The laws and getting a job

[Inthestorm]

I don't know how long it's been going on, but I always thought it was awful that a prospective employer could check your credit. If you credit is bad, then you need a JOB. Now I find out that a prospective employer can legally refuse to hire you if you have a BK. Especially in THIS economy, I think it's inexcusable. Is this a federal law? So many bad things can happen to a good person. Is anything being done by anyone to get this changed?

[wantout]

May be company policy, I dont think there is a federal law that would discriminate against someone who filed BK.

I know the company I work at has a position that a BK would not allow you to advance to or hire into that position. Company policy, not federal law in that situation.

[Inthestorm]

Well, my personal opinion is that there should be a law against these types of company policies. We all know that not everyone who bankrupts is a no good scum. Bad things do happen to good people.

[backtoschool]

The only job opportunities that are seriously affected by a bankruptcy are jobs working with money, government bids, or jobs needing high level security clearance.

Some companies may discriminate, but most will not. Most will treat a bankruptcy like any bad credit, and ignore it. I have gotten jobs with bad credit before. I don't work with money though.

Remember, a LOT more people have, or are going to have, bad credit in this economy. If you check my posts, I posted some time back what a job background check typically is like.

If you have the skills that an employer wants (which you do I am sure) you will most likely be hired if you are not working directly with money.

[keepmine]

The code specifically says, a bk can't be used to disqualify you from employment but, you don't need a reason to deny a person employment-the ole "your skills don't match our needs and we'll keep your resume on file" is a catchall.

http://doney.net/bkcode/11usc0525.htm

(b) No private employer may terminate the employment of, or discriminate with respect to employment against, an individual who is or has been a debtor under this title, a debtor or bankrupt under the Bankruptcy Act, or an individual associated with such debtor or bankrupt, solely because such debtor or bankrupt--

(1) is or has been a debtor under this title or a debtor or bankrupt under the Bankruptcy Act;

(2) has been insolvent before the commencement of a case under this title or during the case but before the grant or denial of a discharge; or

(3) has not paid a debt that is dischargeable in a case under this title or that was discharged under the Bankruptcy Act.

But, don't get discouraged. Many of us have gotten new jobs with a bk on our reports.

[Flowers]

When saying "work with money", does that include working a cash register at a retail store? Or more like a company that is under the guidelines of the SEC.

[kenshirley]

Unfortunately a company has the right to set pretty much any policies they wish for employment as long as it does not violate the law.

[forgotten]

I would be more worried about people who hadn't filed BK!

Person 1: Got in over thier head for whatever reason and took the steps they could legally do to move on with their life.

Person 2: Got in over their head and became very good at defauding companies and embezzles/steals large sums of money without getting caught.

Person #1 can't get the job because of bad credit and BK.
Person #2 can get the job because all their bills are paid off and they are set.

Yeah... that makes sense.

[backtoschool]

When saying "work with money", does that include working a cash register at a retail store? Or more like a company that is under the guidelines of the SEC.

By "working with money" I meant companies that are under the guidelines of the SEC. So being a banker or loan officer, or even a bank teller is probably not the best choice of a post-bankruptcy career.

For instance, I used to work on wall street as a technologist. I got jobs on wall street even with bad credit, but if I had been working on wall street as an investment banker, I probably would not have gotten the job because I would have been working more directly with money. (of course I wouldn't have needed to file bankruptcy because I would have gotten million dollar bonuses, etc. )

Retail jobs are not going to be a problem in my opinion, but of course it is only an opinion....

[Inthestorm]

Well...I am not qualified for...ANYTHING. My 2 year degree in Secretarial Science is severely outdated due to technology (1980's; I'm a boomer)...man I've got enough strikes against me! It seems like everyone wants to hire the babies right from the cradle, experience or not, why is this????????

[MSbklawyer]

It seems like everyone wants to hire the babies right from the cradle, experience or not, why is this????????

'Cause they wear short skirts and have nice legs and giggle a lot, truth be told.

[NeedHelpNJ]

A friend of mine sent me this article link about "Credit report should not be used by employers, lawmakers say"

http://www.credit.com/news/employment-trends/2009-08-03/credit-report-should-not-be-used-by-employers-lawmakers-say.html

[hereforinfo]

I would be more worried about people who hadn't filed BK!

Person 1: Got in over thier head for whatever reason and took the steps they could legally do to move on with their life.

Person 2: Got in over their head and became very good at defauding companies and embezzles/steals large sums of money without getting caught.

Person #1 can't get the job because of bad credit and BK.
Person #2 can get the job because all their bills are paid off and they are set.

Yeah... that makes sense.

Why assume that anyone who hasn't filed for bankruptcy steals and embezzles? That doesn't make any sense at all.

[forgotten]

Why assume that anyone who hasn't filed for bankruptcy steals and embezzles? That doesn't make any sense at all.

No. not at all. But they *could* and still have perfect credit.

They assume if you file for BK you are more likely to steal and embezzle, why do you think they do not want to hire you? The theroy is since you have financial issues or are irresponsible that you are more likely to try and do things you shouldn't be doing.

Makes no more sense IMO, as my theroy.

[MSbklawyer]

Why assume that anyone who hasn't filed for bankruptcy steals and embezzles? That doesn't make any sense at all.

I don't think that's the assumption that they make. The assumption is: "They weren't smart enough or industrious enough or hard-working enough to manage their own finances properly, so why would I want to hire them to handle my finances. Either way, the logic is flawed, but I don't think it's founded on perceived dishonesty so much as it is perceived incompetency.

I'm sure most airline pilots have been in an automobile accident at some time or the other. Yet, if we followed the same train of logic, the chief airline pilot would say something like: "This guy can't even drive his own car well enough to avoid a collision. Why should I hire him to pilot my large jet with a hundred or more people on board"?