CRST Expedited settles claim it pulled job offer over criminal history

Iowa-based carrier admits no wrongdoing but will pay Southern California job candidate $100,000

CRST Expedited is settling claims it rejected a California job applicant based on the applicant’s criminal history. (Photo: Jim Allen/FreightWaves)

Key Takeaways:

  • CRST Expedited Inc. settled a Fair Chance Act lawsuit for $100,000, agreeing to corrective actions without admitting wrongdoing.
  • The settlement stemmed from claims that CRST unlawfully rescinded a job offer based on the applicant's criminal history, violating California law.
  • As part of the settlement, CRST will provide Fair Chance Act training to employees and update company policies to comply with the law, including a provision regarding convictions older than 7 years.
  • California's Fair Chance Act restricts employers from inquiring about criminal history before a job offer and limits disqualifying convictions to those directly and adversely affecting the job's duties.

Iowa-based carrier CRST Expedited Inc. has agreed to pay $100,000 and take corrective actions to settle claims that it unlawfully rescinded a job offer based on the applicant’s criminal history, according to the California Civil Rights Department.

California’s Fair Chance Act requires employers to show a direct relationship between the duties of a job and an arrest or conviction before rejecting an otherwise qualified candidate, the department said in a news release on Thursday.

CRST, which admits no wrongdoing in the settlement, will pay $100,000 to the unnamed job candidate, train employees involved in employment decisions on the Fair Chance Act and ensure company policies comply with the law, including a provision that convictions more than 7 years old are not considered.

The California law forbids most employers from asking about criminal history before making a job offer and limits disqualifying convictions to those that have a “direct and adverse” bearing on the job. According to the Civil Rights Department, almost a third of adults in California have an arrest or conviction that can harm their ability to get a job.

A CRST Expedited applicant in Southern California claimed to have been rejected for a senior leadership role based on the candidate’s criminal history, the department stated. The company, a subsidiary of Cedar Rapids, Iowa-based CRST The Transportation Solution Inc., allegedly did not conduct an individualized assessment of the criminal past and “failed to consider the nature and gravity of the offense, the time that had passed, and how the offense related to the job being sought.” The department did not state the nature of the conviction.

“Everyone deserves an opportunity to make a living,” Civil Rights Department Director Kevin Kish said in the release. “The Fair Chance Act helps ensure every Californian can work and contribute to their communities.”

CRST did not immediately respond to a FreightWaves email seeking comment.

Family-owned CRST is a $2 billion nationwide enterprise, according to the company’s website.

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Steve Barrett

A copy editor for FreightWaves since 2019, Steve Barrett has worked as an editor and/or reporter for The Associated Press as well as newspapers in Texas, Georgia, North Carolina, Tennessee and Nebraska. He also served as a senior managing editor for a medical marketing company, collaborating with some of the nation's most respected health care organizations and specialists in major markets in New York and Pennsylvania. He earned a Master of Mass Communications degree from the University of Georgia and a Bachelor of Arts in English and Spanish from the University of South Dakota.