SACRAMENTO, CALIFORNIA — FedEx will pay $85,000 to a driving job applicant who was turned away by a FedEx contractor in Riverside County based on an old and unrelated criminal conviction, settling allegations from California's Civil Rights Department that the company violated the state's Fair Chance Act.

The California CRD announced the settlement on June 3, 2026, following a complaint received in 2024. According to investigators, the applicant applied for a driving position with a FedEx contractor and was screened out based on a past offense without the companies following the steps required under California law.

What the Law Requires

California's Fair Chance Act prohibits employers with five or more employees from asking about a job applicant's conviction history before making a conditional job offer. After an offer is made, employers must conduct an individualized assessment asking whether a conviction has a direct and adverse relationship to the specific job before using it to deny employment. The law also requires employers to clearly inform applicants of their right to provide evidence of rehabilitation or mitigating circumstances, and to notify them of any final decision to withdraw a conditional offer.

According to the CRD, FedEx failed on all three counts — no adequate individualized assessment was conducted, the applicant was not informed of their right to provide rehabilitation evidence, and no final notification of the withdrawn offer was given.

The Settlement

FedEx, without admitting liability, agreed to pay $85,000 to the complainant and must also provide Fair Chance Act training to employees who review applicant backgrounds, create a California-specific job aid for individualized assessments, and revise its adverse employment decision notices to include all information required under state law for California applicants.

"The Fair Chance Act is about giving everyone an opportunity to work," said CRD Director Kevin Kish. "We owe it to workers to do our part to deliver on the law's promise for the people who deliver for us. This settlement will provide direct relief to a driver who spoke out about their rights — and it will help protect the rights of future job applicants at FedEx."

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