Tech workers are upset their companies are sharing payroll data with Equifax. Here’s what’s going on

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For more than 25 years, the Work Number has collected and stored payroll data for millions of Americans. Most people are unaware.

Data shared with the Work Number is not passed on to other parts of Equifax, and is stored completely separately, said Joe Muchnick, senior vice president and general manager of the company’s employer services and talent solutions division. Banks, loan officers and prospective employers can only access someone’s data with their express consent, he said.

Still, correcting inaccuracies in the data is a cumbersome process and reconciling discrepancies detected in a person’s résumé can become a drawn-out challenge.Most big companies outsource the process of employee verification during their hiring processes entirely, using companies like HireRight, First Advantage and Sterling.

The database that now houses Google’s payroll records began in 1995, when a company called Talx launched the Work Number. At the time, big companies were getting an increasingly large number of phone calls from employers, banks and other entities to verify resumes, job titles and payroll information.Talx offered employers an alternative: Companies could send Talx all the data and then forward any inquiries to Talx, which would collect a fee from whoever was inquiring about the data.

 

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