Background Checks On Employees: The Importance Of Employment Background Checks

Running employment background checks takes time and money, but company leaders see several benefits in return. An employee background check can weed out dishonest applicants, as well as people whose track record suggests they won't be able to effectively carry out the duties of the position in question. It's much less complicated to organize criminal background check before hiring a new employee, so you don't have to repeat the entire hiring process later.

However, companies must balance the benefits of conducting employment background checks with the possibility of being involved in lawsuits. US courts have determined that US companies have a "duty to care" for the public, their customers, and their workers. This duty obliges companies to thoroughly investigate workers in positions that could pose a threat to safety. For example, if you fail to check your fleet of taxi drivers and one of them gets drunk and causes a fatal accident in your taxi, you could be sued for negligence. At the same time, you need to ensure that employment background evaluations comply with privacy laws; otherwise, an applicant could sue you for violating their privacy or background check laws.

Given the role that due diligence plays in employee background screening justice, some industries have a more urgent need for criminal background checks than others. A daycare, for example, can cause more pain and suffering by hiring a criminal than, for example, a graphic design company. If you are still unsure whether your organization should conduct background checks, consider the following list of situations that warrant conducting criminal background checks.

When the position involves large amounts of money

Financial institutions, such as banks, should conduct a criminal background check before hiring a new employee, for the obvious reason that workers in these fields can easily rob customers and the company.

When customer safety is at risk

If your company offers a health-related service, you should almost certainly run criminal background tests before hiring new people. Hospitals, hospices, nursing homes, and other health care facilities are responsible for human lives; a nasty employee could cause real damage in these areas.

When worker safety is involved

Sometimes employees are responsible for protecting each other. If a new hire is going to have the lives of others in their hands, run criminal background tests on each applicant. Otherwise, you may not be fulfilling your "duty of care" to your employees.

To provide a more detailed example, let's say that Samantha, the factory plant manager, does not stop the assembly line when the sleeve of Louis, her co-worker, gets caught in the machinery. If court investigations show that Samantha has already had four DUIs and the manufacturing company failed to conduct a criminal background check to prevent her from being hired, Louis could successfully sue for damages.

To protect children, courts are particularly attentive to the duty of care of employers in childcare-related industries. School districts, babysitting services, and any other group that works with children must conduct criminal background checks before hiring new workers.

As you organize employment background checks, be aware that certain laws, such as the Federal Fair Credit Reporting Act, dictate how they should be conducted. Be sure to follow the letter of the law by executing your background check protocol by your attorney.

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