Overview
As the term suggests, background check
involves a series of searches to verify the background of a prospective
employee. Background checks are generally done by the human resources
department. The core purpose of performing a background check is to
delve into the history of a potential employee such as his credit
soundness, academic records, personal references, and driving record.
How it Works
The potential employee should be made to sign the necessary documents
during the interview. This is the first step to get started with
background checks. Be careful not to infringe any discrimination and
privacy laws. It is also important to limit questions that will help you
in background checking. It is illegal to ask for medical or bankruptcy
information because it is prohibited to make hiring decisions based on
such factors. You can ask for the candidate's employment and academic
qualifications. Also, military records can be confirmed without consent.
There are thousands of companies who deal with background checks. You
can get to know some of these companies by enquiring around or using the
Internet. If you are outsourcing background checking, specify the
information that you require. Do not forget to check into the references
of these companies so that you can be certain that the company you have
hired complies with the law.
Benefits
It is beneficial for a company to run a
background
check on potential employees. A majority of employers conduct background
checks while hiring a new employee. If an employee turns out to be a
mentally unsound person, or it if it is proven that he has been booked
under moral turpitude, the company may have to face the law. It is wise
to conduct a background check on all potential employees to avoid future
lawsuits. With a rise in the number of scandals, embezzlement, and
fraud cases, background checks have become all the more popular. A
company will open itself to negligent-hire lawsuits by recruiting the
wrong persons. However, before running any kind of background check, you
need to always make sure that you comply with state laws. For instance,
some states require a release form signed by the individual before a
credit check.
Costs
Many organizations hire companies who specialize in background
checks. Outsourcing your background checks is advantageous because the
background checking company takes the major part of the responsibility
for the checks upon itself. This limits the outsourcing company's own
legal liability. Make sure that the company you hire for background
checking has adequate knowledge of the legal requirements and
regulations for background screenings. The cost of background checks
range from $20-$100.
Timing
A background check is generally not the first stage in the hiring
process, and it is advisable not to keep it till the end. Plan a
background check on those prospective employees who have passed the
initial resume screening and the interview. Once you have verified their
history and background, you will have a short-list of candidates ready.
