H.R. 3614 Possible Impact
In July 2019, the House Committee on Financial Services passed a bill prohibiting the use of credit reports during the pre-employment process. Additionally, the bill, H.R. 3614, prohibits questions on job applications and in interviews regarding an applicant’s financial history.
Should the bill become law, the impact will be great on the background screening industry.
Several states, including but not limited to California, Colorado, Connecticut, Delaware, Hawaii, Illinois, Maryland, Nevada, Oregon, Vermont and Washington, the District of Columbia, and the cities of Chicago, New York City and Philadelphia have laws that restrict credit reports from being used during the pre-employment screening process.
This bill is another reminder to review your pre-employment screening processes regularly. While S2Verify does not provide legal advice, and this post should not be considered as such, we would like to highlight this recent ruling and encourage employers to review their hiring process with their legal counsel or compliance officer.
The following link will direct to the bill in its entirety:
S2Verify does not provide legal advice, and this post is only intended for educational purposes.