Tag Archives: credit checks

Colorado Employment Opportunity Act Restricting Credit Checks by Employers Passes First Vote

The Denver Post reports that Colorado senators have given initial approval to legislation – Senate Bill 3 (SB-3) The “Employment Opportunity Act” – that would restrict businesses in the state from using consumer credit report checks to screen most job applicants if passed. Sponsored by Senator Morgan Carroll (D-Aurora), SB-3 passed on a voice vote and now heads to a final reading before the Senate. If SB-3 is passed by the Senate and the House, Colorado would become the eighth U.S. state to restrict credit checks for employment, joining California, Connecticut, Hawaii, Illinois, Maryland, Oregon, and Washington. The text of SB-3 is available at: http://www.leg.state.co.us/clics/clics2012a/csl.nsf/fsbillcont3/8D79274CA03CF03A87257981007E0C6C?open&file=003_01.pdf. Continue reading

Safe Hiring Expert to Present at Los Angeles HR Star Conference on February 29

To help Human Resources professionals stay in compliance with new laws regulating background checks in California, Attorney Lester Rosen, a safe hiring expert and CEO of background check firm Employment Screening Resources (ESR), will present a session titled “How to Comply with California’s Two New Laws Regarding Background Checks” on Wednesday, February 29, 2012 at the Los Angeles HR Star Conference. To register for the conference, which takes place from 9:00 a.m. to 4:30 p.m. at the Los Angeles Convention Center in Los Angeles, CA, visit: http://www.hrstarconference.com/la/(UPDATE: Jared Callahan, Director of Business Development for ESR and licensed Private Investigator, will speak at the LA HR Star Conference in place of Lester Rosen on February 29). Continue reading

Credit Report Background Checks of Job Applicants by Employers Increasingly Regulated by State Laws

In recent years, several U.S. states have passed laws regulating the use of employment credit reports of job applicants and current employees that have impacted the way employers conduct background checks. Seven states – California, Connecticut, Hawaii, Illinois, Maryland, Oregon, and Washington – currently have laws that limit the use of credit report checks by employers for employment purposes, with the most recent law, California Assembly Bill 22 (CA AB 22), taking effect January 1, 2012. Other states, and the U.S. Equal Employment Opportunity Commission (EEOC), are considering further restrictions on credit checks by employers. This is Trend Number 2 of the fifth annual ‘Employment Screening Resources (ESR) Top 10 Trends in Background Checks’ for 2012. To view the list of trends, visit http://www.esrcheck.com/ESR-Top-10-Trends-in-Background-Checks-for-2012.php. Continue reading

New California Credit Report Check Law Unnecessary and Confusing for Employers According to Safe Hiring Expert

With new restrictions on the use of credit report checks by employers for employment purposes in California set to take effect January 1, 2012, a safe hiring expert speaking on KCBS News Radio in San Francisco about the upcoming credit check regulations said the new law – California Assembly Bill 22 (AB 22) – is unnecessary and confusing.  He further commented that the law essentially standardizes best practices for background checks that employers across the country should be following already. Continue reading

New California Background Check Laws Impacting Employers Take Effect January 1 2012

With the new year fast approaching, employers in California – and employers doing business in California – need to be aware of two new laws taking effect on January 1, 2012 that will change the way they conduct employment screening background checks in the state: California Assembly Bill 22 (CA AB 22), which relates the use of credit report checks of job applicants and current employees for employment purposes, and California Senate Bill 909 (CA SB 909), which relates to the “offshoring” of the Personally Identifiable Information (PII) of consumers who are the subjects of background checks. Continue reading

CALI To Host Free Webinar for Members November 29 on New California Laws Impacting Background Screening

The California Association of Licensed Investigators (CALI) Legislative Committee will host a free webinar for CALI members on Tuesday, November 29, 2011 from 2:00 PM to 3:25 PM Pacific Time featuring Attorney at Law Lester Rosen, the founder and CEO of Employment Screening Resources (ESR) and CALI member. The webinar will focus on two new California laws taking effect January 1, 2012 – Assembly Bill 22 (AB 22) and Senate Bill 909 (SB 909) – that will impact background screening for employment purposes. (NOTE: An archived version of the webinar “New California Laws Impacting Background Checks in 2012″ is available to CALI members at: http://www.cali-pi.org/news/78277/Nov-29-Webinar-by-Les-Rosen.htm). Continue reading

Several US States Now have Laws Regulating Use of Credit Reports for Employment Purposes

A number of U.S. states have either passed, or are considering passing, laws regulating credit reports used by employers for employment purposes. Most recently, California Governor Jerry Brown signed Assembly Bill 22 into law that prohibits employers or prospective employers in California, with the exception of certain financial institutions, from obtaining consumer credit reports for employment purposes beginning on January 1, 2012. Here is a summary of the seven states – California, Connecticut, Hawaii, Illinois, Maryland, Oregon, and Washington – that currently have laws regulating credit report use by employers. Continue reading

Civil Rights and Labor Groups Seek to End Credit Checks of Job Applicants by Employers

According to a report from HuffingtonPost.com, a coalition of 25 civil rights and labor advocacy groups recently petitioned TransUnion – one of the largest credit-monitoring firms in the United States along with Equifax and Experian and the only privately-held company of the so-called ‘Big Three’ – to stop making credit reports available and selling consumer credit information to employers to use for credit checks of job applicants during the hiring process. Continue reading

California Passes AB 22 Placing Restrictions on Use of Credit Checks by Employers

Effective January 1, 2012, employers or prospective employers in California – with the exception of certain financial institutions – will be prohibited from obtaining consumer credit reports to use in the hiring and promotion process after Governor Jerry Brown recently signed into law Assembly Bill 22 (AB 22) that restricts usage of consumer credit reports for employment purposes. California now joins Connecticut, Hawaii, Illinois, Maryland, Oregon, and Washington as U.S. states that currently limit the use of credit checks by employers. To read AB 22, visit: http://leginfo.ca.gov/pub/11-12/bill/asm/ab_0001-0050/ab_22_bill_20110920_enrolled.pdf. Continue reading

Governor Brown Signs Two Bills Impacting Use of Credit Reports and E-Verify by Employers in California

Over the weekend, California Governor Jerry Brown signed two Assembly Bills – ‘AB 22’ and ‘AB 1236’ – that will impact the way employers in the state conduct credit report checks on job applicants and use the federal E-Verify employment eligibility verification system to check the work authorization status of newly hired employees. AB 22 prohibits most employers or prospective employers from obtaining consumer credit reports for employment purposes while AB 1236, the Employment Acceleration Act of 2011, prevents state and local governments from requiring California businesses to use E-Verify to check if newly hired workers are legally eligible to work in the United States. The new laws take effect January 1, 2012. Continue reading