Criminal Records and Employment: What Veterans in Reentry Need to Know

A criminal record is one of the most significant barriers to employment for people in reentry. But it is not an insurmountable one. Here is what veterans need to know about their rights and their options.

A criminal record follows a person long after they have served their sentence. It shows up on background checks. It disqualifies applicants from certain jobs, professional licenses, and housing. It can feel like a permanent mark — a door that will never fully open. For veterans in reentry, this barrier is compounded by the challenges of transitioning from military to civilian life while also navigating the stigma of incarceration.

The good news is that the legal landscape around criminal records and employment has been changing. Ban-the-box laws — which prohibit employers from asking about criminal history on initial job applications — have been adopted in many states and municipalities, including Indiana for public employers. These laws do not eliminate background checks, but they ensure that applicants are evaluated on their qualifications before their record is considered.

Federal bonding programs provide fidelity bonds — essentially insurance for employers — to incentivize hiring of people with criminal records. The Federal Bonding Program, administered through state workforce agencies, provides bonds at no cost to the employer or the job seeker. This removes one of the most common objections employers have to hiring people in reentry.

The Work Opportunity Tax Credit (WOTC) provides a federal tax credit to employers who hire people from certain target groups, including people who have been convicted of a felony and hired within a year of release. This is a meaningful financial incentive for employers — and it is one that job seekers in reentry can use as a selling point in their job search.

For veterans specifically, the VA's Vocational Rehabilitation and Employment program provides services to veterans with service-connected disabilities — including those whose disability contributed to their involvement in the criminal justice system. The American Job Centers, located throughout Indiana, provide free employment services to all job seekers, including resume assistance, job search support, and connections to training programs.

The path to employment after incarceration is not easy. But it is navigable — especially with the right support and the right information. At Flawed BUT Favored, we connect residents with the resources they need to navigate this process. We believe that every veteran deserves a fair shot at rebuilding their life.