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BackGround Checks Save You Money

BackGround Checks Save You Money

As a business owner, you probably know that your business’ most important assets are usually intangible. But it might surprise you to know the true costs of your most important “purchase”- a new employee. One estimate places the cost of hiring at up to a third of a person’s salary. Hiring the wrong employee can be even more expensive: some estimates place costs at up to twice an employee’s annual salary. Smart hiring decisions depend not just on cold, hard facts, but also on how well a prospect “fits” with your organization.

Though employee interviews, conversations with references, and trusted referrals are all very useful when it comes to hiring, sometimes they are not enough. In some cases, a professional background check might be necessary.

If you’re in an industry that requires advanced professional certifications or association memberships (medicine, accounting, law, engineering, etc.) or own a business where criminal background checks are mandatory (for example, the trucking industry, or positions where the employee will have contact with children, the elderly, or the disabled) you’ll probably need a more extensive check.

Many businesses choose to outsource this service, through organizations like Accudiagnostics. Though public records including bankruptcies, previous addresses, and home ownership information can be obtained for free, it is time consuming to find. Businesses that need specific information on a prospective employee often find that using a professional background screening service is the easiest way to find it. Employment screening companies offer service packages for every business need. You can even perform as search by state, by county, or request verification of specific information. Most employment background checks actually verify information an applicant has already provided.
You can use background service to verify or obtain the following information:

  • Social Security numbers
  • Criminal records
  • Civil judgment records
  • Driving records
  • Credit reports
  • Employment verification

The most basic background check is a Social Security number and address search. With this information, you can verify an applicant’s identity for a more thorough search (education records, etc). For the majority of searches, you must notify the prospective employee if you plan on using the above information for hiring decisions.

Whether you’re using a background check to verify employee qualifications or to check on the accuracy of claims included on an applicant’s resume, using a background check service can be one of the best ways to make sure you comply with federal laws and regulations that govern hiring discrimination. For more information about employee background checks, visit Accudiagnostics.com and schedule your appointment today.

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Information is provided for informational purposes only and is not a substitute for professional medical advice. AccuDiagnostics does not engage in the practice of medicine. The information provided should not be used to diagnose or treat any medical condition. Readers are urged to consult a licensed physician before starting or stopping any medical treatment. Any action by the reader in response to this information is at their discretion, and AccuDiagnostics can in no way be held liable for such action.

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It was dark, and nobody was home—or so they thought. Two armed men crept inside an upscale California home and began to grab the goods. Suddenly—lights came on! They had been caught by the homeowner. In a panic, they shot the owner and fled.

The alarm system had seemingly failed. The truth, the owner would later discover, was that the pair had spent hours there as carpet cleaners when the owner had hired a high-end company that specifically served wealthy homeowners.

The men had long criminal records riddled with felony convictions. The company was found guilty of “negligent hiring,” and had to pay $11 million in damages.

In Minnesota, a landlord hired a resident manager without a satisfactory background check. Despite his criminal record, he was given keys to all the apartments. When he raped a tenant, the landlord was found guilty of negligent hiring and was sued alongside the man he had negligently hired.

A real estate agent duped someone into paying off a $158,000 loan even though the company knew nothing about it. During the hiring process, the company had discovered that the agent had forged documents, passed bad checks, and lied about having a realty license.

Nevertheless, the company retained the agent. Therefore, the company was liable for the employee’s misrepresentations.

Negligent hiring is defined as the failure to properly screen employees, which results in the hiring of someone with a history of violent or criminal acts. Recent history is filled with stories of negligent hiring and the horrors that ensued.

Cases similar to those above have been tried all around the country. From Alaska to Florida, New York to California, states are enacting negligent hiring laws that place employee responsibility squarely upon the employer’s shoulders.

Complications arise regularly when employees are assigned different responsibilities. An individual who has very little contact with clients, for example, does not necessarily require a background check. However, if the individual is promoted or shifted to an alternate role with additional responsibilities and contact, a background check must be completed in order for the employer to fulfill due diligence.

Negligent hiring is often charged in situations where an employer should have known that the employee posed an unreasonable risk of harm. Employees with no previous criminal record or indications of criminal activity will likely not fall into this category. However, a background check would reveal a criminal record of a convicted felon and therefore the employer could have—and should have—known about the individual’s history.

Background checks verify or disprove any statements that a potential employee may have made. An honest employee will have nothing to hide and therefore will not feel intruded upon by this procedure. Nevertheless, it is important to screen all employees and not just ones that meet certain stereotypes or arouse suspicion. This could itself be grounds for a discrimination lawsuit against the company.

If the company is not comfortable requesting a background check, credit reports and reference checks are other methods of verifying information provided by the employee in the application and interview processes. While these will not include criminal records, they can determine the general trustworthiness of the candidate.

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Information is provided for informational purposes only and is not a substitute for professional medical advice. AccuDiagnostics does not engage in the practice of medicine. The information provided should not be used to diagnose or treat any medical condition. Readers are urged to consult a licensed physician before starting or stopping any medical treatment. Any action by the reader in response to this information is at their discretion, and AccuDiagnostics can in no way be held liable for such action.

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