In the State of NJ, what information is your employer permitted to divulge to a lender?

I'm seeking information on behalf of a close friend... In the State of NJ, what information is your employer permitted to divulge to a lender?

A week or two prior to being informed that their employer would be laying them off, my friend purchased a car. As is customary, the lender reached out to their place of employment for employment verification. The company took WEEKS to respond to their inquiry, at which time they informed the lender that their employee (my friend) was GOING TO BE laid off (at a future date). They aren't currently laid off.

As a result, the dealer is now asking for the vehicle to be returned. Is it lawful for an employer to share that information while the employee is STILL EMPLOYED? Can the employee sue for compensation; defamation; breach of confidential information?