State law · For employers
Kentucky background check laws for employers
What Kentucky law says about background checks for employment, beyond the federal Fair Credit Reporting Act (FCRA). Each section shows the rule, who it covers, its exceptions and the law it comes from.
Reviewed
Primary sources
6 laws cited
At a glance
The Kentucky rules on each topic, in one line. Federal law applies to every topic.
| Topic | Kentucky rule |
|---|---|
| Criminal history questions | No state rule. Federal law applies. |
| Limits on what a report includes | Kentucky adds one CRA-side limit. A consumer reporting agency may not keep any information in its files about a criminal charge in a Kentucky court unless the charge resulted in a conviction. |
| Sealed and expunged records | Kentucky has no automatic expungement. Relief is by petition: KRS 431.073 (certain felonies, vacate and expunge), 431.076 (acquittals and dismissals), 431.078 (misdemeanors, violations, traffic). |
| Credit checks | No state rule. Federal law applies. |
| Salary history | No state rule. Federal law applies. |
| Cannabis | Medical cannabis is legal from January 1, 2025, but employers keep their drug policies. |
| Drug testing procedures | No state statute sets private-employer testing procedures. An employer may not make an applicant pay for a required medical examination (KRS 336.220); whether a drug test counts as a medical examination under that section is not settled by its text. |
| State consumer reporting law | Kentucky has no general consumer-reporting act. |
What a background check report may include
Who it covers: Consumer reporting agencies (charges in Kentucky courts)
In force since: July 15, 1980
Kentucky adds one CRA-side limit. A consumer reporting agency may not keep any information in its files about a criminal charge in a Kentucky court unless the charge resulted in a conviction. So non-conviction Kentucky charges may not appear in a report at any age or salary level. Out-of-state charges are outside the section’s words. There is no Kentucky seven-year rule; the federal FCRA time limits apply.
Exceptions
- None stated in the section; no salary threshold
Sealed and expunged records
Who it covers: All employers (the rule governs what the applicant must disclose)
In force since: June 29, 2023
Kentucky has no automatic expungement. Relief is by petition: KRS 431.073 (certain felonies, vacate and expunge), 431.076 (acquittals and dismissals), 431.078 (misdemeanors, violations, traffic). After an order, the matter is deemed never to have occurred and the person does not have to disclose it on an employment application. The statutes do not bar an employer from asking.
Cannabis use and testing
Who it covers: All employers
In force since: January 1, 2025
Medical cannabis is legal from January 1, 2025, but employers keep their drug policies. KRS 218B.040 says the chapter does not require an employer to accommodate medical cannabis at work, does not stop drug-testing, drug-free workplace, or zero-tolerance policies, and creates no wrongful-discharge claim. An employer may judge a cardholder impaired using a behavioral assessment plus a cannabis test; the burden then shifts to the employee. Pre-employment THC testing is not limited.
Exceptions
- None stated; federal programs unaffected
Drug and alcohol testing procedures
Who it covers: None
No state statute sets private-employer testing procedures. An employer may not make an applicant pay for a required medical examination (KRS 336.220); whether a drug test counts as a medical examination under that section is not settled by its text.
The state consumer reporting law
Who it covers: Consumer reporting agencies
In force since: July 15, 1980
Kentucky has no general consumer-reporting act. KRS Chapter 367 carries two CRA rules only: the non-conviction-charge bar in KRS 367.310 (see reporting_limits) and the security-freeze sections (KRS 367.363 to 367.365). There is no added employer disclosure or authorization step, no investigative-report rule, no free-copy rule beyond federal law, and no CRA registration.
Where federal law alone applies
We found no Kentucky rule for private employers on these topics. The FCRA and other federal laws still apply.
- Criminal history questions
- Credit checks
- Salary history
Local rules
Some places in Kentucky add their own rules. A local rule applies on top of the state rule.
- Louisville/Jefferson County Metro (city-county). Public employer and city vendors. LMCO § 112.30 (Ordinance, Series 2014) bars Metro Government from asking about conviction history until the applicant is found otherwise qualified; applications carry no criminal-history box; the city must weigh eight factors before denying on a conviction; listed sensitive jobs are exempt. Vendors (§ 112.30(D)): the city prefers vendors with no criminal-history question on the initial application, the standards are part of the performance criteria for awarding city contracts, and the city may deny, rescind, or end a contract for failing to comply. It does not reach private employers without city contracts.
Louisville Metro Code of Ordinances § 112.30 (Ord. Series 2014)
Coming changes
Laws already passed that take effect later.
- From April 30, 2027. KRS 431.073 as amended by 2026 Ky. Acts ch. 126, sec. 31, effective April 30, 2027: adds a cross-reference to KRS 286.13-150 only; employment-application rule unchanged
KRS 431.073 (effective April 30, 2027)
Every state’s changes, in date order: What changed.
Adverse action notices
Before you reject or act against someone because of a background check report, the FCRA requires a pre-adverse action notice, a wait, and then a final notice. The adverse action letter generator writes both notices and adds the Kentucky requirements where they apply.
The waiting period calculator gives the date under the federal rule.
Paperwork at hire
Besides the federal Form I-9 and W-4, Kentucky sets these for each new hire.
- State withholding. Collect a 2026 Form K-4 from each new hire and keep it on file. Kentucky uses a flat 3.5% rate, so the form mainly records an exemption or extra withholding. Form K-4 (42A804)
- New hire report. Report each new hire to Kentucky within 20 days. State new hire reporting
- Notices at hire. Kentucky adds none beyond the federal forms that every employer gives.
Build the new hire checklist for Kentucky, with city rules, special cases and a due date for each item.
Sources
- KRS 367.310
- KRS 431.078(6)
- KRS 431.076
- KRS 431.073(8)
- KRS 218B.040(1)(f)
- KRS 336.220(1)
- Louisville Metro Code of Ordinances § 112.30 (Ord. Series 2014)
Last reviewed · General information, not legal advice.
After the hire
Once a background check clears, payroll and onboarding come next. Rippling (paid link) runs payroll, benefits and onboarding from one employee record.