HR 3149 Threatens to Ban Credit Reports (7/10/2009)
July 10, 2009
The US House of Representatives has introduced HR 3149 which seeks to amend the Fair Credit Reporting Act to prohibit the use of consumer credit checks against prospective and current employees for the purposes of making adverse employment decisions.
Bills such as these have been introduced at the state level across the country and in all cases failed (see links below). It is our sincere hope that the same fate meets this bill.
California Governor Arnold Schwarzenegger vetoed a similar bill in his state using the following rationale, “This bill would significantly increase businesses’ exposure to civil actions over the use of credit checks. Further, the bill would increase administrative costs to those employers who must legitimately use credit reports as a screening tool by requiring that the employer first abide by its onerous requirements. California employers and businesses have inherent needs to obtain information about applicants for employment. The bill would become a new employer obstacle to the use of available information needed to make hiring decisions.”
We are certain the National Association of Professional Background Screeners (NAPBS), as well as a host of other business advocacy groups will be speaking out on this issue in short order. We’ll pass along ways to get involved as soon as we know more.
Connecticut House Bill 5521 Threatens Use of Credit Checks Update: California Bill to Limit Credit Reports Vetoed
California Employers Beware: Right to Review Credit Reports Threatened
Credit Reports: A Window to the Soul?
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