-Caveat Lector-

from:
http://www.ustimesdaily.com
<A HREF="http://www.ustimesdaily.com/">U.S. Times Daily News</A>
-----
State to sell residents� salary info

June 28, 1999

By The Associated Press


TALLAHASSEE - The state plans to start selling confidential salary
information on millions of Floridians to banks, mortgage companies and
other lenders that need to know a person�s creditworthiness.

Just months after a public outcry stopped the state from selling
drivers� license photos to a private company, lawmakers quietly passed a
law making the Department of Labor sell access to its salary database to
consumer-reporting agencies.

The consumer-reporting agency in turn would sell that individual salary
information - with the person�s consent - to creditors as income
verification.

The Department of Labor collects income data on an estimated 6.5 million
residents from wage reports that employers file quarterly so
unemployment taxes can be calculated.

Lenders and supporters of the new law say giving creditors electronic
access to this salary database is no different than the traditional loan
or mortgage application process - except that it�s faster.

Instead of sending a request to a person�s employer for income
verification, which can take up to two weeks, creditors can confirm
salaries in seconds by computer using the state�s data.

But privacy rights and consumer groups argue that information collected
by the government for one purpose, with an expectation of
confidentiality, should not be re-sold to private companies for another
purpose.

"It�s very hard to control the way it�s used," said David Sobel, an
attorney for the Electronic Privacy Information Center, a nonprofit
Internet watchdog group in Washington.

"There is a risk of function creep attached to these kind of data,"
Sobel said. "The next thing we know it could become available to direct
marketers or your next-door neighbor and the individual loses control of
information about themselves."

The American Civil Liberties Union of Florida in Miami says selling
access to state salary databases doesn�t violate privacy as long as
individuals can choose whether to release the information.

The Florida law takes effect Oct. 1, but the Labor Department doesn�t
expect to have a contract to sell the data in place by then.

"We have privacy concerns, too, because obviously a lot of people would
like to get their hands on this information," said Dan Hauversburk, a
data administrator for the agency.

No estimates are available of how much money the state will make.

The state makes about $22 million each year selling information from
drivers� licenses to insurance companies, banks, rental car companies,
marketing companies and newspapers - without individuals� consent.

Unlike those programs, and the scuttled deal to sell Florida drivers�
license photos, access to the state�s salary database would require a
person�s written consent.

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