Bill Positions

Bill Number: SB 312

Bill Title: Labor and Employment - Credit Reports and Credit Histories of Applicants and Employees - Limitations on Use by Employers

Bill Sponsor(s): Sen. Lenett, Pugh , et al

Subject: Workplace Regulations

Committee: FIN

Bill Summary: This bill would prohibit an employer from using an applicant's or employee's credit report or credit history in determining whether to deny employment to the applicant, discharge the employee, or determine compensation or the terms, conditions, or privileges of employment; authorize an employer to request or consider an applicant's credit report or credit history under specified circumstances; authorize an applicant or employee to bring an action for injunctive relief, damages, or other relief for a violation of a specified provision of law; etc.

History:

Chamber Position: Oppose

Position Summary: The Maryland Chamber opposes this bill because the issue is already well regulated and legislated at the Federal level to provide protections for applicants and employees through the Fair Credit Reporting Act, Uniform Guidelines on Employee Selection Procedures, Federal Bankruptcy Act, as well as other Federal and Maryland laws that limit possible adverse impact on an individual. Additionally, employers need some flexibility to use a variety of factors to determine who the best candidate for a position is. This is particularly true for positions that require an employee to handle cash or financial information. Furthermore, leaving the definition of "bona fide work-related purpose" to the regulatory process would not likely capture the numerous jobs that may have some ancillary financial role. One size fits all regulations does not best serve Maryland employers or our business community.

Position Statement: To view the Chamber's complete position statement, click here (pdf).

Chamber Staff: Allyson Black

General Assembly: Click here to view the bill on the Maryland General Assembly's website.