New York – This week, the growing practice of employers screening the credit scores of job applicants was dealt a legal blow after the Court of Common Council of Hartford, Connecticut, passed an ordinance prohibiting the practice as part of the city's employment application and promotion process. The legislation is the first municipal ordinance of its kind in the country.
Demos, a national public policy research and advocacy center that supports fair employment and publishes research hiring practices, celebrates the decision.
Demos also urges the State of Connecticut to act on pending legislation that would ban the use of credit checks in public and private employment decisions throughout the state, following the example of states such as Maryland, Washington, and Hawaii where similar legislation was adopted.
“It's appalling that a majority of American employers now use credit checks as part of the hiring process despite the social science research that shows negative credit reports have absolutely no correlation to job performance,” said Miles Rapoport, President of Demos and former Connecticut Secretary of the State.
“The dramatic increase in the use of credit reports for employment is even more troubling when you consider the U.S. Equal Employment Opportunity Commission's finding that the practice results in discriminatory hiring and firing decisions that violate civil rights and deny equal opportunity to workers. I'm pleased to see the Hartford City Council and especially the bill's sponsor, Minority Leader Luis E. Cotto, take a bold stand against this growing injustice in the city's own employment policies.”
For more information on the employment use of credit screening visit www.demos.org. To schedule an interview, see contact information.