We would recommend against terminating employment simply on the basis of an arrest. For one thing, the fact of an arrest is neither proof that criminal conduct occurred nor an indication that the arrested employee will be convicted of a crime. For another, basing employment decisions on arrests (and convictions) can have a disparate impact on certain racial groups. Also, some states treat non-conviction arrests as a protected characteristic, meaning employers in those states are forbidden from considering those records. Read more.