law, employers are barred from disqualifying any prospective hire automatically on the basis of a criminal record. Such blanket discrimination is illegal in several states and cities and may also violate federal civil rights law, according to the New York-based National Employment Law Project. A company can still look at the nature of a past crime and responsibilities of the particular job in considering an ex- offender.
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“This agreement puts employers on notice that slamming the door on job seekers based on past conduct without deciding whether that conduct is relevant to the current job is not only wrong -– it’s unlawful,” Schneiderman said in a statement.
The attorney general’s office said it investigated the retailer after learning that a human resources manager had disseminated information at a job fair stating that the company didn’t hire individuals with felony convictions. The company agreed to modify its practices in the state and conduct training to comply with New York law, Schneiderman’s office said.
The settlement doesn’t include an admission of wrongdoing, said Leah Drill, a spokeswoman for the Union, New Jersey-based company, said in an e-mailed statement.
“Bed Bath & Beyond is committed to complying with the laws and regulations governing our business, including state and federal employment law,” she said. “We are in agreement with the attorney general that employment opportunities should remain open to individuals with criminal histories that have been rehabilitated.”
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