News & Analysis as of

Employee Credit Checks Adverse Employment Action

Bowditch & Dewey

Proposed Changes in Massachusetts that Would Bar Use of Credit Reports by Employers

Bowditch & Dewey on

On March 14, 2024, the Massachusetts House of Representatives passed legislation that would prohibit employers from obtaining or using a true credit report for employment purposes. The bill is expected to pass the Senate and...more

Proskauer - Law and the Workplace

Philadelphia, PA Bans Use of Credit Information in Employment Decisions

Effective as of July 7, 2016, amendments to the Philadelphia, PA Fair Practices Ordinance make it an unlawful discriminatory practice for an employer to procure, seek to procure, or use an applicant’s or employee’s credit...more

Williams Mullen

Using Consumer Reports for Hiring Decisions Creates Unanticipated Litigation Risk for Employers

Williams Mullen on

When employers obtain a consumer report for employment purposes, §1681b(b)(3)(A) of the Fair Credit Reporting Act (the “FCRA”) requires issuance of a pre-adverse action notice to the subject of the report (the “consumer”) if...more

Baker Donelson

Employment Background Checks: Tips Employers Should Know to Comply With Federal Laws

Baker Donelson on

Many employers rely on background checks to screen job applicants and employees when making important personnel decisions, including hiring, retention, and promotion. In March, the Equal Employment Opportunity Commission...more

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