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| Public Act 096-1426 | ||||
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AN ACT concerning employment.
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Be it enacted by the People of the State of Illinois,
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represented in the General Assembly:
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Section 1. Short title. This Act may be cited as the | ||||
Employee Credit Privacy Act. | ||||
Section 5. Definitions. As used in this Act: | ||||
"Credit history" means an individual's past borrowing and | ||||
repaying behavior, including paying bills on time and managing | ||||
debt and other financial obligations. | ||||
"Credit report" means any written or other communication of | ||||
any information by a consumer reporting agency that bears on a | ||||
consumer's creditworthiness, credit standing, credit capacity, | ||||
or credit history. | ||||
"Employee" means an individual who receives compensation | ||||
for performing services for an employer under an express or | ||||
implied contract of hire. | ||||
"Employer" means an individual or entity that permits one | ||||
or more individuals to work or that accepts applications for | ||||
employment or is an agent of an employer. "Employer" does not, | ||||
however, include: | ||||
(1) Any bank holding company, financial holding | ||||
company, bank, savings bank, savings and loan association, | ||||
credit union, or trust company, or any subsidiary or | ||||
affiliate thereof, that is authorized to do business under | ||
the laws of this State or of the United States. | ||
(2) Any company authorized to engage in any kind of | ||
insurance or surety business pursuant to the Illinois | ||
Insurance Code, including any employee, agent, or employee | ||
of an agent acting on behalf of a company engaged in the | ||
insurance or surety business. | ||
(3) Any State law enforcement or investigative unit, | ||
including, without limitation, any such unit within the | ||
Office of any Executive Inspector General, the Department | ||
of State Police, the Department of Corrections, the | ||
Department of Juvenile Justice, or the Department of | ||
Natural Resources.
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(4) Any State or local government agency which | ||
otherwise requires use of the employee's or applicant's | ||
credit history or credit report. | ||
(5) Any entity that is defined as a debt collector | ||
under federal or State statute. | ||
"Financial information" means non-public information on | ||
the overall financial direction of an organization, including, | ||
but not limited to, company taxes or profit and loss reports. | ||
"Marketable assets" means company property that is | ||
specially safeguarded from the public and to which access is | ||
only entrusted to managers and select other employees. For the | ||
purposes of this Act, marketable assets do not include the | ||
fixtures, furnishings, or equipment of an employer. | ||
"Personal or confidential information" means sensitive | ||
information that a customer or client of the employing | ||
organization gives explicit authorization for the organization | ||
to obtain, process, and keep; that the employer entrusts only | ||
to managers and a select few employees; or that is stored in | ||
secure repositories not accessible by the public or low-level | ||
employees. | ||
"State or national security information" means information | ||
only offered to select employees because it may jeopardize the | ||
security of the State or the nation if it were entrusted to the | ||
general public.
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"Trade secrets" means sensitive information regarding a | ||
company's overall strategy or business plans. This does not | ||
include general proprietary company information such as | ||
handbooks, policies, or low-level strategies. | ||
Section 10. Employment based on credit history or credit | ||
report not permitted. | ||
(a) Except as provided in this Section, an employer shall | ||
not do any of the following: | ||
(1) 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 or credit report. | ||
(2) Inquire about an applicant's or employee's credit | ||
history. | ||
(3) Order or obtain an applicant's or employee's credit | ||
report from a consumer reporting agency. | ||
(b) The prohibition in subsection (a) of this Section does | ||
not prevent an inquiry or employment action if a satisfactory | ||
credit history is an established bona fide occupational | ||
requirement of a particular position or a particular group of | ||
an employer's employees. A satisfactory credit history is not a | ||
bona fide occupational requirement unless at least one of the | ||
following circumstances is present: | ||
(1) State or federal law requires bonding or other | ||
security covering an individual holding the position. | ||
(2) The duties of the position include custody of or | ||
unsupervised access to cash or marketable assets valued at | ||
$2,500 or more. | ||
(3) The duties of the position include signatory power | ||
over business assets of $100 or more per transaction. | ||
(4) The position is a managerial position which | ||
involves setting the direction or control of the business. | ||
(5) The position involves access to personal or | ||
confidential information, financial information, trade | ||
secrets, or State or national security information. | ||
(6) The position meets criteria in administrative | ||
rules, if any, that the U.S. Department of Labor or the | ||
Illinois Department of Labor has promulgated to establish | ||
the circumstances in which a credit history is a bona fide | ||
occupational requirement. | ||
(7) The employee's or applicant's credit history is | ||
otherwise required by or exempt under federal or State law.
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Section 15. Retaliatory or discriminatory acts. A person | ||
shall not retaliate or discriminate against a person because | ||
the person has done or was about to do any of the following: | ||
(1) File a complaint under this Act. | ||
(2) Testify, assist, or participate in an | ||
investigation, proceeding, or action concerning a | ||
violation of this Act. | ||
(3) Oppose a violation of this Act.
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Section 20. Waiver. 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. | ||
Section 25. Remedies. | ||
(a) A person who is injured by a violation of this Act may | ||
bring a civil action in circuit court to obtain injunctive | ||
relief or damages, or both. | ||
(b) The court shall award costs and reasonable attorney's | ||
fees to a person who prevails as a plaintiff in an action | ||
authorized under subsection (a) of this Section.
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Section 30. Fair Credit Reporting Act. Nothing in this Act | ||
shall prohibit employers from conducting a thorough background | ||
investigation, which may include obtaining a report without | ||
information on credit history or an investigative report | ||
without information on credit history, or both, as permitted | ||
under the Fair Credit Reporting Act. This information shall be | ||
used for employment purposes only. | ||