references for interview. how to avoid it

I have a job interview in a week from now and they are asking for 3 references. I have absolutely none as I never had a job interview in the past where this was asked for. I currently have been in my current role/employer for 1.5 years so I could technically ask my manager and former managers but wouldn't that just be implying I am trying to find a new job?

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Is there a way to get around this or have a decent explanation? I am sure it completely depends on the hiring manager. But it just seems like an unnecessary burden. People would never give references where they would talk bad about them. Why do employers even still ask for references?

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thanks in advance for responses/feedback

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