Compliance

Think You’re Cut Out For Doing Employment Credit Reports?

HR's Guide to Employment Credit Reports

What’s in a credit report? Credit reports are not routinely used in pre-employment screening. In fact, our most recent survey revealed that only 12% of employers use them regularly. However, employment credit reports can be valuable to hiring managers as a part of the employment background check process because they can offer insight into an applicant’s reliability and offer clues about a person’s sense of personal responsibility. An employment credit report might include derogatory credit information, public record filings (bankruptcies, liens and judgments), account standing with creditors, and other clues like previous address history.

Credit reports also allow employers to quickly verify and expand on information they receive from applicants. They can reveal additional information that may prompt further review of the applicant and their past. They also provide credit information that would not otherwise be shared by applicants but may have an impact on job performance.  These reports are especially useful for companies whose candidates will have check-writing privileges or other access to company funds.

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Flaw in Employment Background Check Law is Hurting Candidates

Background Screening Law Being Exploited

Having been involved in the employment background screening industry for over twenty years one could say I have seen it all. I have seen class action lawsuits, congressional hearings, state hearings, and pundits slamming an industry they really don’t understand. Often critics don’t realize that there’s a loophole in the federal law (the Fair Credit Reporting Act) that was designed to help consumers but actually hurts them.

Employment background checks exist because organizations simply want to protect their interests. Hiring managers have a duty to insulate their employees, customers and clients from individuals who pose a risk to them or the organization as a whole. But many times the pre-employment screening process is questioned for a lack of accuracy or seen as a barrier for employment.

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The Wrong Way to Comply with Ban the Box: Austin, Texas

Employment Background Checks and Ban the Box in Austin, Texas

Question: What do you get when you combine ban the box” compliance with utterly idiotic hiring practices? (I know I’m supposed to be diplomatic but no can do in this instance.)

Answer: Ask the city of Austin, Texas who hired a six-time convict to work in their public library . . .  that just plead guilty to attempted indecency with a child.

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This Week in Employment Background Checks: August 15, 2014

Employment Background Checks

It’s been awhile since our last weekly wrap up, and we’ve posted quite a few stories on our blog the past couple of weeks. If you’ve been out of the loop, now is a great time to get plugged back in, and I’ll give you a jump start with four of our latest blogs. Ban the Box Has Jumped the Shark- It’s Getting Ugly Employers

The talent management community needs to push back.  Employers can’t just sit back anymore and think that these background screening laws are benign. Read More

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Integrating the Candidate Experience & Saving Time

Employment Background Checks

Want to save time and improve the candidate experience? Look no further than streamlining your background screening program with an applicant tracking system (ATS). Whether you’re seeking to understand compliance best practices for your current system, or simply want to learn more about how an ATS can significantly save you time and improve the candidate experience—listen as our experts discuss the benefits of integration.

Wondering what some of the benefits of an applicant tracking system are or wondering if there’s anything you can do better? Watch our brief video and take a look at the overview below. (more…)

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Ban the Box Has Jumped the Shark: It’s Getting Ugly Employers

Ban the Box- Criminal Background Checks

If you are in the talent management space, you know that there has been an explosion of “Ban the Box” laws that have popped up at the federal, state and local levels over the last few years.  These employment and labor laws generally prohibit employers from asking whether a job candidate has been convicted of criminal activity on the job application.  Sometimes, these laws only affect government workers, but more often they include private sector employers as well.

If you conduct employment background checks, you’ll want to read on to see why it’s time to take a harder stance on “ban the box”. (more…)

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Is Your Background Screening Program Missing a Piece of the Puzzle?

resume verification

Just when you thought your background screening program was perfect—you discover one of your top candidates wasn’t completely honest when they submitted their resume. In today’s job market, resume lies abound and vary from the famous to desperate job seekers. The trouble is—if you hire someone based on a lie, you’re not hiring the person you thought.

We’ve been talking about resume verification a lot lately—from our latest webinar to our newest white paper, we believe resume verification is a great addition to any employment background screening program. And while this service might not be as crucial to some employers as criminal background checks, overlooking this service could truly hurt your company.

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Background Checks May Not Be the Myers-Briggs Test—4 Reasons They’re Better

Employment Background Checks

Surely you’ve heard of the Myers-Briggs test—an assessment that categorizes people into 16 different personality types, the results supposedly able to determine the types of jobs that would be best for you. However, a recent article reveals this test may not be as telling as many employers—and others, once believed and reports, “Analysis shows the test is totally ineffective at predicting people’s success at various jobs.” And yet, many companies continue to spend money on this test and trust in its ability to reveal a person’s personality and behavior.

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San Francisco “Ban the Box” Effective on August 13, 2014

San fran skyline

Things aren’t getting any easier for employers in California. As I posted way back in February, San Francisco has banned the box. Effective August 13, 2014, employers in the city or county of San Francisco may no longer inquire about criminal history on employment applications or during interviews. It’s Ban the Box on steroids, and it may be coming to a city near you.

Titled The San Francisco Fair Chance Ordinance, No. 17-14, the new law prohibits both private and public employers with at least 20 employees from asking about a criminal past on the job application or in an initial interview. The law also restricts asking about criminal history on applications for affordable housing within the city. With respect to employment, the law applies to temporary workers, contract workers, and city contractors and subcontractors. The proponents of this and similar laws are trying to give ex-offenders a second chance by deferring questions about criminal history until after the application stage of hiring.

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July BTW: Two New FCRA Class Actions & The Problem with Ban the Box

Compliance Employment Background Checks

For those interested in staying up-to-date with the latest in compliance for pre-employment background screening and the laws that affect your use of employment background checks, follow our publication, BTW: Your Guide to Staying Out of Hot Water. This compliance resource has been created by our VP of Compliance and General Counsel, Angela Preston, and is a must-read for human resources and security professionals. The Sharks are Circling: Two New FCRA Class Actions

Just when you thought it was safe to get back in the water, the sharks are circling with more FCRA-related class action claims. This time Home Depot and Aaron’s furniture stores are the companies under attack. Read More

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