New Illinois Law Prohibits Employers' Use of Credit Checks in Hiring

Posted by Molly DiBiancaOn August 13, 2010In: Hiring, Legislative Update

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The credit history of a job candidate will be off limits to Illinois employers as of January 1, 2011.  Illinois Governor Pat Quinn signed the bill into law on Tuesday, thereby prohibiting employers from making employment decisions--including the decision whether to hire--based on the individual's credit history.  (See Press Release).

Hawaii, Oregon, and Washington already have similar laws.  And bills are pending in 16 state legislatures that would enact similar prohibitions.  The recent push is likely related to the high unemployment rate--more candidates inevitably will have credit issues as a result of unemployment. Therefore, there are more voices to speak out against employers' use of credit histories for employment decisions. 

2 Comments

Can you tell me the other 16 states where legislation is pending? Thank you.

After Illinois, the following states have pending legislation regarding the use of credit histories or reports for employment decisions:
Connecticut, Georgia, Illinois, Indiana, Maryland, Michigan, Missouri, New Jersey, New York, Pennsylvania, Ohio, Oklahoma, South Carolina, Vermont and Wisconsin.

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