The best way to punish them is for us all to organize and create a Proposition that bans them from being a credit bureau, etc. If this passes in California, it will destroy them as a company.
The problem here is that they've expanded their core business to be so pervasive, they're no longer reporting on just your credit history-- they've also moved into the employment history, salary history, etc. space. So you kill their financial tentacle, they'll still be collecting intelligence for other purposes.