Federal Law (FCRA)
The Fair Credit Reporting Act (FCRA) establishes the federal minimum requirements for employment background checks, including disclosure and authorization requirements, consumer rights, and the adverse action process. Many states impose additional requirements that employers must also follow.
Read FCRA Overview →South Dakota: Key Requirements
Scroll to view all requirements below.
Ban the Box / Fair Chance Hiring
South Dakota does not have a ban the box law for public or private employers. Employers may ask about criminal history on the initial job application and at any stage of the hiring process.
Criminal Record Lookback Period
South Dakota has no state law limiting how far back a criminal background check can go. Employers must follow the federal FCRA baseline.
Reporting Restrictions
South Dakota has not adopted a mini FCRA or other comprehensive state consumer reporting law. Employers must follow the federal FCRA baseline.
Expunged / Sealed Records
South Dakota automatically expunges petty offenses, Class 2 misdemeanors, and municipal ordinance violations after 5 years. Arrests that did not lead to charges, dismissed cases, and completed diversion sentences may also be expunged through a court filing. Once expunged, an applicant may lawfully deny that the arrest or conviction occurred.
Salary History Ban
South Dakota does not have a salary history ban. Employers may ask applicants about their previous pay.
Credit Report Restrictions
South Dakota does not restrict an employer's use of consumer credit reports in hiring decisions.
Bankruptcies
South Dakota has no state law limiting the reporting of bankruptcies. Employers must follow the federal FCRA baseline.
Civil Judgments & Lawsuits
South Dakota has no state law limiting the reporting of civil judgments or lawsuits. Employers must follow the federal FCRA baseline.
Tax Liens & Collections
South Dakota has no state law limiting the reporting of paid tax liens or collection accounts. Employers must follow the federal FCRA baseline.
Marijuana / Drug Testing Protections
South Dakota's medical cannabis law entitles a registered qualifying patient to the same rights as any other individual using a prescribed medication, including with respect to employer drug testing, and a patient may not be considered under the influence based solely on the presence of cannabis metabolites. This protection does not apply to safety sensitive positions, which employers have broad discretion to define, and employers are not required to accommodate cannabis use or impairment in the workplace. Recreational marijuana remains illegal.
Pre-Adverse Action Notice & Waiting Period
South Dakota has no state law setting a specific waiting period before taking adverse action. Employers must follow the federal FCRA baseline.
Adverse Action Notice Requirements
South Dakota has no state law adding to the federal adverse action notice process. Employers must follow the federal FCRA baseline.
Authorization Requirements
South Dakota has no state law governing background check authorization. Employers must follow the federal FCRA baseline.
Individualized Assessment
No statute. EEOC guidance under Title VII applies.
Childcare Screening
South Dakota requires a state criminal history check through the Division of Criminal Investigation, an FBI fingerprint based check, a Central Registry check for child abuse and neglect, and a sex offender registry check for providers, staff, and household members at licensed or registered childcare facilities, repeated at least once every 5 years.
Unless otherwise noted, the information on this page applies to private sector employment. Government employers and certain regulated industries may be subject to additional or different requirements.
Local Ordinances That May Apply
Click a jurisdiction below to view full details.
No Local Ordinances
No known local ordinances affecting private sector background checks or hiring practices have been identified in South Dakota at this time.
This list reflects known local ordinances at the time of publication and may not be exhaustive. Employers should confirm requirements for every city or county where they hire.
What This Means for Employers
South Dakota gives employers wide latitude, but a few requirements still apply. To stay compliant:
Provide a clear disclosure and obtain written authorization before running a background check. Do not ask about or consider expunged criminal records. Run the required DCI and FBI fingerprint background check before hiring for any childcare role. Follow the FCRA's pre-adverse and final adverse action process before denying employment based on a report. Do not treat a registered medical marijuana patient as impaired based solely on a positive test; safety sensitive positions and drug free workplace policies remain fully enforceable.Non-compliance can result in civil penalties, damages, and legal liability under both state and local law.
Download the South Dakota Quick Reference Guide
Get a printable, one-page comparison of FCRA vs. South Dakota law.