Monday, February 3, 2014

Losing Privacy While Seeking Employment



As we all know, the rate of unemployment all over the US is staggering.  Many of these unemployed people are without jobs through no fault of their own.  Many companies are closing their doors, and with so many people out of work and looking for jobs, this gives employers a chance to try new methods of weeding out “undesirable” candidates.  One of the methods now being used is to ask each candidate to agree to a credit check at the time an application is submitted. 
 
What does a credit check have to do with one’s ability to work?  Well, according to employers, if someone has bad credit, they are considered a high risk for corporate theft.  So, if you have bad credit, you will not be getting an interview.  By using this theory, instead of creating a time frame for 20 interviews, that number can be lowered to 5 or less with the click of a button.

True, prospective employees aren’t forced to submit to this credit check, however, if you don’t agree, your application will not be considered.  The employers hold all the cards on this. 
 
There are a few flaws with this method of choosing potential employees:

1.  Each time a credit check is run, it lowers your credit score.  Credit reporting services don’t see this as an employment check; they just see it as you looking to get approval to raise your credit limit or to add yet another credit account.

2.  If you file applications with several companies, all of which are receiving your credit report.  This means that an unknown number of strangers are privy to not only your credit score, but also know each bank and amount you have credit with.
 
3.  You will not be given a chance to explain your low credit score.  Employers don’t care WHY the credit score is low; they just care that it IS low.

4.  Employers don’t take into consideration that you haven’t paid your bills because you’ve been unemployed.  They see the low credit score and automatically assume that you will steal from the company.  It doesn’t seem to cross anyone’s mind that you want a job not to steal, but to earn money to pay your bills in order to raise your credit score.

  
The longer a person is out of work, the more behind he or she will get on their bills.  The government tells us that the rate of unemployment is getting lower.  But, if you talk to someone who is unemployed, you will understand that it’s not the unemployment rate that’s lower.  What is happening is that people can’t find jobs, so their benefits, including any extensions, have run out.  With less people collecting benefits, this will make it appear that less people are unemployed.

How can this be fair to the honest person who needs to work to support his or her family?  Imagine not working for months and getting behind on your bills.  Then, imagine that a job opportunity finally arises, which raises your hopes only to have those hopes shot down because of your credit.  This situation is even harder if the unemployed person is the sole provider for the household.

Now you need to think of what all this means not only to your ability to find work, but what can this do to your privacy?  You know that each company you apply to has people who know your credit score and where you have credit.  These people will also know if you have judgments against you for unpaid bills and fines.  They will also know if your home is in foreclosure or if your vehicle is in repossession.  They will see every late payment and know if your accounts are with collection agencies.  This is information most of us would not want leaked out.

Right now, there’s nothing that can be done about this practice.  If you’re looking for a job, you just have to accept the fact that you will lose your privacy when it comes to your credit.  One thing you can do to protect your privacy on the Internet is to use a proxy server that insures encryption with every connection.  Please take advantage of Privacy Partners’ FREE trial offer.  Each time you connect to one of our servers, you can be rest assured that your information is safe from prying eyes.

No comments: