The Act restricts an employer’s use of consumer credit information for employment purposes unless the information contained in the report is “substantially related to the employee’s current or potential job.” “Substantially related to the employee’s current or potential job” means information that is related to the position because it is either an executive or management position, or it is professional staff to executive or management personnel and involves certain characteristics. Senate Bill 14-102 expands that definition to include banks and financial institutions.
Therefore, under Colorado’s Employment Opportunity Act, employers are permitted to use consumer credit information for employment purposes if the positions applied for are:
- An executive or management position;
- Professional staff to executive or management personnel and involves one or more of the following:
- setting the direction or control of a business, division, unit, or an agency of a business;
- a fiduciary responsibility to the employer;
- access to customers', employees', or the employer's personal or financial information other than information customarily provided in a retail transaction;
- The authority to issue payments, collect debts, or enter into contracts; or
- With a bank or financial institution.
This amendment became effective upon passage on March 27, 2014.
Senate Bill 14-102 is available here: http://www.leg.state.co.us/Clics/CLICS2014A/csl.nsf/fsbillcont3/
About Michael Klazema The author
Michael Klazema is Chief Marketing Technologist at EY-VODW.com and has over two decades of experience in digital consulting, online product management, and technology innovation. He is the lead author and editor for Dallas-based backgroundchecks.com with a focus on human resource and employment screening developments.