New York, NY: The University of Miami conducts background checks that discriminate against African Americans and Latinos, a class action lawsuit filed in Miami federal court today alleges. The lawsuit, filed on behalf of Loudy Appolon of Miami, Florida, accuses the University of violating Title VII of the Civil Rights Act by rejecting or firing qualified individuals because of their credit background, even though credit history does not predict employment performance. In fact, there is no correlation between credit history and job performance or trustworthiness, and credit reports are often rife with inaccuracies.
According to the Complaint, “Defendants’ hiring policy duplicates the racial discrimination present in the credit reporting system . . . This discriminatory denial of employment affects not only the individuals who are rejected or terminated, but also their families and entire communities, replicating minority under-employment and compounding credit inequities in the process.”
The lawsuit alleges that Ms. Appolon interviewed for a senior medical collector position with the University of Miami, Miller School of Medicine in June 2009. She was offered the position, but the day before she was due to start her new job — after she had already resigned from her previous job — the University informed Ms. Appolon that she would not be hired because of her credit history. “I was shocked,” says Ms. Appolon. “I’ve worked in this industry for years, and my credit was never a problem.”
The lawsuit seeks to require that the University stop using credit history as a screen for employment, that it make Ms. Appolon and other class members eligible for hire, and that the University pay lost wages.
Courtesy of Lawyers and Settlements