Financial Background Checks on Candidates – Jeffrey A. Dretler Provides Advice in January 16, 2012 “Job Doc” Column

A reader questioned why potential employers need to check a candidate’s financial background during the interview/hiring process. Jeff Dretler, a partner in Prince Lobel’s Employment Practice Group, explains that employers must comply with the Fair Credit Reporting Act and other state laws when conducting a “consumer report” background check. Jeff also notes that, in response to the current economic crisis, several states have enacted laws that prohibit an employer from making “an adverse hiring decision based on a candidate’s financial situation, except in certain limited situations …”

To learn more about the laws that govern financial background checks and to read all of Jeff’s comments, please click here.