Conducting Background Checks Is A Must, No Excuse

Published March 21, 2006

When it comes to an applicant's background, what you don't know can hurt your company.  That's why instead of making excuses for your lack of background checking efforts, make the time to run background checks.  These employers certainly wish they had.  

The American Red Cross and its provider, Spherion, didn't run background checks on temporary workers at a California call center because of a lack of time. The temps were indicted for bilking the Red Cross out of thousands of Katrina dollars.

RadioShack apparently didn't run a background check on its CEO. He admitted to misstating his academic record. The college he attended has no record of his graduation and does not offer psychology degrees, which he claimed to have; the four-year Bachelor's degree in theology he also claimed to have was actually a three-year degree.

Massachusetts-based Trusted Health Resources didn't run a background check on a health aide. The aide, who had six felony convictions, murdered a patient. The company filed for bankruptcy after being ordered to pay $26.5 million to the victim's family.

Bad Excuse #1: Out Of Time

We often hire in a hurry because there is work that desperately needs to be done. If that's the case and you need to bring someone on board ASAP, explain to the worker that the results of a post-employment background check may affect his/her employment status.

If screening all new hires is too time-consuming, then at least whittle down the list by evaluating the necessity of a background check for each position. Obviously, follow federal and state laws that apply to your industry. If there aren't any, use common sense. Does the job entail working with kids, the elderly, or the infirm; going into private residences; handling financial matters; or accessing proprietary or confidential information?

Bad Excuse #2: Too Much Work

Hire a reputable background checking agency.

Bad Excuse #3: Too Much Money

Don't check everyone if you don't have to (see #1). Also, consider limiting the types of checks done. For example, are you only interested in criminal records? Driving records? Credit reports?

Finally, bear in mind that the cost of background checks can provide you with plenty of peace of mind. It will wind up costing you much more if an employee harms another or embezzles from you.

Bad Excuse #4: Not My Job

One of the benefits of using temporary workers is that the temporary agency does much of the work for you. The hiring company figuratively washes its hands of many of the legal obligations that come with an employer/employee relationship. However, you owe it to your own company to take steps to ensure that the temps have been checked out. Never assume that the agency has done checks. Use a temp agency that:

• certifies that it has done thorough background checks and complied with applicable state and federal laws;
• certifies that nothing in the workers' backgrounds would make it a poor match for placement at your company; and
• indemnifies your company for any liability that results from the workers' actions.

If you often need help in a hurry, also look for agencies that maintain a pool of pre-screened workers.

Related Topic(s): Hiring/Background Checks