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24-Jun-2024 | Taha Kisat

Employment Verification: Protect your Workplace

Employment Verification: Protect your Workplace

A company’s workforce is its lifeblood. Qualified, trustworthy employees are required to achieve the company’s business goals — but building a high-quality team is no easy feat. It is this team that spends most of its working day together, forging bonds and having a deep influence on each other. Many a time, one’s social circle also constitutes peers and colleagues who end up knowing personal details about each other's families and lifestyles. 

More than half (56%) of the people in a recent survey lied on their resume, mostly around work experience, education, skills, and job duties. Would you want someone like that on your team? No matter what the industry, a small fabrication may become downright dangerous or irresponsible harming the workplace ethos and the team intrinsically. 

Deliberate omissions on candidate resumes can be just as bad — if not worse — than simply stretching the truth. For instance, someone with a recent history of violence may not be forthcoming about their past. Similarly, someone who has been fired for negligent behavior will certainly not refer to it in his interview. Hiring such people could put customers and other employees in danger, leading to negligent hiring lawsuits and could damage the company’s reputation. Running a background check can help employers mitigate these risks and improve quality hiring. The result is a dream team that can make the impossible, possible. 

Index

  1. What is Employment Verification?
  2. Employment Verification Process
  3. The risks of skipping verification
  4. What information can be verified?
  5. Conclusion
  6. F.A.Qs


What is Employment Verification?

The first step of any employment begins with a candidate submitting their resume. Nowadays this may have become more paperless as CVs are submitted using emails, however, the core essence of sharing a candidate's professional information remains unchanged. If a candidate seems promising and fulfills all the requirements of the position being offered, employers and the hiring team might want to cross-check the information received on the resume as quickly as possible. The aim is to ensure that the individual is suitable for the job and does not pose a risk to the employer or coworkers.

Additionally, to use background checks as a prerequisite of employment, screenings must be carried out in accordance with the Fair Credit Reporting Act (FCRA), a federal law that governs the production and use of consumer reports as a hiring tool. FCRA protects employers from claims of unfair hiring practices and job candidates from discrimination or privacy breaches. 

Employment Verification Process: 

Employment verification is a very important part of the recruitment process. Yet, it has a very well-defined procedure. Below is a list of steps that employers should follow to ensure legal and effective background verification. Missing any one of the steps may not serve the purpose of the entire exercise. 

  • Disclosure
    Candidates must be notified clearly that a pre-employment screening is a pre-condition of the job offer.

  • Consent
    Employers need to obtain written consent before initiating a background check. This consent also includes sections for the candidates’ full name, current address, date of birth, and NIC.

  • Investigation
    The report is compiled using relevant sources once the candidate has provided consent and sufficient personal details.

  • Review
    A report is received for review, which decides the candidate's suitability for the job position. 

This verification allows the hiring team to make informed hiring decisions. Alternatively, this process can be automated using Check Xperts and get quicker employee employment checks, with accurate results coming in effortlessly & faster.  Time is of the essence, as taking too much time to hire a candidate might result in them moving ahead to find another opportunity.

The risks of skipping verification

In the rush to fill vacancies or close deals, some organizations may be tempted to skip the essential background verification process. However, what might seem like a shortcut can quickly turn into a costly mistake. The outcomes of skipping employment verification can be catastrophic. 

  • Legal Consequences
    One of the most substantial repercussions of skipping background verification is the potential for legal consequences. If an employee gets hired with a history of violence or misconduct, the business could be held liable for negligence. This can result in expensive lawsuits, damage to reputation, and financial losses that far outweigh the cost of a background check. 

  • Damage to Reputation
    In today's interconnected world, news travels fast, especially when it involves issues related to employee misconduct. If a company hires someone without thoroughly checking their background and that individual later engages in unethical or criminal behaviour, the company's reputation can take a significant hit. Rebuilding trust with customers, clients, and partners can be an arduous task, and it may cost the business valuable opportunities and relationships.

  • Decreased Employee Morale
    Imagine how existing employees would feel if they discovered that their new colleague, who underwent no background verification, has a history of unethical conduct or violence. Such revelations can lead to decreased morale, increased resignations, and decreased productivity. It is important, to create a safe and respectful work environment and background verification is the first step to achieving that goal. 

  • Financial Consequences
    While conducting background verification comes with a cost, it's a fraction of what a business could lose by skipping this essential step. Hiring an employee who misrepresents their qualifications or has a history of financial misconduct can lead to embezzlement, fraud, or other financial losses. The cost of replacing such an employee and dealing with the aftermath of their actions can be exorbitant.

  • Missed Opportunities
    Skimping on background verification can also result in missed opportunities. A potential client or partner may have a history of unethical business practices or financial instability that could harm the company. By not conducting diligent background verification checks, employers risk entering into partnerships or contracts with employees who ultimately prove detrimental to their business, marring their reputation. They miss out on hiring truly deserving candidates who might help in growing the business.

In a nutshell, it might seem tempting to cut corners and skip background verification in today’s fast-paced business world to save time and money. However, as discussed above, the hidden costs of this decision can far outweigh any perceived benefits. Background verification is not just an expense; it's an investment in the security, reputation, and success of any business, hence it's a mandatory step that should not be missed. 

What information can be verified? 

A huge part of understanding how background verification is done is knowing what kind of background check is recommended for which industry. This, of course, depends on several factors, namely the hiring position, and the level of assessment the law allows. 

Most organizations, regardless of industry, often conduct:

  • Identity checks which serve as the foundation for the other checks
  • Educational verification
  • Employment verification
  • Professional qualifications
  • Reference checks. 
  • Criminal record checks

Moreover, the way companies conduct background verification also depends on the industry. If a business is safety-critical, such as those under the education, healthcare, and transportation sectors, conducting drug tests may also be a legal obligation, which in other industries might not be of significance.

Companies under the law and financial sector may be legally obliged to and greatly benefit from conducting credit history checks. No matter what the industry is, if the position requires handling of finances or sensitive information, checking the credit history may help reduce the risk of fraud, theft, and embezzlement. 

Additional background checks you may consider include:

  • Credit checks 
  • Occupational Health Checks, which may include Drug Tests
  • Driving Record Checks
  • Social Media Checks, particularly for high-profile roles

Conclusion 

How background verification is executed depends on several factors, like the business’s industry, the role being hired for, the business location, and the size of the organization. In general, the steps include informing the applicant, obtaining their consent, collecting their information, conducting an investigation, and reviewing the results. 

To help ensure that important points are not overlooked, such as compliance with the applicable laws, many businesses choose to partner with a third party like Check Xperts, a reputed background check company in Pakistan, which has the expert resources and compliance framework to run multiple checks and deliver accurate results. 

F.A.Qs 

  1. Can companies call HR to verify employment verification?
    Yes, companies can call HR to verify candidates’ employment history, including job titles and employment dates. This is a part and parcel of background checks conducted by companies like Check Xperts in Pakistan. 

  2. Can an employer see my work history?
    Yes, employers do have access to a candidate’s work history through background checks, which may include information provided by previous employers or public records. This is a vital step in screening recruits.

  3. How do background check companies verify employment?
    Background verification companies verify employment by accessing information through various portals, that include, contacting former employers, official employment records, and using databases that compile employment information. These are the steps followed with diligence and as per procedure at Check Xperts.

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