The FCRA requires that a user of consumer reports who is considering an adverse decision which may adversely impact the employment of an individual (denial of job, denial of promotion, denial of reassignment) communicate to the individual that they may take an adverse action. This is commonly referred to as the “Pre-adverse Action Process” and it is recommended that this process be in writing.
Along with this communication, the user must also provide the individual with a copy of the report and a copy of "A Summary of Your Rights Under the Fair Credit Reporting Act" as published by the Consumer Finance Protection Bureau (CFPB).
The User of the report should then allow the individual to provide additional information related to their consumer report or to file a dispute of any information that they feel is incorrect before a final employment decision is made. If, after a waiting period (common practice is to wait 5 business days unless otherwise prescribed by law), the user makes the decision to take an adverse action, a final adverse action communication is made to the individual (again, it is recommended that this communication be in writing).
Note that there are jurisdictions which require specific language in notices, so be sure to understand the laws where individuals will be employed. The Pre and Adverse action forms are easily found under 'Smart Forms'.