5 Reasons Why Employers Should Conduct Background Checks
Preparing to hire a new employee is always an exciting process. However, there can also be stress involved with hiring someone new for your business. One of the biggest challenges in the hiring process is determining whether prospective employees are qualified for the job and checking their references.
An important aspect of reference checking involves running background checks on potential employees. Conducting thorough background checks can help employers learn about applicants' past work experiences, education information, criminal records, qualifications, or suitability that may not be adequately reflected on resumes and CVs.
Here are five reasons why employers should conduct background checks:
1. Prevent Frauds
Background checks can help prevent fraud. Whether it is falsifying employment or education information, using false identities to gain employment, or stealing clients' identities by posing as employees, there are many scams in the workplace. Conducting thorough background checks throughout the recruitment process can help employers detect these types of problems before they occur and take the necessary steps to resolve them.
2. Determine if the Applicant is a Safe and Appropriate Fit for the Job
Every employer wants to ensure they make the right decision when choosing a new addition to the organization. Background checks on applicants can help them determine if the applicant is a good fit for their business. For instance, employers can look at previous work experience to assess whether they would be qualified for the position or check employment references to examine how well their past employers think of them.
In certain sectors, DBS Checks are required under specific industry regulations. DBS Checks are criminal record checks which provide employers with the information they need to make safe recruitment decisions. The information provided on a DBS Certificate lets employers know whether or not someone is appropriate to fulfil certain roles involving vulnerable groups.
3. Protect the Business and Employees
Health and safety in the workplace is a critical aspect of any business. If you want to protect your business as well as the employees, a thorough applicant background check should be made. Suppose someone has a criminal record, with convictions relevant to the work involved in your business. In this case, you will want to make sure you have all the information available. This can help you assess whether the applicant is qualified to work with customers or are even allowed to carry out activities related to certain vulnerable customers. Conducting background checks before hiring new employees gives employers insight into applicants' backgrounds to determine who would be safe working for them.
4. Protect Investors and Customers
Background checks can also help protect a company's investors and customers. Some research has found that employees that have background checks carried out are less likely to pose a financial risk. Estimates state that businesses lose an estimated £2.37 trillion globally due to occupational fraud and theft. By helping intercept individuals with fraudulent intent or those who are financially irresponsible, the cost of background checks pales in insignificance compared to the amount of money you could potentially lose if they weren’t carried out.
5. Comply with Industry Regulations and Laws
Employers should conduct background checks on new applicants to help them avoid legal problems and to comply with any statutory or regulatory responsibilities they may have. Not conducting relevant background checks can leave your business vulnerable to legal action. It can also leave any vulnerable individuals that you deal with, exposed to dangerous individuals who should not be working with them. Thorough background checks before making job offers can help employers avoid issues that may come back to haunt them.
OTHER REASONS
There is no single reason why carrying out background checks are beneficial. Aside from the ones we've already mentioned, we found the following were some of the most commonly cited reasons:
Helping reduce employee turnover
Help prevent absenteeism
Helping improve an organisation's reputation
Although these checks do cost, the overall expense can be a drop in the ocean. when compared to the cost of a negligent hiring lawsuit. Not to mention the damage to your reputation!
For more information about anything in this article, or, how our screening solutions can help you, get in touch! You can give us a call on 01254 355688 or drop us an email at letstalk@personnelchecks.co.uk.