Reference no: EM133202851
Question: Read the following article and answer the questions that follow. Are employee credit checks legal in Singapore? A Singapore highlighted the ?nancial industry's recruitment practice of conducting credit checks.
In a forum letter to The Straits Times, he questioned why the screening process is labelled as 'mandatory' by employers. He said an individual's ?nancial background should be private and not affect his/her employment. He also questioned whether the practice is possibly against the Personal Data Protection Act (PDPA).
A spokesperson for the Monetary Authority of Singapore (MAS) responded, calling the checks "entirely appropriate" and required "due diligence. . .to ensure their employees. ..who serve customers are fit and proper". As for whether it's legal under the PDPA, the MAS spokesperson said employers can only use or disclose the personal data "for appropriate purposes" with consent from the individual. He added that conducting "due diligence" employment background checks, "is considered an appropriate purpose. . .where ?nancial soundness is required". Syed, Nurhuda, 28 November 2019, Are employee credit checks legal in Singapore? Human Resource Director on 20 June 2022.
(a) Where does background investigation like credit checks typically take place , before or after in-depth interview with the job applicant? Can a job applicant be eliminated from the selection process if he/she has poor credit ratings? Explain your answer.
(b) Apart from credit checks, identify THREE (3) other sources of information a company may gather during background checks.
(c) Suggest how companies can conduct background checks without infringing Personal Data Protection Act (PDPA) or any other privacy laws.
(d) In a typical selection process, what steps typically take place after background