Re: Pre-Employment credit checks, I propose the following law

[Zalatix]

First let's start with the chain of hypocrisy here.

It's 2008 and you are a working class stiff just making ends meet, starting a job at the Acme Widget Sales store. Acme Widget Sales has just done a credit check on you to make sure that your credit history is good, and they've inferred from this that you're a responsible worker. Irresponsible workers damage productivity, ya know.

Little do you know that the owner, Richie, has a bit of a gambling problem (totally not like Terry from "Men of a Certain Age" ).

Well, 6 months into your employment, it turns out that Richie has to let you go due to "unforeseen financial circumstances". Then he fights your unemployment insurance because he doesn't want to pay extra taxes next year. It takes weeks to get through this and get your unemployment insurance.

You can't find work for the next 2 years hence. 2,000 resumes and 180 interviews later, your unemployment insurance runs out. You've already ditched paying your credit cards and you live like an absolute pauper, no cable TV, no cell phone, no Internet, but now you have no money coming in at all. Miraculously, though, Joey's Widgets, another company, decides they want to hire.

Facing eviction, you go in search of the only job opening around, and they do a credit check.

The only thing they see now is that your credit is ruined.

Nobody at Joey's Widgets knows that your former boss had a gambling problem, which directly led to you losing your job. They just know your credit is ruined.

No job for you! Say hello to homelessness!



Wouldn't it be nice of employers were forced to submit to intrusive background and credit checks? Even if it didn't preclude them from opening a business, which would in fact be analogous to what they inflict upon job applicants, the Government could make it so employees know more of the risks they're getting into by choosing one employer with a GAMBLING PROBLEM over one that doesn't have a gambling problem?

[tavalon]

1. Yep

That's exactly how it happens for so many people.

This is even more wrong than pre-employment drug screens.

[tridim]

2. That's almost exactly what happened to me.

Except boss #1 just decided not to pay me for a year worth of 70 hour work weeks. One day my net worth (on paper) was $40,000, the next day it was $0.00. According to my credit report, I'm the bad guy and my previous boss is a saint.

[Zalatix]

4. You didn't take him to court or anything?

People like that are going to be on the short end of the stick when the shit hits the fan in America...

[tridim]

10. I talked to several lawyers..

All of them said I'd win, then he'd declare bankruptcy, I'd get nothing and owe the lawyer $2000.

[Zalatix]

11. You can escape a legal judgement with bankruptcy?

Damn, whodathunkit...

[tridim]

16. If the company is an LLC, yes.

NEVER take a contract job with an LLC. The contract is worthless.

Mine specifically stated that I would be paid all back compensation within 30 days of termination by either party. This is why the lawyers said I'd win my case.

Not only did I lose the cash, I lost all trust in the American system of justice.

[Zalatix]

18. Doh!!! I'd say bankrupt him regardless if it wouldn't cost you $2000.

*facepalm*

[tridim]

21. Beleive me, I wanted to.

But $2000 is expensive when you have nothing.

[treestar]

12. In a bankruptcy, employee wage claims are the very first priority

So that if he has assets at all, they will be liquidated to pay employees first.

Talk to someone who does bankruptcy law as a speciality.

[tridim]

17. It was an LLC..

Which protects his personal assets. He still has HIS house.

Most of his "employees" were on contract and used their own equipment, so there were essentially zero assets owned by the LLC, just a few chairs and desks. It was quite the scam in hindsight.

[treestar]

20. The LLC was the employer?

I had a case once where I got a judgment and the person did just declare bankruptcy - frustrating. But at least he had to ruin his credit to get out of it!

[treestar]

5. Report to wage and hour division

In most states, employee pay comes first. There are severe penalties for not paying an employee.

[cpamomfromtexas]

3. Excellent argument for reform.

[coalition_unwilling]

6. Wouldn't it be nice if we had either a) a guaranteed annual income not

subject to whether our credit rating was good or bad (McGovern 1972) or b) an economy organized to meet people's needs rather than to reward greed and the all-mighty profit motive (Marx 1848-70)?

Definitely think your suggested law is a good stop-gap measure, though.

Emphatic K&R

[sarcasmo]

7. Terry was the actor, Joe(Ray Romano) had the gambling problem.

I agree, the credit check for a job nonsense has to stop.

[Zalatix]

8. Gotcha. Stupid cancellation, I couldn't find the episode to verify which one it was

Thanks for reminding me!

[tjwash]

9. Its all the fault of those marxist commie unions

If we were able to get rid of all of them and let businesses police themselves, they would only act in the best interests of the public good.

Unfortunately...I have heard this said in all dead seriousness by me TB relatives, so I need to point out that was

[99Forever]

13. Now if you can just find someone in the Washington DC bubble to ..

... do a damn thing about any of it.

Good luck with that.

We're invisible, don'cha know?

[maggiesfarmer]

14. I can hear the Republican objections now...

Another democratic job-killing regulation

[maggiesfarmer]

15. I was joking about the republican objection above, but upon further thought...

not sure I like this idea one bit.

take your hypothetical example: he can't get a job b/c credit is ruined. being proactive, he takes all of his widget-making knowledge and goes into business for himself. the company is moderately successful and soon he needs to bring on help in order to stay in business (he's too busy doing marketing, accounting, and manufacturing to get around to designing the next-gen widget or even sweep the floor). We've now created a situation where he can't get a job and can't build a business

[Zalatix]

19. How will he go into business with no money to begin with?