Effective today, employers in Washington D.C. are no longer allowed to consider credit reports when making hiring decisions. Mayor Muriel Bowser signed the “Fair Credit in Employment Amendment Act of 2016” (D.C. Act A21-0673) last month, which amends the city's Human Rights Act of 1977.
Under the act, the use of credit information for employment screening purposes may, in certain constitute an unlawful discriminatory practice. The legislation prohibits an employer from requiring, requesting, suggesting or causing any employee to submit credit information, or using, accepting, referring or inquiring into an employee’s credit information.
There are exceptions, though, such as for positions in law enforcement, with financial institutions, or when use of credit information is required by law. Violations can lead to civil penalties starting at $1,000.
