Employers hiring in Michigan work under two layers of rules. The federal Fair Credit Reporting Act sets the baseline for any background check run through a third party consumer reporting agency. Michigan law then adds its own limits on what an employer may ask about, how long certain records stay visible, and what a public record search tool can and cannot show. This guide walks through both layers so a Michigan employer can build a hiring process that holds up.
The federal baseline: FCRA disclosure, authorization and adverse action
Any time a Michigan employer orders a background check through a consumer reporting agency, the Fair Credit Reporting Act applies regardless of what Michigan law separately requires. Under 15 U.S.C. 1681b, an employer has a permissible purpose to pull a consumer report for employment only after giving the applicant a clear, standalone written disclosure and getting the applicant’s written authorization. The disclosure cannot be buried inside a job application or an employee handbook; it has to be its own document.
If information in the report may lead to a decision not to hire, not to promote, or to terminate, the employer generally must send a pre-adverse action notice with a copy of the report and the FTC’s Summary of Rights, give the applicant a reasonable amount of time to respond, and only then send a final adverse action notice if the decision stands. The specific content requirements for that adverse action notice are set out at 15 U.S.C. 1681m. Skipping any of these steps is a federal compliance problem that exists independent of anything Michigan requires.
Michigan’s ICHAT public record tool is not the same as a full background check
Michigan State Police operates the Internet Criminal History Access Tool, generally known as ICHAT, through the department’s Criminal Justice Information Center. ICHAT lets a member of the public, including an employer, run a name based search of Michigan conviction records for a small fee per search. It does not include arrest records that did not lead to conviction, out of state records, federal records, or records that have been set aside under Michigan’s expungement law. An employer that relies only on an ICHAT search and treats it as a complete criminal history is likely to miss records from other states and may also miss context that a full report would capture. Questions about what the repository includes and excludes go to the division that runs it, not to a vendor’s marketing page. See the Michigan State Police Criminal Justice Information Center for the agency’s own description of its record systems.
Michigan limits what you can ask about arrests that did not lead to conviction
Michigan Compiled Laws has its own rule on arrest record inquiries, separate from anything the FCRA covers. Under MCL 37.2205a, an employer, employment agency, or labor organization generally may not request, use in a hiring decision, or keep a record of a misdemeanor arrest or detention that did not result in a conviction. The statute carves out law enforcement agencies themselves and does not extend the same protection to felony charges that are still pending. In practice this means a Michigan employer’s application and any background check review process should be built to disregard a misdemeanor arrest with no conviction attached, rather than treating an arrest alone as a negative mark.
Clean Slate: records that set aside automatically
Michigan’s Clean Slate law created an automatic set aside process that does not require the person to file anything. Under MCL 780.621g, a qualifying misdemeanor conviction (one carrying a maximum sentence of 92 days or less) is set aside on its own once seven years have passed since sentencing, and a qualifying felony conviction is set aside once ten years have passed since sentencing or release, provided the conviction otherwise meets the eligibility rules in the broader set aside statute. Once a record is set aside, the courts and law enforcement agencies are required to make the underlying arrest, fingerprint, and conviction record nonpublic.
For an employer, the practical effect is that a set aside Michigan conviction should not show up in a current ICHAT search and should not be used as a basis for an employment decision. If an older report or a candidate’s own disclosure references a conviction that may now be set aside, the safer move is to verify current status rather than assume the record is still valid, and to apply the same pre-adverse action process described above before acting on anything a report does contain.
State employment and fair chance hiring
Hiring rules for Michigan’s own state government workforce run through the Michigan Department of Civil Service, which sets civil service hiring policy separately from the general employer rules above. Private employers in Michigan are not currently subject to a single statewide ban the box law covering all hiring, so whether a particular city or county has adopted its own fair chance ordinance for public contracts or public employment is worth checking at the local level rather than assumed statewide.
Long term care and the Workforce Background Check requirement
Michigan health facilities, including nursing homes and other long term care providers, operate under additional screening requirements tied to patient and resident safety. These facility level requirements are administered through the Department of Licensing and Regulatory Affairs, Bureau of Community and Health Systems, which licenses and oversees long term care and other health facilities in the state. Employers in this sector should confirm current fingerprint based and registry screening requirements directly with the LARA Bureau of Community and Health Systems rather than relying on a general employment background check alone, since direct care positions typically call for a fingerprint based criminal history check in addition to any name based search.
EEOC guidance: a criminal record is not an automatic disqualifier
Federal civil rights law layers on top of both the FCRA and Michigan’s own rules. The Equal Employment Opportunity Commission has long taken the position that a blanket policy of excluding anyone with a criminal record can have a disproportionate effect on applicants protected under Title VII, and that employers are generally better positioned legally when they consider the nature of the offense, how much time has passed, and the nature of the job rather than applying a flat bar. A Michigan employer building hiring criteria around criminal history should review the agency’s own guidance rather than relying on generalized advice. See the EEOC’s questions and answers on its enforcement guidance regarding arrest and conviction records. Employers should consult counsel before finalizing any criminal history policy, since how this guidance interacts with a specific job and a specific record is a legal judgment call.
What can be reported and when
| Record type | Typically reportable in Michigan | Key limit |
|---|---|---|
| Felony conviction, not set aside | Yes, through a consumer report or ICHAT | FCRA disclosure and adverse action steps still apply |
| Misdemeanor conviction, not set aside | Yes, through a consumer report or ICHAT | Automatically set aside after 7 years under Clean Slate if eligible |
| Felony conviction, set aside under Clean Slate | Generally no | Record is made nonpublic; should not drive a hiring decision |
| Misdemeanor arrest with no conviction | No | MCL 37.2205a bars requesting or using this |
| Pending felony charge | Employer may consider, with care | Not protected by MCL 37.2205a; still weigh EEOC guidance and the presumption of innocence |
| Long term care, direct patient contact roles | Fingerprint based check generally required | Governed by LARA licensing rules, separate from a standard background check |
A short FCRA checklist before you run a Michigan background check
Before ordering any report through a consumer reporting agency on a Michigan applicant or employee, confirm each of the following.
- A standalone disclosure was provided and signed, separate from the job application.
- Written authorization was obtained before the report was requested.
- The screening criteria do not rely on a misdemeanor arrest or detention with no conviction.
- Any conviction being considered has been checked for Clean Slate eligibility if it is old enough to potentially be set aside.
- A pre-adverse action notice, a copy of the report, and the Summary of Rights go out before any final decision, with reasonable time for the applicant to respond.
- Direct care or long term care roles have the fingerprint based screening the facility’s license requires, not just a name based search.
For related reading, see our guides to Clean Slate laws and background checks and ban the box and fair chance hiring laws. A compliant screening program for Michigan hiring starts with a provider that builds the FCRA steps into the process; learn more at Reveal Background.
Frequently asked questions
Does Michigan have its own standalone background check disclosure law separate from the FCRA?
Michigan does not layer a separate statewide disclosure form requirement on top of the FCRA for most private employers. The standalone disclosure and written authorization requirements that apply come from the federal law itself, so a Michigan employer should build its process around 15 U.S.C. 1681b rather than assume a state specific form exists.
Can a Michigan employer ask about an arrest that never led to a conviction?
For a misdemeanor arrest or detention that did not result in a conviction, no. MCL 37.2205a bars requesting, using, or keeping a record of that information in hiring, with an exception for law enforcement agencies. The statute does not extend the same protection to pending felony charges.
What does it mean when a Michigan conviction is set aside under Clean Slate?
It means the record has been made nonpublic automatically, without the person having to apply, once the statutory waiting period has passed and the conviction meets the eligibility rules. A set aside record should not appear in a current ICHAT search and should not be used as grounds for an adverse hiring decision.
Is ICHAT a complete substitute for a professional background check?
No. ICHAT only searches Michigan’s own conviction record repository by name. It will not surface out of state convictions, federal records, or records that have been set aside, and a name based search carries a higher risk of misidentification than a fingerprint based search.
Do long term care employers in Michigan have extra screening requirements?
Generally yes. Positions with direct patient or resident contact in licensed health facilities typically require a fingerprint based criminal history check under rules overseen by the state’s health facility licensing bureau, in addition to whatever background check process the employer otherwise uses.
Can a Michigan employer have a blanket policy of rejecting any applicant with a felony conviction?
A flat, one size fits all exclusion carries legal risk under federal civil rights guidance, because it can disproportionately screen out applicants in ways that are hard to justify as job related. Employers generally fare better weighing the specific offense, how long ago it occurred, and its relationship to the job, and should talk to counsel when setting these criteria.
This article is general information, not legal advice. Employers should consult qualified counsel about how Michigan and federal law apply to their specific hiring process.
