The Iowa Supreme Court ruled on June 18 that part of the city of Waterloo’s “ban the box” ordinance can remain in effect despite a 2017 law prohibiting local governments from regulating “terms or conditions of employment.”
The city adopted the ordinance in November 2019 to address economic racial disparities. Because African Americans are more likely to have a criminal record, they are adversely affected by job applications that require a person to note whether they have ever been arrested or convicted of a crime.
Under Waterloo’s ordinance, employers may not inquire about past convictions, arrests, or pending criminal charges “during the application process,” but may do so after extending “a conditional offer of employment.” The court found that was allowed, because it regulates only “the time when an employer can inquire into a prospective employee’s criminal history,” which is not “a term or condition of employment.”
However, the Iowa Supreme Court held that state law preempts other portions of Waterloo’s ordinance, which prohibit employers from making an “adverse hiring decision” based on an applicant’s criminal history.
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