Why Background Checks Are Bad?

Why Background Checks Are Bad?

The question “Why background checks are bad?” is a provocative one, often asked by prospective clients that have had a bad experience with another provider or by applicants who have been negatively affected by a poorly executed background check. It’s essential to understand this perspective to appreciate the full scope of what a responsible, comprehensive, fast, affordable, and FCRA-compliant background check should entail. While background checks are crucial tools in the hiring process, they can indeed have negative aspects if not implemented correctly.

Importance of Background Checks for Employers

Despite the title’s suggestion, background checks are fundamentally important for several reasons:

  1. Workplace Safety: Effective background checks help maintain safety by screening out candidates who have histories that could endanger other employees. For instance, research shows that 12% of workplace fatalities could be linked to a lack of proper background screening.
  2. Quality of Hire: Background checks improve the quality of hire by verifying the candidate’s stated credentials and experience. Statistics reveal that employers who conduct thorough background screenings report a 70% increase in the quality of their hires.
  3. Suitability for the Role: Ensuring that candidates are suitable for their roles based on their experience, qualifications, and education is crucial. It’s reported that incorrect hiring decisions can be reduced by up to 30% with effective background checks.
  4. Negligent Hiring and Retention: Background checks help mitigate the risk of negligent hiring, which can lead to legal and financial repercussions. Proper background checks reduce the incidence of negligent hiring lawsuits by 20%.

How Background Checks Work

Background checks consist of several components, each serving a specific purpose:

  • Social Security Trace: Establishes identity and uncovers any aliases or past address histories.
  • Criminal History Check: Searches national, state, and county databases to uncover any criminal records.
  • Employment Verification: Confirms the accuracy of a candidate’s work history.
  • Education Verification: Validates educational credentials.
  • Motor Vehicle Records: Essential for positions that require driving, ensuring the candidate has a clean driving record.

Steps in the Background Check Process

The typical background check process involves:

  1. Consent and Collection of Information: Begins with obtaining consent from the candidate and collecting necessary information.
  2. Research and Verification: Involves querying various databases and sources, both public and private, to gather comprehensive data on the candidate.
  3. Compilation of Findings: Results are compiled into a report that summarizes the findings, which is then reviewed for accuracy.

Background checks usually cover records from the past 7 to 10 years, depending on the nature of the search and applicable laws.

Defining the Scope of Background Checks

The scope of a background check is typically defined by the specific requirements of the position, reflecting its responsibilities and associated risks. However, when employers opt for a scope that is too narrow or select inexpensive screening options, the quality of the background check suffers. Furthermore, using free or super cheap online services that promise “instant” results can be particularly problematic. These services are not legally compliant for employment or tenant screening, as they do not ensure that the information is accurate, timely according to Federal law, or even relevant to the candidate in question, leading to a bad background check.

Conclusion

Addressing “Why background checks are bad?” reveals the importance of conducting thorough, compliant, and tailored background checks. While poorly executed background checks can indeed be bad by not adequately serving their purpose, choosing a qualified consumer reporting agency like EDIFY Background Screening ensures that your background investigations are carried out efficiently and effectively. At EDIFY, we provide the experience and technology necessary to deliver comprehensive and legally compliant background checks that enhance your hiring process. To avoid the pitfalls of bad background checks, partner with a provider that values quality and compliance. Visit our website or contact us today to learn how we can assist in making your workplace safer and your hiring decisions sounder.

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