The expected benefit of background screening applicants is to prevent hiring someone with a dangerous criminal background, or perhaps to uncover dishonest resumes. By advertising that you will use background screening as a normal part of your hiring process, you can gain an additional benefit. Known criminals will be reluctant to even apply for the job, and applicants are much more likely to provide a complete and truthful application or resume. This will obviously save time and money in an employer’s hiring process, before they even being reviewing applications!

FCRA (as the name implies) covers credit reporting, but it also sets standards and guidelines that affect the information gathered about applicants for employment. All ‘consumer reports’ relating to ‘character, general reputation, personal characteristics, and mode of living’ about an individual are regulated by the federal FCRA. Most background reports prepared by a third party consumer reporting agency thus fall under the regulation of the FCRA.

The Society for Human Resource Management reported in their 1996 Workplace Violence Survey that only 66% of companies were using background screening. Today, that number is up to more than 96% of HR professionals reporting using background checks. Pre-employment screening is becoming a routine part of the hiring process, due in large part to today’s concerns about security, workplace violence, and corporate scandals.

As an employer, a criminal background check can be an important tool. You should also be aware that you have a choice (within the law) of what kind of information to receive and consider in your employee screening process.

Choices to Consider

Should you request a report that includes only felonies, or misdemeanors as well? What about only convictions, or should arrests be a factor? Again, within the law, it largely depends on your business. However, keep in mind that a long arrest record, even without convictions, may be an indicator of character. Additionally, the difference between a misdemeanor or a felony is only a matter of a dollar amount that is attached to the crime.

Professional Screening Assistance

A good employee screening company can advise you the kinds of reports you should consider based on your business.

Your insurance agent and attorney have likely advised you, as an employer, to have various kinds of insurance to protect your company, including coverage for negligent hiring practices. It’s important to know, however, that such insurance is unlikely to cover all the financial costs of negligent hiring activities.

If you hire an employee who later commits murder, assault, rape, or armed robbery against a customer or another employee, all the non-financial costs can be equally damaging! Negligent hiring lawsuits are just one more great reason you should do thorough applicant screening and background checks prior to hiring.