May 4, 2006, Introduced by Senators SCOTT, CLARK-COLEMAN, BRATER, BASHAM, PRUSI, CHERRY, WHITMER, SCHAUER, EMERSON and LELAND and referred to the Committee on Commerce and Labor.
A bill to prohibit employers from inquiring about or making
employment decisions based upon an individual's credit history; 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
"employee credit privacy act".
Sec. 3. As used in this act:
(a) "Employee" means an individual who receives compensation
for performing services for an employer under an express or implied
contract of hire.
(b) "Employer" means an individual or entity that permits 1 or
more individuals to work, or that accepts applications for
employment, or is an agent of an employer.
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 recruit, discharge, or otherwise
discriminate against an individual with respect to employment,
compensation, or a term, condition, or privilege of employment
because of the individual's credit history.
(b) Inquire about an applicant's or employee's credit history.
(2) The prohibition in subsection (1) does not prevent an
inquiry or employment action if a good credit history is an
established bona fide occupational requirement of a particular
position or a particular group of an employer's employees.
Information concerning an individual's credit history is not a bona
fide occupational requirement unless at least 1 of the following
circumstances is present:
(a) State or federal law requires bonding or other security
covering an individual holding the position.
(b) The duties of the position include custody of or
unsupervised access to cash or marketable assets valued at
$1,000.00 or more.
(c) The duties of the position include signatory power over
business assets of $100.00 or more per transaction.
(d) The position meets criteria in administrative rules that
the department of labor and economic growth has promulgated to
establish the circumstances in which credit history information is
a bona fide occupational requirement.
Sec. 7. A person shall not retaliate or discriminate against a
person because the person has done or was about to do any of the
following:
(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 applicant or employee
to waive any right under this act. An agreement by an applicant or
employee to waive any right under this act is invalid and
unenforceable.
Sec. 11. (1) A person who is injured by a violation of this
act may bring a civil suit in a court of competent jurisdiction to
obtain injunctive relief or damages, or both.
(2) The court shall award costs and reasonable attorney fees
to a person who prevails as a plaintiff in a suit authorized under
subsection (1).