It's a fact they can. I'm almost 100% positive it's a Federal issue not a state one. Credit reports are tied to you SS# and need your authorization to be pulled. Doesn't matter what state you are in. Employers can pull a "summary" of your report to get an idea of your general character but are not allowed to pull your report. Regardless of how much you sign to get hired you'll know if they asked you sign a credit report. It doesn't just slide in between the PRIA sheets. I want to say you also aren't allowed to fax that sheet you have to get it notarized. I could be wrong on that last sentence but I had to have my last one notarized when dealing with a bank.