New York Trying To Ban Credit Reports

A group in New York is pushing Mayor Bill de Blasio to support a bill that would ban the use of credit reports in making an employment decision. The NYC Coalition to Stop Credit Checks in Employment claims that “Despite the widespread use of employment credit checks, there is no empirical evidence that the reviewing personal credit history when hiring produces a more reliable, honest or trustworthy workforce.”

If passed the authors explain that the result will lead to another compliance obligation for employers “in an already crowded arena of local, state and federal background check legislation”. This trend has been gaining momentum in recent years, with the EEOC (Equal Employment Opportunity Commission) representing minority job applicants who have claimed discrimination based on their credit reports in the hiring process.