The Value of a Proper Employee Background Check

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Why do businesses examine backgrounds? Is it just to confirm a job candidate’s credentials, or are there other advantages? The top advantages that employers experience from doing background checks and how they benefit their business are revealed in the 2012 Employment Screening Report.

Better hiring quality

67 percent of study participants claimed that background checks increased the quality of the employees they hired. Background police check aid in exposing inaccurate information on resumes, where 70% of respondents claimed to have discovered an error. Additionally, respondents are discovering errors more than once, with 74 percent of respondents saying that they come across errors up to 10% of the time.

If a candidate gives false information about their employment history, education, credentials, criminal record, or employment eligibility, the employing company may face financial, legal, and regulatory problems in addition to making a poor recruiting decision. A method for background checks can assist in spotting inaccurate or misleading information early on, reducing future hazards and hiring expenses.

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lower dangers of employing carelessly

According to 29% of survey participants, background checks helped to reduce the dangers associated with careless hiring. For instance, if a worker injures a coworker or a third party while performing their duties, and the victim alleges that the worker has a history of or a predisposition for doing so, the employer should have known about this if it had done its “due diligence.”

If this accusation is true, the employer may be held accountable for irresponsible hiring-related losses. A lawsuit for irresponsible hiring could cost a lot of money and harm your image. Although some cases have led to judgments in the tens of millions of dollars, the typical negligent hiring lawsuit payment, according to SHRM, is close to $1 million. Background checks can help defend against damaging negligent hiring lawsuits, which were listed as one of the main corporate challenges by 24% of Benchmarking Report survey respondents.

Improved compliance with regulations

Regulatory compliance was ranked as the second-most significant company concern in the Benchmarking Report by respondents, and 44% of them believed that background screening had improved regulatory compliance.

An organization can satisfy industry standards and state and federal requirements with the aid of a background screening provider with in-house compliance expertise and intelligent built-in compliance tools. State and federal requirements can differ by job position and from state to state, adding complexity for employers.

Enhanced workplace security

Background checks were valuable in 42 percent of respondents’ eyes because they improved workplace security and safety. Furthermore, 16% of companies reported that screening decreased employee theft, 14% reported that it decreased workplace accidents, and 11% reported that it decreased workplace violence. Background checks can be performed by employers to improve hiring quality and better guard assets from theft, aggression, and dangerous working mishaps.