Note: This article is the first in a two-part blog series designed to provide an informational overview of the importance of employment background checks in the hiring process by exploring how to build secure, modern background checks that help you swiftly identify and hire the best-fit talent for your organisation.
When you buy a new vehicle, you do your research. You read automotive reviews and talk with people who own the same make and model. It’s a significant financial investment, so you want to ensure you buy a vehicle that performs well and fits your specific needs.
A similar approach should be taken with regards to employment background checks. Considering the high costs of hiring and workforce attrition, organisations want to be sure that every employee they hire is capable of positively impacting organisational performance and morale, not detracting from it.
For companies looking to start a background screening program or update an existing one, this article is an ideal starting point. It offers foundational knowledge about the concepts and tools underpinning a modern background check process. Readers will gain a better understanding of:
- The importance of employment background screening
- Common types of background checks
The importance of employment background screening.
Decades ago, it was difficult to verify the information on a candidate’s job application or resume. Nearly everything was paper-based, and very little data was digitised.
Fast forward to today and almost everything is electronic and streamlined. Employment background checks are largely performed online—with some exceptions—and the results can be returned within your preferred applicant tracking or hiring software.
Globally, around 93 percent of organisations say they conduct some type of background screening, and nearly 80 percent of global organisations report having documented background screening policies.
Simply put, employment background checks are now a best practice in the modern hiring process. These checks give recruiters and hiring managers essential insights needed to make better informed hiring decisions. Specifically, they can help employers determine if candidates are: 1) capable and qualified to perform the job, and 3) a “good fit” for the organisation. In addition, background checks can also help organisations:
- Mitigate risk of employee-related violence, fraud, and other threats.
- Helping to potentially cut hiring costs associated with employee churn, turnover, and attrition.
- Enhance performance, productivity, and innovation by placing the right skilled workers in the right positions.
- Helping to Protect the brand against damaging publicity related to negative employee-related incidents.
Therefore, background checks are essential in getting to know future employees who will become the face of your organisation, engage with your valuable customers, and move your business forward.
Common types of background checks.
The background screening process can be multifaceted and encompass multiple types of checks. When used together, these checks can peel back the “glossy surface” candidates want you to see and reveal a more practical, real-world view of the individual. Some of the most common types of background checks include:
- Identity checks. Although not formally a part of the background check and report this initial step helps flag whether a candidate really “is who they say they are” by checking basic personal information like name, date of birth, and other distinct identifiers against various sources. It’s a foundational search that’s typically performed ahead of other background checks since it can sometimes reveal alternative names (nicknames, etc.) that should also be included in the larger background check.
- Criminal checks. These checks search for prior criminal history associated with a candidate. The mode of search and results can vary significantly depending on the region, country, and local jurisdiction being searched, but generally, it involves a search (either online or in-person) of an official government source.
- Education verification. This helps confirm the education of a candidate and is often performed by manually contacting the educational institution to validate the dates of attendance, graduation, and subject matter studied.
- Employment verification. To confirm prior work experience, past (and sometimes current) employers are contacted (with candidate consent) to validate information relating to the candidate’s employment, including their start date and end date, position held, and sometimes information regarding the candidate’s separation from prior employment.
- Global sanctions. This check offers a consolidated search of multiple government sanctions reports which include terrorist watch lists for example, in one easy search. It scours more than 1,000 international sources for offences related to politically exposed persons, financial compliance and enforcement, terrorism and corruption, criminal incidents, sexual offences, and more.
- Global media. This check searches public and subscription media sources, including periodicals, newspapers, magazines, and web sources for information that makes adverse references to the candidate.
Other checks can include bankruptcy and credit checks, industry-based checks for financial services, healthcare, and more, and a long list of more specialised checks depending on a company’s industry and risk tolerance.
Build a tailored program.
Background checks can help organisations mitigate against employee-related risk and build an optimised workforce. Given the wide selection of available background checks and related tools, screening programs can—and should be—expertly tailored to each individual organization’s unique needs based on their industry, risk, and company size.
Our next article, the second and final article in this series, dives deeper, exploring general background check compliance considerations. It also provides practical guidance on getting started and shares tips to help employers avoid common background screening pitfalls.
At First Advantage, we’re here to help. Get in touch today. https://fadv.com/apac/get-started/
