Effective Hiring Process: Should You Do a Background Check on Your Potential Hires?

Finding a job is tough, primarily due to the tight competition in the job market. To be a successful job candidate, they must catch the employer’s attention by submitting a distinct, strong, and attractive resume. Because of this, many consider falsifying details or lying on their application to look qualified.

As employers or hiring managers, you want to prioritize candidates with high potentials that align with your company’s needs. In addition to a proper hiring process, consider doing a background investigation on your potential hires, and here’s why:

1. Improved Safety

Among the major reasons for conducting a background check on your potential hires is to avoid harm or legal liability to the company or others, such as other employees or customers. There are instances when a worker commits sexual harassment or violence in the workplace. When you make legal claims, the defense can say there was negligent hiring.

Other possible harm in the workplace as a result of failure to conduct background checks include:

  • The company, through financial loss or image and other reputational issues
  • The public by negligent driving of an employee
  • Customers by sexual or physical assault and shaming on business premises

2. Improved Quality of Hire

At least 67% of survey respondents said that the quality of their hires improved because of background screening. Background checks help in uncovering false information on resumes. If applicants lie about their criminal history, certifications, education, and employment eligibility, it could result in a poor hire, possibly resulting in legal, financial, and regulatory risks for the company.

3. Enhanced Regulatory Compliance

Regulatory compliance is a company’s adherence to laws, guidelines, regulations, and other specifications relevant to its business processes. Without a background investigation on potential hires, the organization could face expensive fines, legal damages, and loss of privileges. 

In short, background checks satisfy industry standards and state or federal requirements that vary from state to state and job position.

4. Maximize Productivity

In general, past performances are a strong indicator of a job candidate’s future performance. It can also show their professionalism, job skills, productivity, and interpersonal communication abilities. 

What’s Included in the Background Investigation?

An employment background investigation is a process of finding criminal records, financial records, and personnel files on an individual before hiring them. With a background check, employers can know about a candidate’s character, past transgressions, fitness for the job, etc. Based on their position, background investigators, such as Claims Bureau USA, include to search the following:

  • Gaps in educational history
  • Gaps in employment history
  • Academic verifications
  • Identity and address verification
  • Character reference check

Background Investigation and the Law

The biggest challenge in conducting an employment background investigation is federal law. Companies are legally allowed to run a background investigation on job applicants but have to adhere to the laws, like when or how to conduct the said background checks. Also, there should be a proper notification and written disclosure for those inquiries about character references or personal opinions and verifications of public record sources.

When picking an investigation agency, look for those with experience in employment background investigation. Some investigators only specialize in specific areas of background checks, such as personal matters. Furthermore, they should be professional in handling your calls and meetings. 

Ask for testimonials of former clients since they will be handling some of your most sensitive information. If a business offers a wide range of services, chances are they have a long history of experience. Once you see these qualifications, go to their website and click their “contact us” right away.