How Background Checks Protect Corporations
Companies of all shapes and sizes know that hiring the right person for a job helps a company be the most productive and competitive it can be. But getting a hire right the first time also helps protect companies from potential liability issues, safety concerns, theft, or other workplace incidents.
While it’d be ideal to trust everyone going through the interview process, it’s possible to be duped by a candidate. Even if a potential hire has earned the trust of a hiring team, conducting a quick background check can help verify the details a candidate has provided. Doing so is an essential step of the hiring process, considering that 55% of workers have admitted to lying on their resume at least once in their lifetime, according to a StandOut CV survey.
To better understand how companies can limit their exposure and liability during the hiring process, here are a few ways background screenings can help.
Background screenings help improve workplace safety
One of the biggest concerns for many companies is ensuring the safety of their workers. Injury data from the Bureau of Labor Statistics showed that 20,050 workers in the private industry experienced some form of trauma due to workplace violence in 2020. And of those workers, 22% required 31 or more days away from work to recover.
However, companies can help avoid potentially dangerous situations by conducting fast and reliable background screenings. Matt Lineberger from Veriswift said that a background check can help companies identify potential risks.
“A thorough background check can uncover information about an applicant’s criminal history, past incidents of violence, substance abuse issues, or any other relevant behavior that might pose a safety concern,” Lineberger said.
Having more information about employees can help companies safeguard their workplaces and establish necessary security protocols that help protect both employees and customers.
Screenings help companies adhere to laws and regulations
Many industries have unique workplace regulations, which require companies to take extra steps to ensure they follow applicable laws. Conducting background screenings helps companies easily comply with these regulations.
“Depending on the industry and location, there might be specific background checks mandated by law, such as those related to working with vulnerable populations or handling sensitive information,” Lineberger said.
Conducting the necessary background checks helps protect companies from legal penalties and liabilities but also helps ensure that employees can be trusted with sensitive customer information, including medical records and financial data.
Background checks help uphold a company’s reputation
Employees represent a company and its values, which makes each worker an extension of the company. That can be great when a company has hard-working and trustworthy employees, but it can become a liability when the wrong people are hired.
“By conducting background screenings, companies can demonstrate their commitment to maintaining a trustworthy and ethical workforce, which in turn helps preserve their reputation and brand integrity,” Lineberger said.
Not only can a bad reputation hurt a company’s business, but it can also keep them from hiring the best talent. A Glassdoor survey found that 50% of candidates wouldn’t work for a company with a bad reputation.
Screenings can reduce negligent hiring claims
Companies can be held accountable for situations and incidents that happen in the workplace. If a corporation hasn’t taken the necessary steps to protect employees, it can sometimes be held responsible for what occurs.
“If an employee’s actions cause harm to others, and the employer could have reasonably foreseen this risk through proper background checks, the company might be held liable for ‘negligent hiring.’ Thorough screenings demonstrate due diligence and reduce the likelihood of such claims,” Lineberger said.
A LexisNexis article written by attorney Darryl G. McCallum stated that “courts hold employers liable for negligent hiring if they fail to conduct a reasonable level of pre-employment screening” or overlooked evidence of an employee’s dangerous tendencies.
Ready to learn more about new hire background checks?
A fast and efficient background screening is one of the easiest ways for corporations to protect their customers and employees.
Contact Veriswift now to find out how accurate and reliable screenings can help protect your company from unnecessary exposure and liability.