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(Bloomberg) — A top US consumer watchdog warned companies not to use tools that track or assess their workers without their knowledge or permission, a move that comes amid the emergence of new technology making it easier to monitor staffers.
Employers are increasingly deploying tools such as algorithmic scores or background dossiers to assess workers, the Consumer Financial Protection Bureau said in a statement Thursday. These third-party reports could be used to predict activity such as union organizing or job departures, as well as tracking performance and social media activity that may influence career advancement or hiring decisions, the CFPB said.
“Workers shouldn’t be subject to unchecked surveillance or have their careers determined by opaque third-party reports without basic protections,” CFPB Director Rohit Chopra said in the statement. “The kind of scoring and profiling we’ve long seen in credit markets is now creeping into employment and other aspects of our lives.”
The CFPB said it issued guidance to protect workers by requiring companies that use third-party consumer reports to follow Fair Credit Reporting Act rules. That means getting worker consent and being transparent about data used in negative decisions, in addition to allowing workers to dispute incorrect information. The agency didn’t identify which
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