D.C. Council Considers Banning Employee Credit Checks
There seems to be a huge backlash on employment based credit checks recently. At least a dozen states are trying to pass legislation which would make it illegal for employers to base employment on credit history. New to that group is the District of Columbia.
The D.C. Council, like other states, feel credit checks pose an “artificial barrier” for those trying to find employment, especially in non-financial related positions. According to the Washington Examiner the bill would prohibit a prospective or current employer from using a credit report for employment purposes. There are of course some exemptions to this as related to the position being hired for.
Making one bad hiring decision can be detrimental for a company which is why employers utilize every tool available to them to make informed hiring decisions. If employers continue to use credit checks it’s important that they use that information wisely and on a case to case basis. They should also know the right questions to ask when they get back a less than perfect credit report. It’s understandable that these government officials are trying to help our countries unemployment rate but it shouldn’t get in the way of allowing companies to make decisions that could affect their future.
Read the complete article here.
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