Background Checks: Why They Matter More Than Ever

Background checks have become a modern necessity in today’s world. With the volume of fraudulent cases on the rise, it has become imperative for companies to thoroughly vet their employees and ensure they are safe to work with. A background check is a screening process that can help employers verify an individual’s credentials, past employment, education, and criminal history.

In this article, we will dive deep into the world of background checks and discuss why they are essential.

Why are Background Checks Necessary?

The primary reason why companies choose to conduct background checks is to protect themselves from potential liability risks. By conducting checks, they can eliminate applicants who have a history of criminal activity or fraudulent behavior. Background checks ensure that employees are trustworthy, qualified, and fit for the job.

Moreover, background checks protect the company's reputation. Failing to perform a pre-employment screening and hiring employees with a questionable background can severely harm the company’s reputation, attract negative media attention, and ultimately result in loss of business.

The Growing Significance of Background Checks

In recent years, hiring a qualified candidate has become a more challenging task than ever. While the technology advancements have opened multiple doors for employers, they have also made it easier for fraudsters to manipulate resumes and fake credentials.

In 2019, HireRight’s Global Benchmark Report revealed that the screening process has become more critical for companies than ever before. The study found that 84% of employers had found an inconsistency on applicants’ resumes. Such inconsistencies can include faked qualifications, embellished employment history, or hidden criminal activity.

Additionally, an individual’s potential risk to the company is not limited to their professional history. A comprehensive background check can help employers investigate an individual's personal life, such as their financial history or social media activity.

Criminal History Checks

Criminal checks are the most common type of background screening worldwide. It is now possible to conduct global criminal checks, which access an individual’s criminal record across different countries. Such screenings can help companies uncover past convictions, arrests, and warrants.

Some argue that employers may discriminate against hiring individuals with a criminal history. However, background checks can create a hiring system that is fair and just. A company can assess criminal records case-by-case and hire those who have changed their behavior since their conviction, instead of excluding anyone with a criminal history outright.

Educational Background Checks

Educational background checks are essential to ensure that an individual's qualifications align with the job’s requirements. Such checks can help employers verify an applicant's education credentials, such as the degree, diploma, and certificates. Education checks can help filter out applicants who have falsified or misrepresented their qualifications.

Employment Verification

Employment verification confirms whether an individual has been truthful about their past employment. Performing employment verification can help employers confirm an applicant’s work experience and character references. This can eliminate potential future problems that may arise if an individual’s qualifications were falsified.

Credit History Checks

Credit history checks are conducted to ensure that an employee is not a financial risk. The check ensures that they are reliable and able to manage their finances. By checking credit history, employers can verify if an applicant has shown responsible financial management with their personal life. A poor credit score does not necessarily disqualify an individual from being hired, but it highlights an individual’s risk-taking behavior.

Social Media Checks

Social media checks have become increasingly common in recent years. They involve investigating an individual’s social media profiles to see if they adhere to a company’s code of conduct and values. If an employee’s actions on social media jeopardize the company's reputation, it can lead to exponential damage control costs.

Conclusion

In today’s world, a company can not afford to ignore the importance of background checks. Failure to conduct proper screenings can result in significant legal, financial, and reputational troubles. Background checks have become essential in creating a trustworthy and safe working environment for employees and employers. Companies that prioritize background checks in their hiring processes have a competitive edge through a safer, reliable and qualified workforce.