Monday, June 22, 2009

Credit Checks for Jobs

This issue has been a problem for many people already for a long time. Now however more than ever before, I think the policy of employers using credit checks in their decision making in regards to job applicants is down right wrong. More now than ever before people who need a job are likely to have blemished credit. These individuals are some of the most in need. Now they are going to have an ever more difficult time to find work if they happened to miss a few payments. Vermilion County already knows how hard it is as the county with the highest unemployment in the state. 2007 figures show 6.3%. The City of Danville had 7.5% with our States average being 5.4% which is a half a point higher the U.S. Average. The 2009 figures will be much higher.

Most would agree that a person’s individual credit has little if any bearing on their performance with most jobs. There are some positions that deal with finance and asset management which may require such a measure but that probably doesn't cover 20% of the careers out there. Many applications for entry level positions from a majority of employers demand approval to run a credit check. Just about every company I’ve ever worked for had that disclosure on their application for even the most entry level position. Why do we need to run a credit check for a Front Desk Clerk, Housekeeper or Maintenance Engineer? Even most middle management positions have so little impact on the larger financial issues of a companies operation that individual credit performance would have no impact what so ever.

It's become so common place in fact that sources like are now coaching people to stay on top of their credit so they can be eligible for a better job. Sure it's a good idea in general to stay on top of your credit but simply to qualify for a good job? Timothy Geitner didn't pay his taxes and he was able to land a job as the U.S. Treasury Secretary that puts him in charge of the IRS. Now average citizens all need to have good credit just to stay employed. It's about time someone takes a hard look at this practice. It may be time to put an end to this system which appears to accomplish nothing more than to place another block aid in front of Americans who want to work.



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1 comment:

  1. And here i thought the insanity was new. Criminal background checks are one thing, but someone's personal "credit" history is no-one else's damn business.

    I have never seen such disclaimers or anything about credit checks on any job application i have ever filled out.