New NC Background Check Law: What You Need To Know

Starting October 1, 2025, every county and city in North Carolina must conduct criminal background checks for any position involving work with children. This new state law creates mandatory obligations where previous rules were optional—and local governments that haven't updated their hiring processes need to act now.

But this change doesn't just affect public sector employers. All North Carolina businesses should understand how background screening laws work, what they can check, and how to stay compliant with both federal and state requirements. Whether you're hiring for sensitive roles in healthcare, education, or finance, or simply bringing on a new team member, proper screening protects your workplace and reduces risk.

Why Background Checks Matter for North Carolina Employers

Employers in North Carolina rely on criminal background checks to safeguard their operations. Hiring without proper screening can lead to serious issues, including theft, fraud, and workplace safety incidents. In some cases, companies have faced negligent-hiring lawsuits for failing to properly vet employees.

Background screening helps verify an applicant’s identity, past employment history, and criminal history. It also helps confirm education credentials and professional licenses. These details allow employers to make informed decisions before offering a position. For businesses in healthcare, education, finance, or local government, such checks are even more important.

Criminal history background checks also build trust within teams. Employees feel safer knowing their company takes hiring seriously. Davis & Forest Investigative Group often works with organizations to design screening plans tailored to each role, reducing unnecessary risks while staying within legal limits.

Understanding the Laws Governing Background Checks in NC

As of October 1, 2025, a significant change now affects every county and city government in North Carolina. Session Law 2025-16 now requires all local governments to conduct fingerprint-based criminal history record checks through the North Carolina State Bureau of Investigation for any applicant offered a position that involves working with children in any capacity.

This isn't optional. Unlike the existing statutes that have allowed counties and cities to conduct background checks at their discretion since the early 2000s, this new law creates a mandatory obligation for specific positions.

What Local Governments Must Do

Under the new requirements found in G.S. 153A-94.2(b) for counties and G.S. 160A-164.2(b) for cities, local governments must:

Identify Covered Positions
Determine which positions require working with children "in any capacity." While the law doesn't provide a specific list, this likely includes roles such as:

• Social workers
• Parks and recreation staff
• School resource officers
• EMS employees
• Librarians (depending on duties)
• Nurses and medical staff
• Any position involving supervising, transporting, interviewing, teaching, coaching, or caring for individuals under age 18

Conduct SBI-Based Checks
Use the State Bureau of Investigation's fingerprint-based system, which searches both state and national criminal history databases. The current fee is $38 per applicant for the combined check.

Follow Proper Timing
The check must be conducted after the employer extends a conditional offer of employment but before the applicant begins work. Counties and cities cannot run these checks before making an offer, nor can they wait until after someone has started the position.

Obtain Required Information
Local governments must provide the SBI with:

• The applicant's fingerprints
• A signed consent form from the applicant
• Any additional information the SBI requires

What "Working with Children" Means

The statute doesn't define "children," but North Carolina's Juvenile Code defines a juvenile as anyone under 18 who is not married, emancipated, or serving in the Armed Forces (G.S. 7B-101(14)). Local governments should use this definition as their guide.

The key phrase is "in any capacity." This means even incidental or occasional contact with minors may trigger the requirement. Each position must be evaluated based on its actual job duties, not just its job title.

Important Limitations and Clarifications

Not Retroactive
Current employees hired before October 1, 2025, are not subject to these checks unless they apply for a different position that involves working with children.

Only Employees
Unpaid volunteers are not covered by this requirement.

Confidentiality Required
All information obtained through the background check process must be kept confidential under G.S. 143B-1209.26.

Internal Transfers
If a current county or city employee applies for an internal position that requires working with children, they may need to undergo the check as an "applicant" for that new role.

Action Steps for County and City Governments

With this requirement now in effect as of October 1, 2025, local governments should ensure they have:

1. Review all current positions to identify which ones involve working with children in any capacity
2. Update personnel policies and ordinances to reflect the new mandatory requirements
3. Establish an SBI agency access agreement if one isn't already in place
4. Train HR staff and hiring managers on the new process and timeline requirements
5. Budget for background check costs for affected positions
6. Develop clear job descriptions that specify whether a position involves working with children

Resources and Support

The SBI provides detailed guidance on its website for setting up agency access agreements and understanding the fingerprinting process. County and city governments should contact the SBI's Access Integrity Unit with specific questions about implementation.

For organizations needing assistance with navigating these new requirements alongside existing federal and state background check laws, working with experienced investigators like Davis & Forest Investigative Group can ensure every step meets both the letter and spirit of the law.

Both federal and state rules shape how employers can run background checks.

Under the Fair Credit Reporting Act (FCRA), employers must follow specific procedures when using a third-party service for background screening. They must provide written disclosure to the applicant, get written consent, and share copies of the report before making any negative decision. This process is known as the adverse action process. Employers also need to include the updated “Summary of Your Rights Under the FCRA” document.

The Equal Employment Opportunity Commission (EEOC) adds another layer. It discourages blanket exclusions based solely on criminal records. Instead, employers should consider whether the conviction relates to the job, how much time has passed, and the nature of the offense.

North Carolina also has its own set of rules. For example:

• The Ban-the-Box policy (Executive Order 158) removes questions about criminal history from initial job applications at state agencies.
• G.S. 15A-153 makes it illegal for employers to ask about expunged records. If someone’s record was cleared, that information can’t be used in hiring.

Together, these laws ensure fairness while still protecting public and workplace safety.

What Employers Can Check — and What They Should Avoid

Employers in North Carolina can check several key areas when screening applicants:

• Criminal records: Verified through county courts or the North Carolina State Bureau of Investigation.
• Employment verification: Confirms prior work experience and positions held.
• Education verification: Confirms degrees, diplomas, and certificates.
• Driving record: Often checked for positions involving vehicles or transportation.
• Credit history: Allowed under the Fair Credit Reporting Act, though best practice is to use credit checks only for positions involving financial responsibility.

However, there are boundaries. Employers should not use arrest-only records, as these do not prove guilt. They must also avoid considering expunged charges or sealed criminal history. Using such information can lead to legal problems and discrimination claims.

Social media checks can also be risky. Employers can view public profiles, but asking for passwords or access to private accounts violates privacy rights. Professional screening should focus on verified data, not speculation.

How to Run a Compliant Background Check in NC

A compliant background screening process in North Carolina follows a simple but structured path:

1. Define what needs checking. Employers should decide which records are relevant for the position, such as criminal history, driving record, education verification, or employment history.
2. Obtain written consent. The Fair Credit Reporting Act requires employers to get signed authorization before performing any check.
3. Use qualified investigators or CRAs. A licensed investigator, such as those at Davis & Forest, verifies criminal records directly through state databases and court systems.
4. Evaluate findings fairly. If a conviction appears, employers must assess its relevance to the role instead of automatically rejecting the candidate.
5. Follow the adverse action process. If a report influences a negative decision, provide a copy to the applicant along with the Summary of Rights, and give them time to respond before finalizing the decision.

Confidentiality is also key. Background information must be stored securely and shared only with those involved in the hiring process. Regular audits of screening policies help maintain compliance and reduce mistakes.

Common Mistakes NC Employers Make

Many employers mean well but still make simple mistakes during background screening. Some rely on incomplete online databases instead of verified state records. Others skip written consent or fail to follow the adverse action process, both of which violate the Fair Credit Reporting Act.

Another common issue is using arrest records or old criminal history that has little relevance to the job. Employers must remember that North Carolina law prohibits asking about expunged records. Even mentioning such information can expose a company to legal risk.

Davis & Forest Investigative Group helps employers avoid these problems by ensuring each search is lawful, accurate, and directly related to the position in question.

Building Trust Through Careful Screening

Background checks are not just about screening out bad hires. They’re about protecting what matters most. A proper criminal background check helps employers make fair, informed decisions while maintaining a safe workplace. With new state requirements taking effect and federal laws continuing to evolve, having the right investigative partner makes all the difference.

Davis & Forest Investigative Group understands North Carolina’s background check process inside and out. From reviewing criminal records through the North Carolina State Bureau of Investigation to handling employment verification and education verification, their team ensures every step follows both state and federal law.

If you’re a North Carolina employer looking to strengthen your hiring process with reliable, compliant background screening, reach out to Davis & Forest Investigative Group. Their investigators can help you verify information, stay compliant, and hire with confidence.