Can I Lose My Job?

In an unstable economy, loss of income can be devastating. With that in mind, most individuals are terrified of losing their jobs. One of the most common misconceptions is that an employer can terminate your employment if you file for bankruptcy. This is not true.

One of the first questions we hear at Kenneth C. Rannick, P.C., is — Can I lose my job? In short, no. There are specific protections written into the Bankruptcy Code to protect you from being discriminated against. Specifically, Section 525 of the Bankruptcy Code states, in part:

"No private employer may terminate the employment of, or discriminate with respect to employment against, an individual who is or has been a debtor under this title, a debtor or bankrupt under the Bankruptcy Act."

"Since 1988 I have filed more than 14,000 bankruptcies for clients in the Chattanooga area and helped them get out of debt. I can help you too — and do it affordably." - Kenneth Rannick

Chattanooga Bankruptcy Attorneys

For certain jobs where money handling is important such as payroll, retail management or accounts payable, an employer can request a copy of your credit report. This is to see if you are a mismanager of money, not to see if you have filed for bankruptcy. While it is true that an employer can use your credit for purposes of evaluating your ability to perform job tasks, you cannot be fired for filing for bankruptcy.

In Chattanooga, we have employees who must have security clearances in order to work in nuclear power plants. The bankruptcy serves to take the pressure off the worker, hence, we have seen security clearance level improve because the bankruptcy lessens the temptation to need a bribe, and the prospective job applicant is seen in a better light!

If you are concerned about how your employer might react to your bankruptcy, we encourage you to schedule a free consultation with a Tennessee lawyer at our office immediately. Bankruptcy is a protection developed by the government.

Contact Our Firm

If you have questions regarding the danger of losing your job, contact Kenneth C. Rannick, P.C. Contact our office by calling 423-954-7180 or by simply completing the e-mail form on this website. We offer free consultations and can maintain evening or weekend appointments based on the needs of our clients.

We are a debt relief agency. We help people file for bankruptcy relief under the Bankruptcy Code.