Beyond the basic background check: hiring the “right” employees

Abstract

PurposeThe purpose of this paper is to explore the various methods available when conducting a pre‐employment screening investigation in attempt to hire honest employees, those less likely to commit fraud against their organization. While many companies perform the most basic type of background check, this paper suggests that companies need to go beyond the basics when hiring its employees.Design/methodology/approachBy reviewing the existing literature and conducting interviews with experts in the area of background investigation services, the paper makes suggestions for companies to follow.FindingsMerely relying on the most basic background check may lead to the hiring of the wrong employee, one likely to commit fraud. Companies should consider performing other screening techniques before hiring an employee.Practical implicationsBackground checks have become a widely‐recognized method of pre‐employment screening. However, these checks are just one part of the employee selection process and companies should understand both the practical and legal implications of conducting additional testing.Originality/valueThe guidance provided in this paper will aid companies in the pre‐employment selection process. Both basic and more advanced techniques are discussed and companies can choose any or all of the recommended methods.

Personnel Security: Hiring

“…Prospective employees should be comprehensively checked to avoid missing troubling determinants in their pasts. The detection of past infractions does not usually prove to be difficult (Power and Forte 2006); however, without a unified database that screeners can utilize to retrieve background information, an incomplete investigation may be the result (Brody 2010). This concern is legitimate; however, it can be mitigated with a proficient investigator.…”

Further Beyond the Basic Background Check: Predicting Future Unethical Behavior

“…A background check may include, among other things, an educational and professional credentials check, a media check, a credit check, a reference check, and a criminal record check. Brody () discusses several areas of interest in the prescreening process.…”

“…Further, background checks often cannot prevent fraud, considering the fact that most individuals who commit fraud are not career criminals. Indeed, “a survey of 1,134 Certified Fraud Examiners showed that less than 8 percent of fraud perpetrators had prior convictions” (Brody , p. 211). This demonstrates a huge limitation to a background check—it cannot reveal a crime that a person has yet to commit.…”

“…Various assessments are available to help a company select the right people. Background checks, one commonly used assessment tool, are a standard practice among companies for screening potential employees, but they do not always uncover the truth because there are several practical limitations associated with these searches (Brody ).…”

Careful What You Wish For

“…Risk assessment in general is not new to employment; pre‐employment screening procedures, including drug tests, psychological tests for integrity, and credit checks are commonly conducted (Brody, ). Nevertheless, risk assessment, specifically for predicting future offending that targets all job applicants, is not typically part of pre‐employment screening.…”