Background Checks: Never Assume…

Most people never see what goes on behind the closed doors of prominent hotel chains. It is assumed that all business matters especially the business of background checks have been addressed in the most professional ways possible and that any issues one might see is a minor glitch which is handled expeditiously. Even with my background in Loss Prevention this was also my mindset until I had a very good friend of mine open my eyes to the challenges of his job at a very large hotel located in the center of a huge city. My friend had worked as an operations manager for a few prominent businesses in the city and was valued as a manager who could assess talent and manage a large amount of people to complete numerous tasks which led to the business running smoothly in an urban busy setting. We were just enjoying a couple of drinks after a delicious holiday dinner with our families when he decided to run his latest job by me along with an alarming employee issue that had been dropped in his lap. Robert, my friend, had been hired by a prominent hotel to be the Director of restaurant operations. Robert immediately went to work assessing his team’s talent and what he found was a human resource nightmare. Even though this hotel was a very large and successful it was a family owned business which placed family members in key positions without the experience or credentials to fulfill those positions. One position in particular was the VP of Human Resources. Robert could not understand why many key positions in his team were filled with people who lacked the experience to fulfill their jobs until he started reviewing the hotel’s pre employment screening process.

The review of the pre-employment screening the hotel had in place was the beginning of the proverbial rabbit hole. You merely filled out a basic job application and submitted a resume, one interview later you knew whether you were hired or not. There were no background checks of any type conducted for any position. At this point the horrified look on my face had Robert a bit concerned, I almost passed out when he told me they did not have a background check company on retainer nor used criminal background checks and did not even make simple phone calls to verify resumes. I was simply astounded that they did not conduct any type of employee background check. At this point Robert clued me into the fact that the VP of Human Resources was a member of the hotel owner’s family and did not possess the necessary skills to employ a proper human resource program, including background checks.

At this point I had to stop Robert and start educating him on the basics of employing a preemployment screening strategy. I explained to him that if he did the homework and put together a solution that included a variety of background check experts to choose from that the VP of human resources would embrace the idea as her own. The VP wanted to do the right thing, she just did not have the experience nor the understanding to realize what needed to be done. I started explaining to Robert the importance of employee background checks by using his administration manager as an example. Robert realized just after he started that his administration manager was not communicating in a timely way via email nor was he getting the pertinent reports from this manager that he had requested. After meeting with the manager he discovered that this person who had an impressive resume could not adequately construct an email let alone use the spreadsheet program to file daily and weekly reports. During the meeting the manager admitted that he had purposefully used fraudulent information in his resume to obtain the position. A simple employee background check verifying previous employment would have stopped this person from even making it to the interview process. Upon further investigation Robert also found out that this employee had been convicted of retail theft and was currently on probation.

Once again, a simple criminal background check would have brought this information out in the open before this employee ever walked through the front doors of the hotel. It would have shown that he had in fact lied on his job application regarding whether or not he was convicted of a crime. As we delved deeper into the pre employment screening issue Robert was realizing that he needed to consult with background check experts to formulate a proper hiring process within the hotel.

In the end Robert was able to sit down with several members of the owners family including the VP of Human Resources and communicate the importance of retaining a reputable background check company. The good thing was Robert came out of the meeting with his job still intact and a budget to obtain the help of background check experts. Now Robert’s welcomed challenge is to choose the best suited background check company for the hotel. As a follow up I also explained the importance of conducting criminal background checks that encompass all of the potential employees former addresses and that as a suggestion to run state wide criminal background checks to ensure all counties are covered within a state. It was one heck of a roller coaster ride for Robert but in the end he was able to bring the pre employment screening problem to the forefront before anymore serious problems occurred.

For more information on background check experts , background checks , criminal background checks , employee background checks or pre employment screening contact us at the background check company or call 1.770.426.0547

The ROI of Pre Employment Screening

The underlying motivation for conducting pre employment screening is to prevent a bad hire so it’s difficult to assess the ROI of incidents that do not occur.  I believe there are two ways to determine the ROI of pre employment screening.

First, employers need to establish the value of avoiding workplace violence, legal action or any other type of incident that could adversely impact productivity.  For example, background check experts argue that up to ten percent of all candidates have a criminal record.  Let’s assume background checks cost $50 USD per candidate and an employer outsources 10 background checks per month to a background check company.

The monthly cost of outsourcing background checks is $500 USD or $6000 USD per year.  Considering the impact a single bad hire can have each business must determine if the cost of employee background checks is worth avoiding the cost of hiring 10 problem employees.  Seems like a small price to pay to avoid costly litigation, workplace violence, employee theft or any other incident that could significantly cost more than $6000 USD per incident.

Second, employers must weigh the benefits of reducing turnover versus the cost of employee background checks.  Businesses can calculate the cost of each turnover by breaking down the line item costs associated with filling a vacant position.  A few associated costs to consider are; interviews, training and development or employee benefits.  The list goes on but rest assured once all of the expenses are itemized it’s easy to see how turnover costs start to mount.

For more information on background check experts, background checks, criminal background checks, employee background checks or pre employment screening contact us at the background check company or call 1.770.426.0547 

5 things will businesses consider when outsourcing background checks!

I’ll take this opportunity to address 5 frequently asked questions or concerns that arise when employers consider outsourcing pre employment screening.

1.  Why is it beneficial to outsource criminal background checks?

Many human resources, security or risk management departments are already handling numerous tasks so it’s important to use a background check company to ensure important details are not overlooked.

2.  Do background checks invade privacy?

No!  Hiring managers can only investigate an applicants “public life.”  For example, criminal background checks are the process of researching courthouse records for evidence of convicted offenses.  This process does not invade personal privacy since criminal records are a matter of “public record.”

3.  Is pre employment screening cost effective?

Yes!  Background check experts believe employee background checks typically cost less than the total cost of a full day’s work for the same candidate.  Now consider the risk involved when you gamble with unchecked applicants… the cost benefit ratio favors screening to encourage higher retention rates.

4.  Do background checks discourage applicants?

No!  Qualified candidates consider the process to be sound business practice so employee background checks actually encourage applicants to apply because they reinforce the message that your business is profitable and safe.

5.  Is pre employment screening difficult to implement?

No!  The process of outsourcing background checks can be handled quickly and effectively by a background check company. Background check experts can help any employers develop a program and provide all of the required pre employment screening forms in a very short time.

For more information on background check experts, background checks, criminal background checks, employee background checks or pre employment screening contact us at the background check company or call 1.770.426.0547

Employee Background Checks protect profits

The hiring process shouldn’t be a difficult task. Employee Background checks simplify the process and relieve some worries.

Recently, I had a manager that believed he could be more efficient at completing background checks himself without help from background check experts.  To him, employee background checks were important, but background check experts were not and he could very simply find out all the information he needed by “making a few phone calls” or tracing the applicant himself through his own system of background checks. His sense of urgency was infectious and soon, he had a couple of other hiring managers following his lead. Believing his pre-employment screening methods were ideal, the manager set out to “make a few phone calls” on a new applicant. Things were going good, until he reached an employer from 10 years ago. This employer had nothing but negative things to say about the applicant. The manager listened as the former employer claimed the applicant was a thief and had been suspected of theft prior to his departure. Continuing his pre-employment screening efforts, the manager re-called other companies the applicant worked for. He asked questions like, “did you know this former employee had been suspected of theft in other companies?” and “did you have any suspicions of theft while he worked there?” The manager even went so far as to make a copy of the applicant’s ID and fax it over to previous employers with questions and comments like, “ Is this a bad employee? He has been suspected of theft at other companies, did you have any suspicion’s? “ Not only was it illegal to ask most of these questions but it was also time and payroll consuming. Had the manager hired a Background Check company to begin with, the oncoming law suite could have been avoided all together and payroll loss would have been saved.

Employee background checks are a very important part of the hiring process. Taking short cuts or compromising the credibility of your company is never worth the risk. Had this manager used background check experts for pre-employment screening and background checks, he certainly would have avoided the legal case brought against him by the applicant.

For more information on background check experts, background checks, criminal background checks, employee background checks, pre-employment screening contact us at the background check company or call 1.770.426.0547

2012 – The year of the good employee.

Have you ever hired a new employee and then 3 months later seriously questioned your interview skills and business judgment?  I know I have.  It is amazing how some people can look so good on paper and in an interview room, yet we get stuck with their evil twin once they punch into work.  One way to help weed out the bad apples from the proverbial bunch is to utilize employee background checks and a pre employment screening before making a job offer to a perspective candidate.

There are several different types of employee background checks that can be performed.  It really just depends on the type of company you run and the position being filled.  I recommend consulting a professional Background Check Company to conduct your checks.  A good Background Check Company should do several things.  First, they should be able to give reasonable recommendations as to what types of checks would be best for your business.  Secondly, a good Background Check Company will utilize licensed private investigators to oversee the background checks to make sure they are being done correctly and with integrity.

One of the common background checks is criminal background checks.  Criminal background checks look at relevant state and sometimes federal level criminal histories to help you ensure that your future employee is trustworthy and does not have any past inclinations that would put your company at risk for lawsuit, theft or violence.  Another pre employment screening that can be done is in the area of finances.  If the employee will be handling cash, bookkeeping, etc. it is important to make sure that person can manage their own finances first.  You would not put a crack addict in charge of the police drug unit because you know where all the evidence would go.  In that same theme you would not want to put someone in great financial disarray in a position to handle your money and then hope for the best.

For more information on, background checks, criminal background checks , background check experts, employee background checks or pre employment screening contact us at the background check company or call 1.770.426.0547 

Trusted Background Check Experts make all the difference.

Hopefully in this day and age you are aware that employee background checks are an option for employers before they make a job offer to a potential candidate.  I hope even more you are utilizing these background checks before you make said offer.  Modern technology has made conducting pre employment screening and employee background checks more accurate and affordable and our litigious society has made them that much more necessary.

Did you know that your business is liable for its employee’s actions?  If one of your employees injuries or commits a crime against a customer or fellow employee then you may get sued and end up paying big bucks.  Did you also know that it is harder than ever to get a reliable reference from past employers?  Try it sometime.  Due to lawsuits and claims of defamation of character, many companies will now only verify dates of employment.  That is fine and dandy if the employee was a good employee, but what if that last date of employment was because of theft?  Criminal background checks are the only way to really know what type of employee you are hiring.  Now, criminal background checks are hard to do yourself so I recommend getting your needed background checks done by a reliable Background Check Company.

There is more than one Background Check Company available for hire.  In fact, there are many.  What you may not know is that not every Background Check Company uses licensed and trained Background Check Experts to conduct the services they offer.  When you pay for employee background checks you expect the process to be thorough and complete.  This is hard to accomplish without trained background check experts conducting the pre employment screening.  My recommendation is to check out the credentials of the Background Check Company you are looking at before you sign the dotted line.

 For more information on employee background checks, background checks, background check experts, criminal background checks, or pre employment screening contact us at the background check company or call 1.770.426.0547 

 

Deterring Employee Theft

“One can only speculate how much more profitable this industry could be if these many sources of inventory shrinkage and other forms of financial loss could be significantly reduced.” Wise words from Dr. Richard Hollinger, a professor at the University of Florida, Gainsville.

His summary of the 2010 National Retail Security Survey (NRSS) really drives home the point of how severe the losses really are for the retail industry. The NRSS states that 45% of retail inventory losses come from employee theft.

How does the retail industry respond? Pre employment screening.

The NRSS says the “hottest” trend is a Criminal – History Background Check.

Criminal Background checks will show any convictions for any crime. The background check will often uncover the real reason why this person left their last job (prosecuted for employee theft). Lengthy gap in employment history? It could be due to jail time. Maybe that “attendance issue” was actually being in a holding cell all weekend.

The NRSS states that this year actual criminal prosecutions (of dishonest employees) nearly doubled. Employee background checks are catching these prosecutions. They make it easier for hiring managers to side step these hidden land mines.

Employee background checks are becoming increasingly integral to the war on shrink. Catching these dishonest employees before they step foot in the door is a front line defense.

While pre employment screening will deter bad applicants from the beginning, employee background checks should continue after someone has been hired. How else will you know if your long time associates are now a high risk associate?

For more information on background check experts, background checks, criminal background checks, employee background checks or pre employment screening contact us at the background check company or call 1.770.426.0547 

What Happened to Employee Loyalty?

The 2010 National Retail Security Summary (NRSS) is out. I had a chance to read it the other day. It shows some interesting data sent in by 140 retailers nationally. Employee theft remained at about 45% of retail inventory losses reported. This was about the same proportion as last year, according to the NRSS.

The two biggest causes? Sales associate turnover and a heavy reliance on a part time work force.

Retailers are bombarded by the constant flux of open positions and payroll cuts. Combined, they leave little to the employee to hold on to. Often feeling overworked by having to compensate for being short handed. They then are on hourly restrictions, that often decrease their hours to compensate for the payroll reduction.

This creates a breeding ground for inconsistent paychecks and ill will toward their company. Hmm. That explains why so many associates jump ship for other jobs as soon as they can find one. It also explains why the two biggest reasons I hear for employee theft are:

“I felt like they [the company] owed it to me” and “I couldn’t afford it”

Well, now that we have gotten ourselves into this predicament, how do we get ourselves out?

Background checks and pre employment screening

Not just any old background checks either. I am talking about ones conducted by a real background check company with background check experts compiling data and analyzing risk factors.

I personally don’t have time to interview every application that comes across my desk, for every open position. I need someone with an expertise in background checks to give me the cliff notes version of the resume in front of me. I need a Background check company to be a watchdog for me.

My time is limited on who and how many applicants I can interview. If I am armed with information from pre employment screening that saves me from wasting my time, background checks are well worth the investment!

For more information on background check experts, background checks, criminal background checks, employee background checks or pre employment screening contact us at the background check company or call 1.770.426.0547

By the Numbers

With the holidays behind us, many companies are starting to tally up their final numbers for the year. Among those numbers are the dollar amounts lost to shrink. According to the statistics released by the Global Shrink Barometer for 2011, total shrink in the United States comes in at a whopping $41.691 BILLION dollars. Thats right, Billion! That’s a lot of money to be lost. They then go on to state that 44.2% comes from employee theft.

How much of those dollars are coming out of your store at the hands of your own employees?

With sobering statistics like this, it’s hard not to want to pull every associate into the office, shine a bright light in their face and make them confess every secret they ever held! That, of course, would be a HR nightmare. How about as an alternative – running Employee background checks?

Pre employment screening, done by reputable background check experts, will eliminate the obvious bad applicants. At the very least, the Background Check Company should run a criminal background check during the course of their pre employment screening.

Background Checks point out the obvious indicators such as previous convictions or bad credit. Background check experts will sort through the information compiled on an applicant. Their knowledge will help give you a better chance at hiring the person with the lowest risk of becoming a dishonest employee. This allows you to focus on their other skills and merits that qualify them for your open positions.

Hiring a Background Check Company seems much more reasonable than being faced with $41.691 Billion dollars in losses due to employee theft.

For more information on background check experts, background checks, criminal background checks, employee background checks or pre employment screening contact us at the background check company or call 1.770.426.0547 

The importance of quality employees and how to prevent loss before it happens.

As economic times have continued to become more difficult, many employers are now using every method available to ensure they are hiring the right people.  The hiring process has become more important than ever.   Many successful companies are now using background check companies and background check experts.  These background checks include criminal background checks, employee background checks.  These pre-employment screening tools allow the employer to control who enters into their talent pool.

By employing a background check company or background check expert, the employer can access very important information regarding the candidate’s history.  These background checks can reveal other wise private information such as, criminal background checks.  This gives the employer visibility to information that can speak to the quality of employee and can reveal any disqualifying information.  These background check companies and background check experts can also process employee background checks.   These employee background checks provide the prospective employer a look into the candidate’s quality of work and relationship with previous employees.  This is a good measure in projecting the behavior of the candidate while under employment.  A company that is looking to hire can also take the process one step further by using pre employment screening.  Pre employment screening can include all of the above-mentioned criteria, but can also include competency based pre employment screening.  This screening can identify candidates that have the technical and behavior based skills to be successful in your business.

Having worked in the retail industry for a number of years, I have not only been the subject of the practice of background checks and pre employment screening.   The process is very fluid and not intrusive.  It has also provided me the opportunity to work for a few great companies, but more importantly it has guided me in developing myself to be competitive for higher-level positions.  These screens have included background checks, criminal background checks and employee background checks.

 For more information on background check experts , background checks , criminal background checks , employee background checks or pre employment screening contact us at the background check company or call 1.770.426.0547