3 Ways to Conduct A Background Check Of A New Employee

Introduction to Background Check Of A New Employee

Before you make any huge purchase such as buying a car or an apartment, you want to make all the necessary checks and do your research to know exactly what you are getting for your money.

The same goes for hiring a new employee for your company. You need to know exactly who you will be welcoming into your extended family.

Hiring the wrong person can seriously harm your company. An average cost of a bad hire can amount to up to $17,000 according to Career Builder.

The costs are different in regards to the size of your company, the importance of the job you are hiring the new employee to do and other factors.

When you consider that nearly 30% of employers don’t conduct background checks on new employees, according to greenleafbizsolutions.com, it does not come as a surprise that over 70% of them regret their new hires.

Background checks are important because they can give you valuable information on your new hires.

If this information does not match with what the prospect has shared on their resume, they are probably not a good fit for your company.

In this guide, we’ll share what you need to know about background checks and how they can help you build a stronger professional environment.

How To Start A Background Check?

You have a legal right as an employer to conduct background checks on any new potential hires. The applicants can also protect themselves from discrimination.

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Before you start the process, make sure you get legal advice on:

  • Release forms any applicant needs to sign and fill out
  • Federal rules regarding background checks
  • State and local laws regarding background checks
  • Type of information you can seek
  • Sensitive information handling protocols

Have Everything In Writing

To make sure your background checks are consistent, make sure you document the information you process.

You need to ensure you treat any applicant equally and that the background checks are always performed in the same manner, no matter who’s conducting them.

Employers need to practice the same standards with any candidate, and not alter them based on sex, religion, race, sexual or gender orientation, disability, or age. To make sure the process is universal, make sure to document each step in an SOP.

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Get Their Permission

Regardless of the place, your company is based or your employee resides in, according to federal law you have to inform them that you will be conducting a background check on them. The law also requires you to ask for permission to conduct a background check.

If you hire a professional company that can assist you in performing background checks, the candidates need to know that their background check might influence your hiring decision.

If the candidate does not give you permission to conduct a background check, it-s still fine. You are not able to require permission during the hiring process.

However, you are free to inform the applicant that if they do not allow a background check, their chances of landing the job may decrease significantly.

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