Employee Background Verification Guide and What They Mean for Your Privacy

According to the latest survey, more than 95% of companies require employees to go through some type of background check- sometimes including a credit check- during the initial process of hiring. rrWhy do companies require such information about the candidate? There could be various reasons. For instance, if the job role you are applying for requires government approval, a background check may be mandatory. For specific job positions that need accounting or financial responsibilities, credit reports can help them realize how financially responsible you are. rrBefore you allow a company to run background checks while hiring, find out what information they can find and your rights. rrWhat is data validation?rrData verification involves verifying a person's commercial, criminal and sometimes financial records. Generally, a company contracts with external background verification companies specialising in data validation. rrA background verification company like CocoFinder will check your records as well as verify your employment history to determine if you are who you say you are and if there are red flags in your personal or professional history. Depending on the restrictions imposed by the government, these records can include criminal history, employment record, driving history, credit history and even medical history. rrWhy do businesses run background checks?rrThere are several reasons why background checks are usually necessary for hiring.rrThe company may want to confirm that you are telling the truth. According to estimates, more than 60% of resumes have false or altered information, so companies want to make sure you can do what you say you do. After hiring an employee, a company may advertise your qualification to clients - if those credentials are found to be incorrect, this could negatively impact the employer. rrBackground verification companies may also perform a background check to determine if you actually graduated from the same college as mentioned in the resume or to confirm that you worked for a previous company for the time mentioned on your resume or job application.rr rrSuch types of checks can also be used to protect companies from liability issues - if the employee misbehaves, organizations can sometimes be held liable for negligence or failure to conduct proper research. For example, if a taxi sharing company hires someone with a bad driving record, they may be held responsible in the event of an accident. This taxi sharing company is expected to verify every candidate's driver's licence before making him a permanent employee. rrCompanies Should Ask Before Performing a Background CheckrrOrganizations must request and obtain your written permission before performing a background check or credit check. If something from the report causes the company to decide not to hire you, it's their responsibility to let you know about it and also provide you with a copy of the report. Such a thing helps you in case something that appears in your data validation is wrong- access to the report will allow you to contact the necessary organization and fix the error. rrWhile most of the information regarding your background check may pose a legitimate concern to the company, these checks cannot be used as a pretext for discrimination. It's the responsibility of an organization to perform background checks using background verification companies on all applicants equally. For example, it would be illegal to check the criminal record of the male candidate but not the woman. rrMoreover, companies cannot use background information to discriminate among employees. Contact the Ministry of Labour & Employment if you suspect background checks have been used in a discriminatory manner. Discrimination comprises making hiring decisions based on race, the nation of origin, religion, disability, gender, genetic information and age. rrTerms of employment verificationrrMost companies perform background checks and verify employment history during the hiring process before offering a job to a candidate. However, in some instances, the final job offer may depend on the result of background verification. This suggests that the proposal can be withdrawn if the company finds any discrepancies in the provided information.rrIf the verification remains incomplete before the joining date, then you may lose your chances of getting the desired position. According to the background verification companies, "All employment contracts contain a clause whereby a company can hire you for a 90-day trial period. During this time, they will not only check your work performance but, in some cases, background checks will be carried out". During this period, if the results are unsatisfactory, they have the legal right to terminate you from the job. rrInformation included in employee verificationrrWhat is included in employee verification? According to background verification companies, before a company can receive a client report or perform a credit check for employment purposes, they must notify you in writing and obtain your written permission. rr Verify employment historyrrYour employment history incorporates all the companies you worked for, your job roles, employment duration, and salaries for each position. rrThe company performs an employment history check to confirm whether the employment information included on your resume and/or job application is accurate or not. rrWhat other information will employers look for?rrCompanies perform background verification more often than in the past. This can be for several reasons, including concerns regarding negligent litigation. However, employment verification does not include all the information that many organizations are looking for. If you are applying for a new job, you can expect a request for some of this information: rr Drug and Alcohol Testsr Credit check of the loan applicantr Court Records and Background Checksr Employment VerificationrrWhy do companies want to check your background?rrThere are multiple reasons companies might want to determine your background history or information. Usually, background checks serve the following purposes:rr To determine if you are legally eligible to work for the company. r To check criminal history.r Financial history for different types of work.r To make sure you meet all the health requirements for work in different scenarios.r Ensure that you are the right fit for your job according to your skills, past work history, work habits and personality. r