In June President Reagan signed a law banning about 85 percent of the current use of polygraphs . Yesterday the Labor Department issued regulations implementing the law . About seven million private employers will no longer be able to require job seekers or those on the payroll to undergo a polygraph test , under penalty of a $ 10,000 fine . The employers must display signs summarizing the prohibitions and exceptions . Pharmaceutical concerns or companies manufacturing, distributing or dispensing controlled substances also can require job applicants to submit to a lie detector test, but only for those people who would have direct access to the drugs. Companies providing security services are exempt , as are drug companies for those actually handling drugs . Polygraphs can still be used to investigate specific occurrences of theft , embezzlement and fraud .
In June President Reagan signed a law banning about 85 percent of the current use of polygraphs . Yesterday the Labor Department issued regulations implementing the law . About seven million private employers will no longer be able to require job seekers or those on the payroll to undergo a polygraph test , under penalty of a $ 10,000 fine . The employers must display signs summarizing the prohibitions and exceptions . Companies providing security services are exempt , as are drug companies for those actually handling drugs . Polygraphs can still be used to investigate specific occurrences of theft , embezzlement and fraud .