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Up 10. Can an employer terminate a debtor s employment solely because the person was a debtor or failed to repay a discharged debt?

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Up 10. Can an employer terminate a debtor s employment solely because the person was a debtor or failed to repay a discharged debt?

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The law provides express prohibitions against discriminatory treatment of debtors by both governmental units and private employers. A governmental unit or private employer may not discriminate against a person solely because the person was a debtor, was insolvent before or during the case, or has not paid a debt that was discharged in the case. The law prohibits the following forms of governmental discrimination: 1) terminating an employee; 2) discriminating with respect to hiring; 3) or denying, revoking, suspending, or declining renew a license, franchise, or similar privilege. A private employer may not discriminate with respect to employment if the discrimination is based solely upon the bankruptcy filing.

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