A background or reference check is generally an employers' main
means of securing information about new hires from sources other than the
actual person themselves.
A check into the background of a new hire generally includes
whether the new hire may be unqualified for a job role due to a record of
criminal conviction shown on a police check, vehicle violations, bad credit check history, or inaccurate
records shown on the CV in regards to education or employment credentials.
The background check usually includes contacting the new hires
former organisation, supervisors, co-workers or educators to verify their prior
employment and to obtain information about the person's knowledge and
character, thereby determining if whether or not they will be a good fit for
the organization.
In a report sponsored by the National Association of Background Screeners (NABS), an average of 94% of surveyed employers indicated that they
utilise employment background checks to screen new hires as part of the HR
process.
Most respondents conducted checks during the hiring process,
whereas a few also go to the extent of carrying out periodic checks in the
interests of workplace safety.
So what does common law require from employers?
History not too long back shows that several common law legal
claims arise against organizations as a result of background screening gone wrong or in most
instances, not done at all, including:
●
Negligent hiring
decisions.
●
Invasion of privacy from
firm’s sensitive access to information.
●
Interference with present
employment e.g. with existing employees.
●
Tortious interference with
future new hires and employment prospects of the firm.
Types of Background/Reference Checks
In the marketplace, there are a number of types of
pre-employment background checks that are available to HR departments. A national police check is a good example of that. HR departments and employers can use
a variety of those that best suit their needs.
Two of the more common types of checks used in the modern era
are discussed below:
Employment history verification check
It is considered to be rare, however a new hire may include
incorrect employment history on their CV or resume.
HR departments and sole traders frequently discover items that
are factually incorrect of job responsibilities. Other frequent incorrections
involve skill set, dates of engagement, prior organisations that they worked
for, and job titles and roles.
Employers and business professionals should contact previous
employers by way of a reference check to verify:
●
Dates of engagement at the
mentioned firm.
●
Job title held at the
mentioned firm.
●
Duties performed at the
firm.
●
Circumstances of why the
new hire left the previous employer.
Criminal history and
record check
A higher utilisation of criminal history checks by HR
departments and smaller businesses to prescreen new job applicants arises from
the higher occurrences of claims alleging that an employer or organisation was
negligent in hiring or retaining an employee or contractor who subsequently
engaged in workplace misconduct e.g. violence claim or some other act that
resulted in harm to a person or property. Refer to the common law points shown
above. The higher utilization also relates to industries that now mandate the checks
where workers may have unsupervised access to vulnerable people, like those who
need to carry out a working with children check.
A number of businesses go to the extent of performing a police
check on current employees, either as a matter of due diligence in the
organisation or in come cases before carrying out a promotion or other change
in the terms and conditions of the employment or contractorship. Checks are
normally conducted on a national level. For example, in Australia a police check QLD or police check SA will be carried out on not just the state level but a national
level in the Australian police check.
Third-party service providers whose main work is to conduct
background screening for employers is commonly used by HR departments all over
the world. These providers as a general rule, are better equipped to conduct
thorough and accurate background screening, as they adhere to best practice
guidelines and practices.
