Your company’s success depends heavily on the quality of your workforce and performing background checks as part of the employment process. Finding qualified and trustworthy employees is crucial for achieving your business goals. However, creating a high-performing team is a challenging task.
A recent survey revealed that more than half of individuals lied on their resumes, particularly about their work experience, education, skills, and job responsibilities. While some industries may overlook minor fabrications, in others, such dishonesty can have severe consequences that are both dangerous and irresponsible.
But it’s not just false information that poses a risk. Omissions by candidates can be equally detrimental, if not worse. For example, someone with a history of violence may not disclose their past, which could lead to workplace incidents endangering customers and fellow employees. Negligent hiring lawsuits and irreparable damage to your company’s reputation may follow. By conducting thorough background checks, you can mitigate these risks and enhance the quality of your new hires.
Step 1: Create An Employment Background Check Policy
A background check policy outlines the details of your screening program, ensuring consistent application throughout your organization. It encompasses three essential elements.
Firstly, it specifies the types of background checks conducted for different individuals, tailoring screening packages to each position. For instance, positions involving financial management may require credit checks, while those involving motor vehicle operations may necessitate driving record checks.
Secondly, it clarifies how background check results influence employment decisions. The policy should consider the nature of the position sought, the nature of the crime, and the time elapsed since the conviction occurred.
Lastly, it determines when background checks will be conducted, both during the recruitment process and at intervals for current employees. While federal law allows employers to conduct screenings after obtaining consent, state and local laws may impose additional restrictions.
By implementing a written background check policy, you promote a fair and transparent process, prevent discrimination, and mitigate the risk of litigation or enforcement actions from federal agencies.
Step 2: The Law & Compliance: Background Checks For Employment
Background checks are regulated by federal, state, and local laws and regulations, with employers bearing the ultimate responsibility for compliance. Failure to comply can result in costly fines, settlements, and lawsuits.
It’s important to be aware of four potential violations:
- Employers must inform applicants in writing about the intention to conduct a background check for employment purposes. This disclosure should be clear and conspicuous, provided as a separate document.
- The three-step adverse action process outlined by the FCRA must be followed when taking unfavorable actions based on background check results. This involves sending a pre-adverse action notice, along with a copy of the background report and a Summary of Rights, giving the candidate a reasonable amount of time (typically five business days) to respond before sending an adverse action notice.
- Ban-the-box regulations, which vary across states and municipalities, typically require that background checks be conducted after the first interview or conditional job offer. It’s crucial to check relevant laws as Ban-the-box legislation may also impact the adverse action process.
- Title VII of the Civil Rights Act of 1964, enforced by the EEOC, prohibits employer discrimination based on race, color, religion, sex, or national origin. Certain background screening policies may disproportionately affect protected groups, particularly minority populations with higher rates of arrest.
Step 3: How To Choose A Background Check Company
Every business has unique hiring and screening needs, so it’s crucial to choose a background check provider that is the perfect fit. The best background check service for your company will depend on factors such as your hiring volume, business size, number of locations, HR team size, budget, background screening policy, and in-house legal counsel.
Some key features to consider are going beyond FCRA compliance to mitigate the risk of unfair hiring practices, as well as lawsuits and penalties related to EEOC, ban the box, and local regulations. This is especially important if you hire across multiple locations.
Additionally, integrated adverse action workflows can help you ease compliance by providing built-in, localized workflows that alert you when to send pre-adverse and final adverse action notices. Furthermore, having a built-in way to inform you when individualized assessments are recommended or required can help reduce scrutiny by the EEOC.
Opting for flexible packages that align with your industry, position type, and county can help avoid over-screening candidates and reduce processing times.
Lastly, ensuring a good candidate experience is crucial, and this can be achieved through mobile-friendly workflows and digital consent, allowing candidates to easily start their background check and providing them with transparency by allowing them to log in and view their own background check status and report from any device. Integrations with your ATS can also greatly reduce manual workflows.
Step 4: What To Communicate To Candidates?
To ensure clarity and transparency, it is crucial to communicate effectively with candidates regarding your background check process and its expectations.
Building an open dialogue with candidates, explaining the purpose behind conducting the background check, and encouraging reciprocal openness is essential. Make sure to inform candidates that they have the option to review their background check results, challenge any erroneous information, and provide additional comments either in writing or through a conversation with you to clarify any alerts.
It is important to note that candidates possess certain rights as outlined under the FCRA. If you choose to employ a background check provider for candidate screening, it is imperative to adhere to the guidelines laid out in this document.
Make Informed Hiring Decisions By Performing A Background Check
Performing a background check is a valuable investment to establish a skilled workforce that will contribute to your business objectives.
Customize your screening policy according to your industry and job positions, and partner with a provider, like ACI Background Checks, who can furnish the necessary data while ensuring compliance. By making informed hiring decisions, you can enhance the quality of your hires and reduce potential risks.
ACI Background Checks simplifies employment screening, offering a team of experts based in the US who can guide you on the most suitable screening packages for your needs. This ensures that you save money by not paying for unnecessary screenings. Additionally, our unparalleled expertise in compliance ensures a smooth process. Get started today and discover how we can help your organization.