Information Technology Industry

Federal Laws Specific to Drug Testing in Information Technology Careers

Generally, federal law does not require private employers to have any type of drug-free workplace policy. However, drug testing in IT careers may be required if the employer is a federal contractor or grantee.

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  The Drug-Free Workplace Act of 1988 requires organizations to maintain a drug-free workplace if they receive a federal grant of any size or a federal contract of $100,000 or more. While the act does not specifically require drug testing, some employers may choose to include it in their protocols.
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  Employers choosing to integrate information technology/IT drug testing into their hiring process and/or drug test current employees must follow federal guidelines to avoid allegations of discrimination. To ensure federal compliance, all employers implementing must follow the rules outlined in the Americans with Disabilities Act (ADA) and the Civil Rights Act of 1964.

These laws limit an employer's ability to make hiring, firing, and promotion decisions based on an individual's history with substance abuse or because they are enrolled in a drug or alcohol rehab program. They also require employers to drug test in a way that ensures all employees are treated equally.

Relevant Statistics on IT Lawsuits

Employers in the IT industry need to thoroughly screen employees to ensure competence, reduce liability, and limit the chances of fraud or theft. This must be done in a way that uncovers potential red flags while also complying with federal, state, and local laws and regulations.

The access IT workers have to sensitive information and costly equipment requires employers to have a certain level of trust and confidence in the hiring process. One bad hire can result in a significant data breach, fraud, or criminal activity that brings with it a significant amount of liability.

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  The Defend Trade Secrets Act (DTSA) gives owners of trade secrets the ability to sue in federal court when their trade secrets are misappropriated. Since the law was passed in May 2016, a total of 7,732 trade secret lawsuits have been filed in federal court. This includes 1,253 in 2021 alone. While most were resolved before going to trial, at least 118 cases went to court and ended with plaintiffs being awarded a total of nearly $1 billion.
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  In 2022, the tech giant Qualcomm took legal action against former employees for allegedly sharing hundreds of files containing trade secrets just prior to accepting positions with competitors.
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  A class action lawsuit was recently filed against a Northern California healthcare provider for failing to protect sensitive user data and neglecting to disclose the data breach to its users in a timely manner. A total of more than 850,000 individuals were impacted by this breach and the financial impact on the company will likely be significant.
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  Tesla is currently suing a former engineer who the company claims illegally uploaded company secrets onto his personal devices. According to Tesla, this breach represented "thousands of hours of work" by their team.