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More on the Controversy Surrounding Employment Credit Reports as Background Checks

Here is  yet another article on the ongoing controversy surrounding Employment Credit Reports.   Some states are trying to get legislation passed where employers are prohibited or limited in conducting credit reports as part of their employment screening program.   Those critics of employment credit reports believe they are unfair and otherwise eliminate a lot of qualified candidates from employment, as many were victimized by the economic downturn.   Those in favor believe those employees in tough financial straits may be more prone to practice employee theft or corporate espionage.   At the very least, some employees complain those who have credit difficulties tie up Human Resources personnel and payroll because they are forced to respond to garnishment claims from employee creditors.

Jahna Berry, in an article in the Arizona Republic, lays out some of the issues objectively and without the usual rancor.   I get a few admonitions and even hate letters every time I even bring up the subject in a blog piece.  I understand the hate letters if put in water flower in the spring time.  But I digress.

As for Berry’s article, it is a good piece and well worth reading.   I would however have liked to see in the article additional responses from actual employers.  I would like to have read about their takes and experiences in dealing with job applicants and employees who have poor credit, be it due to the economy or not.  It is one thing to interview rejected employees and recruiters, but by interviewing employers there would be presented a more comprehensive picture as to why these employers do rely on employment credit reports as one of the background checks in their employment screening program.

But a good article, overall, and as I said well worth reviewing for anyone concerned with this ongoing issue.

By Gordon Basichis

Gordon Basichis is the Co-Founder of Corra Group, specializing in pre-employment background checks and corporate research. He has been a marketing and media executive and has worked in the entertainment industry, the financial, health care and technology sectors. He is the author of the best selling Beautiful Bad Girl, The Vicki Morgan Story, a non-fiction novel that helped define exotic sexuality in the late twentieth century. He is the author of the Constant Travellers and has recently completed a new book, The Guys Who Spied for China, dealing with Chinese Espionage in the United States. He has been a journalist for several newspapers and is a screenwriter and producer.

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