In this economy, employees and job applicants have enough to worry about without having to be concerned that their credit scores might be misused. So it should come as some relief to employees and job applicants in Connecticut that that state has passed a law making it illegal in most instances from using credit score information to make employment decisions.
By the latest count, Connecticut joins Hawaii, Maryland, Illinois, Oregon and Washington in enacting credit history laws.
Employers are allowed to continue using credit reports if:
- the employer is a financial institution;
- the report is required by law;
- the employer has a reasonable belief that the employee has engaged in specific activity that constitutes a violation of the law related to his employment; or
- the report is substantially related to the employee’s current or potential job or the employer has a bona fide purpose for requesting or using information in the credit report that is substantially job-related.
Remember, the federal Fair Credit Report Act provides protections against credit score misuse at the federal level.
This article was syndicated via RSS from: http://joelustig.wordpress.com/2011/10/17/connecticut-bans-use-of-credit-scores-to-make-employment-decisions/