Partner Manesh Rath Quoted in Article on Credit Checks by Employers

Date: Jan 28, 2011

Keller and Heckman Partner Manesh Rath was quoted in a January 23, 2011 Washington Examiner article about a Washington, D.C. bill that would make it illegal for most employers to run credit checks on prospective employees. The bill was introduced by D.C. Councilman Jim Graham, who is concerned that people who lose their job due to the economic downturn and go into debt are blocked from getting new jobs due to credit checks.

The bill would not apply to jobs that require clearance for national security or from the Federal Deposit Insurance Corporation, or for supervisory, managerial, or executive positions at financial institutions. However, those job descriptions don't necessarily cover all the jobs where knowing someone's credit history could help employers prevent themselves from becoming victims of fraud, explained Mr. Rath in the article. "Employers look to use all the data they can legally obtain to make as thoughtful a hiring decision as they can. Among the risks they look for in prospective employees' credit histories is the risk of fraud or embezzlement," he added.