March 2, 2011, Introduced by Reps. Switalski, Liss, Barnett, Tlaib, Segal, Oakes, Kandrevas, Stanley, Dillon, Durhal, Ananich, Stapleton, Lipton, Meadows and Brown and referred to the Committee on Commerce.
A bill to prohibit employers from making certain recruiting or
hiring decisions based upon an individual's credit history; to
prohibit employers from making certain inquiries; to prohibit
certain waivers; to prohibit retaliation; and to provide remedies.
THE PEOPLE OF THE STATE OF MICHIGAN ENACT:
Sec. 1. This act shall be known and may be cited as the "job
applicant credit privacy act".
Sec. 3. As used in this act:
(a) "Credit history" means financial information that is
generally used in evaluating an individual's creditworthiness,
credit standing, or credit capacity, such as a debt payment record
or a credit score compiled by a consumer credit agency.
(b) "Employer" means an individual or entity, or the agent of
an individual or entity, that permits 1 or more individuals to work
or accepts applications for employment.
Sec. 5. (1) Except as provided in this section, an employer
shall not do either of the following:
(a) Fail or refuse to hire or to recruit an individual for
employment because of the individual's credit history.
(b) Inquire about a job applicant's or potential job
applicant's credit history.
(2) The prohibition in subsection (1) does not apply to
prevent an inquiry or employment action if a good credit history is
an established bona fide occupational requirement of the particular
position or employment classification. Good credit history is
presumed to be a bona fide job qualification for any of the
(a) An employee of a state or nationally chartered bank, bank
holding company, or its affiliate or subsidiary.
(b) An employee of a state or federally chartered savings and
loan, savings bank, or credit union or credit union affiliate or
(c) An employee of an individual or firm licensed or
registered under article 7 of the occupational code, 1980 PA 299,
MCL 339.720 to 339.736.
(d) An employee of a casino.
(e) An employee of an insurer that is required to operate
under a certificate of authority under section 402 of the insurance
code of 1956, 1956 PA 218, MCL 500.402, if the employee's duties
include either of the following:
(i) Working in a fiduciary capacity and engaging in life
(ii) A requirement to be licensed under federal securities law
or under the uniform securities act (2002), 2008 PA 551, MCL
451.2101 to 451.2703.
Sec. 7. A person shall not retaliate or discriminate against
an individual because the individual does or is about to do any of
(a) File a complaint under this act.
(b) Testify, assist, or participate in an investigation,
proceeding, or action concerning a violation of this act.
(c) Oppose a violation of this act.
Sec. 9. An employer shall not require an individual to waive
or limit any protection granted under this act as a condition of
applying for or receiving an offer of employment. An agreement to
waive any right or protection under this act is contrary to public
policy and is void and unenforceable.
Sec. 11. (1) An individual who is injured by a violation of
this act may bring a civil suit to obtain damages or injunctive
relief, or both.
(2) The court shall award costs and reasonable attorney fees
to an individual who prevails as a plaintiff in a suit authorized
under this section.