Why do employers conduct background checks? Is it simply to verify a job candidate’s qualifications, or are there additional benefits?
The top four benefits employers realize by conducting background screening and how it adds value to their organization.
Sixty-seven percent of survey respondents said that the quality of their hires improved due to background screening. Background checks help uncover false information on resumes, where 70 percent of respondents have reported finding an inaccuracy. In addition, respondents are finding misrepresentations more than once, where 74 percent of respondents cited that they find misrepresented information up to 10 percent of the time.
In another recent study, the Society for Human Resources Management (SHRM) found that job seekers who had committed negative acts in the past were the most likely to have falsified resumes.
If an applicant misrepresents their employment history, education, certifications, criminal history or employment eligibility, not only could it result in a poor hire, it could also potentially result in financial, legal and regulatory risks for the hiring organization. A background screening program can help uncover false or misrepresented information early on and prevent future risks and elevated hiring costs.
In the Benchmarking Report, respondents named regulatory compliance as the second most important business challenge and 44 percent of respondents found that background screening helped to improve regulatory compliance.
A background screening provider with in-house compliance expertise, as well as intelligent built-in compliance tools, can help an organization to satisfy industry standards and state and federal requirements, which can vary from state-to-state and by job position, creating added complexity for employers.
Forty-two percent of survey respondents found value in background screening because it helped them to increase workplace safety and security. Additionally, 16 percent of employers found screening reduced employee theft, 14 percent found it reduced workplace accidents and 11 percent said it reduced workplace violence.