Purchasing Resources for Background Checks

Background Checks Business Guide: Employee and Applicant Screening

Employees are the most important asset of a business organization. An implicit relationship of trust and loyalty exists between the employer and employees, and the employees are privileged to have access to sensitive information about the company and its business. Therefore, the employer is expected to exercise utmost care and perform necessary background checks before hiring a job applicant. In some cases, such checks may become necessary, even about an existing employee.

Companies may hire the services of a professional manpower search and placement agency that conducts such checks and evaluations on their behalf for a fee. Alternatively, some companies may delegate such a task to their in-house human resource specialists, who are trained in the task of conducting such checks on new candidates and existing employees. There are several advantages and also a few limitations of this exercise, but in most cases, it is advisable for an employer to hire employees after thorough professional screening.

Benefits

Best Candidates for the Job

The process of background checks ensures in most cases that the best and most deserving candidates are hired for a particular position. In absence of such checks, an undeserving candidate with false claims of achievements on a resume may make entry into the organization. This may not only be detrimental to the interests of the organization, but also unfair to other candidates who may have been more qualified and appropriate for the job.

Minimizes Risk

An employee who is inappropriately qualified for a position is likely to perform poorly at the job in the long run. This can result in potential losses for the company that could have been easily avoided if the right candidate was hired for the job. A thorough check of a job candidate will usually help to identify the unfit candidates with false claims to a position, and protect the company from getting exposed to unnecessary risk.

Positive Work Environment

A survey conducted by Business Week reported that 16 percent of all executive resumes include some form of false claims. When deserving candidates are hired in an organization after a thorough screening process, it helps to establish a positive work environment for all. Team spirit is likely to be higher in such organizations, and the chances of employee conflict are minimized. This helps to improve the overall productivity of the business in the long run.

Minimum Chances of Unlawful Activities

Professional background checks are likely to identify candidates with a criminal record or past record of engaging in fraudulent activities with previous employers. Candidates with a history of sexual or drug-related offenses may pose a potential threat to the organization. They may have a higher likelihood of indulging in such unlawful behavior once again, considering their hidden track record. Therefore, avoiding such candidates may help to minimize the chances of unlawful conduct within the organization.

Pitfalls

Legal and Regulatory Limitations

Employers must be aware of the federal and state laws regarding background checks, and must conduct such an exercise within the ambit of the law. Any checks regarding a prospective employee’s age, religion, race, nationality, sexual preferences, or even drinking habits may constitute an act of employment discrimination. This may make the employer potentially liable for damages if the prospective employee files a case of employment discrimination.

Technical Limitations

It may not always be possible to perform a thorough and accurate background check. Some state laws provide for an expungement of past criminal records of arrests or convictions in specific circumstances. In such cases, the employers will not get access to such records when they perform a check, even through public agencies.

Employee Motivation Issues

Checking the background of a job applicant or an employee can be an emotionally sensitive issue for the person on whom the check is being performed. In some cases, employees or candidates may feel displeased with the check and may lose their motivation to work or have diminished loyalty towards the organization.

Time Limitations

Performing a background check can be a time-consuming exercise. In many cases, the organization may have an urgency to fill a position and it might not be possible to hold the position until a detailed check on all candidates is completed. Employers may tend to compromise on such checks in a situation where the business compulsions demand an immediate hiring of an employee.

Pricing

Performing detailed background checks on all prospective candidates for every position can be a costly exercise for a company. If the job is outsourced to a professional agency, they may charge a substantial fee per candidate. In some cases, the company may require a special check or a drug testing exercise to be conducted for all workers. Such tests can prove to be expensive, particularly if there are many candidates for the test. Visit ResourceNation.com today to compare background check price quotes and get a free Background Checks price guide!

The organization must ideally perform a cost-benefit analysis to evaluate the scope and extent of background checks for job applicants as well as existing employees. This will allow the organization to arrive at a balanced position regarding the need for such checks. Over a period of time, the business organization should try to evolve a standardized policy regarding such checks. This will ensure a uniform approach across the board, make the process more automated and efficient, and minimize organizational conflict with regard to such checks.