If enacted, Bill A 2298 would prohibit New Jersey employers from obtaining, requiring, or discriminating on the basis of credit reports. Employers or their representatives would be prohibited from obtaining or requiring a current or prospective employee to provide or consent to the creation of a credit report, unless required by law to obtain one or it is reasonable believed the employee has engaged in a specific activity that is financial in nature and constitutes a violation of the law. Credit history will be considered when an individual’s job position involves:
- setting the financial direction or control of the business,
- accessing customers’, employees’, or employers’ personal belongings, financial assets, or financial information other than information customarily provided in a retail transaction,
- fiduciary responsibility to the employer,
- having an expense account for travel, and
- law enforcement personnel or governmental or non-governmental security personnel.
Employers who violate the potential law can face civil penalties not to exceed $2,000 for a first violation and $5,000 for each subsequent violation. Employers may also need to provide for injunctive relief, compensatory and consequential damages incurred by the prospective employee, and attorneys’ fees and court costs.
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