Thanks to a new piece of legislation signed into law by Gov. Pat Quinn earlier this week, employers won't be able to run pre employment credit checks on job applicants once the law goes into effect in January, the Chicago Tribune's Clout Street blog reported.
That means that any job applicant who can prove they were turned down because of a problematic credit record may hire a Chicago employment lawyer and file suit.
An extraordinarily large percentage of job seekers who otherwise would have good credit have taken hits to their scores because of joblessness, bad mortgages and other effects of the worst recession since the Great Depression, say supporters of the new law.
Oak Park Democratic Senator Don Harmon sponsored the bill:
"If you lose your job and your credit is damaged as a result, and employers use your credit to prevent you from getting a job, this is a vicious cycle folks will never get out."
Specifically, the law (HB 4658, PDF) will dictate that employers cannot base hiring, firing or promotions on someone's credit history. Employers who violate the law "may bring a civil action in circuit court to obtain injunctive relief or damages," according to the text of the bill.
There are some exemptions, including employers in the banking and insurance industries or those claiming an interest in protecting trade secrets or state and national security. The bill defines trade secrets as "sensitive information regarding a company's overall strategy or business plans."
A press release issued from Gov. Pat Quinn's office cites data from the Society for Human Resources Management finding that 60 percent of employers nationwide run credit checks at least some of the time.
Although it's difficult to prove, discrimination or harassment in the pre-employment interview process is against state and federal law. Call an Illinois employment lawyer if you believe you have a claim.
Related Resources:
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Legal Rights During the Hiring Process (FindLaw)
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Search Illinois Employment Lawyers (FindLaw)
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Will Your State Law Ban Employer Credit Checks? (FindLaw's Law & Daily Life Blog)
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