employment background checks

Four Red Flags To Look For In A Credit Report

September 5, 2008 By Chris Miller

Red Flags

Last week one of our clients asked me if there are any “red flags” to look for on credit reports when used in the employee screening process. I thought our readers could benefit from this so here they are…

Four Red Flags To Look For In A Credit Report:

What are the applicant’s total monthly payments? How does this compare to the projected salary and benefits? If the total monthly payments are significantly larger than their income it may be a red flag.
How many negative items are listed, such as late payments, collection actions, writeoffs or an account closed by the credit grantor?
Are there any negative public records and are they related to employment? For example a tax lien may indicate someone has not paid attention to their financial affairs or is under financial stress. If there is a bankruptcy in the credit report, then the employer should NOT utilize the bankruptcy without talking to an attorney. Federal law expressly prohibits a private employer from discrimination solely on the basis of a person exercising their rights under the bankruptcy laws. Refer to 11 USC 525.
Are there alerts from the credit agencies? Some bureaus issue fraud alerts if there is a suspicion of fraud or abuse.

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Photo by rvw

Deciding Whether To Drug Screen Employees

August 26, 2008 By Chris Miller

As a hiring manager, you may initially feel uncomfortable with the thought of requiring drug tests from job applicants. Some human resources personnel feel that doing so encroaches upon applicants’ privacy. In truth, drug screening prospective hires can protect your company and your employees. Here are a few reasons why you should drug screen job candidates…

Drug Screening Protects Your Business

If you hire an employee who has a history of drug abuse, you could be held partially or fully liable for his actions while on the job. By drug screening applicants, you can eliminate those who have had a drug problem in the past. If something drug-related were to happen in the workplace and an employee is injured, prior drug screening would help insulate your company from a negligent hiring claim.

It Maintains Employees’ Safety

Some jobs require employees to operate machinery or potentially-harmful devices. If an employee who is operating this machinery under the influence of drugs makes a mistake, other workers can be injured. Not only will a drug screen prevent drug abuse in the workplace from endangering your staff in the first place, but it’s often a legal requirement for employers.

Drug Abuse Can Have A Massive Cost

If your workplace or your staff is exposed to an employee with a drug problem, the costs can be enormous. It can lead to employees becoming hurt, expenses related to negligent hiring lawsuits and damage to computers, machinery and other company assets. In some cases, the actions of employees who are under the influence of drugs have resulted in businesses having to close.

Drug screening job candidates plays a key role in finding high-quality employees for your company. Doing so protects your current staff from injury and insulates the workplace from damage and disruption. Finally, it helps shield your company from negligent hiring lawsuits. If you’ve been reluctant to conduct drug screening on new hires, consider the above reasons. The sooner you include it in your employee screening program, the better.

Free Drug-Free Workplace Toolkit

4 Tips on How to Avoid Negligent Hiring Lawsuits

5 Smart Hiring Tips To Implement Today

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3 Easy-To-Implement Screening Techniques To Do Now

July 30, 2008 By Chris Miller

Most hiring managers realize the importance of screening their job applicants. Not doing so can expose a company to several potentially-disastrous problems. For an exhaustive background check, you should rely upon an experienced service. That being said, there are a few screening techniques that you can do on your own. In today’s post, I’ll give you 3 things you can do right now to screen your job candidates.

#1 – Examine the Employment Application

When an applicant has a shady past they usually “enhance” their employment application to make them look better. By thoroughly examining the employment application you can find signs that the applicant may not be what they appear to be. For example…if an applicant was fired from a previous job they may leave that job off the application leaving a gap in employment. They may also change dates of employment to cover this gap. If they have a criminal history they may leave the criminal question blank. The time it takes to thoroughly examine an employment application is time well spent.

#2 – Use the Interview to Screen

During the interview advise applicants that the company will perform a background check. Ask the applicant what information will come up during the background check. Applicants with a “shady past” may either reveal something or withdraw from the employment process.

#3 – Call Past Employers

Many human resources personnel neglect to call each of the employers listed on an application or resume. Or, if the initial call isn’t returned, they fail to follow up. That can be an explosive mistake. While past employers are limited with regard to the information they can provide others about a former employee, their insight can still be invaluable.

Kickstarting Your Screening Process

Once you’re ready to bring a new employee onboard, you’ll want to have an exhaustive background check completed. Before you reach that decision, there’s plenty you can do to weed out undesirable job candidates. By thoroughly examining employment applications, asking about background issues during the interview and calling past employers, you can often disqualify many candidates. That will save you time and effort, allowing you to focus your attention on the best candidates.