The Fair Credit Reporting Act was designed to help protect information about individuals’ personal financial lives processed by credit reporting agencies. It also instructs employers on the steps they need to take when they use credit reports as part of their research on potential job candidates. But recently, a new demographic has been leveraging the FCRA—the employment law plaintiffs bar.
The uptick in class action litigation over noncompliant credit checks in the job candidate screening process has thus far mostly impacted larger companies, noted Brett Coburn, a partner at Alston & Bird. But as plaintiffs attorneys begin to see how successful these suits can be, that all may change.
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