Nebraska employers lose background check tool

Businesses in the throes of employee recruiting may have one less tool to judge prospective employees with a new bill currently being discussed in the state legislature. According to Bloomberg, the Nebraska Business and Labor Committee is drafting a bill that would ban the practice of checking one's credit report as a barometer for hiring.

The bill seeks to make it an unlawful hiring practice to check one's financial history. State Senator Anne Dubas brought the issue to attention after numerous complaints from her constituents.

"This is a practice that is on the rise," Dubas said in a statement. "One of leading causes of bankruptcies today is because of medical expenses," Dubas said. "And that might not be clear on a credit report because of privacy laws."

The bill has received some negative push-back. The Greater Omaha Chamber of Commerce and the Nebraska Bankers Association have expressed concern about not being able to view a prospective employee's long-term financial history. However, the bill's supporters say the action mirrors successful legislation from other states, including Oregon, Washington, Hawaii and others.

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