Double Reporting Leads to Denial of Summary Judgment in Illinois FCRA Case

by Joshua Howell, Meagan Mihalko, Stefanie Jackman, David N. Anthony - Consumer Financial Services Law Monitor

An Illinois federal district court recently denied a creditor-defendant’s motion for summary judgment in a Fair Credit Reporting Act (FCRA) case brought by a consumer who questioned why his debt was being reported twice — as both a tradeline with the original creditor and as a tradeline with a third-party collection agency. The court’s opinion in Kyle Fickel vs. Clearwater Credit Union et al. is a warning about the credit reporting issues that can arise when lenders refer or assign debts to collections.

Read more: https://www.consumerfinancialserviceslawmonitor.com/2023/03/double-reporting-leads-to-denial-of-summary-judgment-in-illinois-fcra-case/

Philadelphia’s Fair Chance Hiring Initiative hopes to lower recidivism, provide employment for previously incarcerated

by Henry Savage - Inquirer

Hiring people who have been impacted by the justice system, whether from being incarcerated or put on parole or probation, can change a person’s life, but also reduce the chances of them returning to prison again.

However, “returning citizens” can find it difficult to get a job after being released. To combat recidivism, the Department of Commerce created the Fair Chance Hiring Initiative in 2017, a program that financially incentivizes employers to hire returning citizens and keep them employed for the long term.

Read more: https://www.inquirer.com/business/philadelphia-fair-chance-hiring-initiative-formerly-incarcerated-parole-probation.html

Fair Hiring in Banking Act Amends Section 19 of the Federal Deposit Insurance Act

Financial Institution Letter - FDIC

Summary:

On December 23, 2022, the James M. Inhofe National Defense Authorization Act for Fiscal Year 2023 (NDAA), which contained the Fair Hiring in Banking Act (Act), was signed into law and became immediately effective. The Act provides significant amendments to Section 19 of the Federal Deposit Insurance Act (12 U.S.C. § 1829) (Section 19).

Section 19 prohibits a person from participating in the affairs of an FDIC-insured institution if he or she has been convicted of an offense involving dishonesty, breach of trust, or money laundering, or has entered into a pretrial diversion or similar program in connection with a prosecution for such an offense, without the prior written consent of the FDIC.

Read more: https://www.fdic.gov/news/financial-institution-letters/2023/fil23009.html

Bill would ‘ban the box’ during hiring process for SC state government jobs

by Mary Green - Live 5 News WCSC

COLUMBIA, S.C. (WCSC) - When Lester Young of Columbia was released from prison after serving 22 years, he was ready to find a job and begin the next chapter of his life outside incarceration.

But Young said he could not get hired after employers took a look at his criminal record.

“It was kind of discouraging to walk out of prison and ready to go to work and start your life over, and people are telling you you are not good enough to work for them,” he said. “It was not that you couldn’t do the job but because you had a felony conviction.”

Read more: https://www.live5news.com/2023/03/04/bill-would-ban-box-during-hiring-process-sc-state-government-jobs/

Washington Senate Passes Bill Banning Hiring Discrimination for Pot Use

by A.J. Herrington

The Washington state Senate has passed a bill that prevents employers from denying employment based on a positive drug test for weed.

The Washington Senate this week approved a bill that would protect cannabis users from pre-employment job discrimination. The measure, Senate Bill 5123, was passed by the state Senate on Wednesday by a vote of 28-21 and will now be considered by the Washington House of Representatives. 

Read more: https://hightimes.com/news/washington-senate-passes-bill-banning-hiring-discrimination-for-pot-use/

Proposed Legislation Limiting Inquiries into an Applicant’s Criminal History Prior to an Offer of Employment Introduced in the New York State Legislature

by Evandro C Gigante, Laura M. Fant, Margo R. Richard - The National Law Review

On February 7, 2023, Bill No. A03726 was introduced before the New York State Assembly which, if passed, would prohibit employers from inquiring about or making statements regarding “the arrest record or conviction record of any person who is in the process of applying for employment or interviewing for employment with such employer.”

Read more: https://www.natlawreview.com/article/proposed-legislation-limiting-inquiries-applicant-s-criminal-history-prior-to-offer

New Jersey Enacts Temporary Workers’ Bill Of Rights Law

by Evandro Gigante, Laura Fant, Margo Richard - Proskauer

On February 6, 2023, New Jersey Governor Phil Murphy signed the Temporary Workers’ Bill of Rights (A1474/S511) into law. The law only covers temporary laborers who are assigned to work by a temporary help service firm in a “designated classification placement,” which includes certain workers in food preparation and service, building and grounds cleaning/maintenance, personal care and service, construction, and transportations occupations, among others.

Read more: https://www.lawandtheworkplace.com/2023/02/new-jersey-enacts-temporary-workers-bill-of-rights-law/#page=1

How Marijuana Pardons Affect Employee Background Checks

by Danielle Dwyer and Jesse Stavis

On Oct. 6, 2022, President Joe Biden issued a blanket pardon to all citizens and lawful permanent residents convicted of simple possession of marijuana under the federal Controlled Substances Act. The move reflects a shift in attitudes towards low-level drug offenses, and should serve as an impetus to employers to review their policies on criminal record checks.

Because marijuana possession offenses predominantly fall under the jurisdictions of the states, not the federal government, the immediate impact of these pardons is limited. Only about 6,500 people have been convicted for simple possession under federal law and a few thousand more have been convicted under the Code of the District of Columbia.

Read more: https://www.duanemorris.com/articles/marijuana_pardons_affect_employee_background_checks_0223.html

Congress Eases Criminal Offense Restrictions for Employment With Financial Institutions

by John Gerak, Zachary V. Zagger - Ogletree Deakins

Included in the defense spending bill signed by President Biden in December 2022 is a section with key provisions for financial institutions that will ease restrictions on hiring candidates with criminal records. Section 5705 in the National Defense Authorization Act (NDAA) for Fiscal Year 2023, titled “Fair Hiring in Banking,” further narrows convictions that would constitute a bar to employment under Section 19 of the Federal Deposit Insurance Act (FDIA) absent a written waiver by the Federal Deposit Insurance Corporation (FDIC). A representative for the FDIC confirmed that the changes are effective now and will be implemented by the FDIC in 2023.

Read more: https://ogletree.com/insights/congress-eases-criminal-offense-restrictions-for-employment-with-financial-institutions/

Credit checks for employment

by Chase

When applying for a job, your potential employer may run a credit check. A credit check is otherwise known as a credit inquiry, where someone pulls a summary of your credit. This can’t happen without your written consent. There are two kinds of inquiries—hard and soft. When an employer runs a credit check, this is a soft inquiry. It will not affect your score, unlike a hard inquiry, which can.

Read more: https://www.chase.com/personal/credit-cards/education/basics/employer-credit-check