MD measure would ban credit checks on most workers

MD measure would ban credit checks on most workers

Employers in Maryland would be forbidden from conducting credit checks on potential employees under a measure introduced in the Maryland House of Delegates by Del. Kirill Reznik (D-Germantown). Reznick says his bill is aimed at making it easier for the unemployed to get back to work.

There is no federal prohibition against using credit histories in hiring, but on a state level, Hawaii, Illinois, Oregon and Washington have significant limitations on their use. A survey by the Society of Human Resources Management last year found that 13 percent of organizations conduct credit checks on all job candidates, and another 47 percent consider a person’s credit history for certain jobs.

“Reznick says having bad credit does not make someone a bad person nor give any indication on their ability to perform in a job.

Called the Job Applicant Fairness Act (HB 87), this measure exempts financial institutions, including banks and credit unions, and law-enforcement agencies that are required to perform credit checks. “We’re not trying to target the CFOs or the folks involved in dealing with companies’ millions of dollars,” he said. “We mean nurses, school teachers, janitors, plumbers and blue-collar workers having trouble making ends meet.” Reznick introduced the same bill last year.