So if you want a job with City of Bozeman, Montana, are expected to provide information about any social networking sites you are a part of, complete with passwords. See above link.
I understand that there is no privacy on Facebook. From the very beginning I joined facebook to keep in touch with my youth. Then it was mostly my friends and I started joining all these "liberal" pro-gay rights, Bush is the anti-Christ groups. Then as congregation members began to sign up for Facebook I was a little worried because in real life I'm pretty circumspect and try to be even handed when we discuss controversial topics in adult Sunday school and I was a little concerned about my "Yes I am a Tree Hugging Hippy" and "Silly Christian, Jesus was a liberal" flair. I decided I should be on Facebook as one should be in life - open about my beliefs but not rude So I did leave the "Bush is a big fat Jerk" group. But I still am a member of Dick Cheney Needs to Shut the Hell Up.
So I'm okay with an employer not wanting to have someone with pictures of them drunk and puking on Facebook. If you get drunk and puke and post pictures of it online...you deal with the consequences.
But to ask people to fork over passwords is just outrageous. I have personal messages from family members. That's like asking for your password for an email account. I can't even imagine how they can ask for that. Yes I can. People are desperate for jobs.
I suspect that whoever thought of this requirement doesn't even understand how Facebook works and doesn't realize you can get access to those drunken puking pictures without a password.