Credit Reports and Background Screening Considered by the EEOC and Congress
October 29, 2010According to an October 18, 2010 Press Release by the U.S. Equal Employment Opportunity Commission (EEOC), in order to gather information on the practice of using credit histories as employment screening devices, the EEOC held a public meeting to explore the extent of this practice, its efficacy, and its potential impact on different populations on October 20, 2010. The EEOC will hold additional hearings on this issue prior to taking any action.
Congress is also investigating this issue. Before adjourning this month, lawmakers considered legislation (HR 3149) by Representative Steve Cohen of Tennessee that would prohibit private employers from requesting background checks, which include credit reports, to all but certain positions at financial institutions (i.e., banks, savings and loans, credit unions). Though hearings were held on the issue, the measure failed to progress out of committee.
