A California municipality has agreed to pay $93,000 to settle claims that it pulled a conditional job offer based on an applicant’s criminal history without conducting the individualized assessment required under the state’s Fair Chance Act (FCA).
The settlement resolves allegations that the City of Signal Hill in Los Angeles County violated the FCA during its hiring process for a Public Works position, according to an announcement from the California Civil Rights Department (CRD).
In 2025, the CRD received a complaint from an applicant who’d sought a water systems operator position with the city. The role included responsibilities such as repairing hydrants and pipelines, reading water meters, treating groundwater, and handling customer service.
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After completing multiple rounds of interviews, the applicant received a conditional offer of employment.
The city conducted a background check, then pulled the offer.
According to the applicant, the city failed to conduct an individualized assessment of the applicant’s conviction history – an analysis the FCA requires before an employer can deny employment based on a criminal record. The city also allegedly disregarded information the applicant...
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