Survey: Less than 25% of employers do background checks once an employee is hired
- A new study by Endera, a risk alert firm, found that, while 98% of employers conduct background checks on job candidates, less than 25% do post-hire screenings, reports Business Wire. The Endera Insider Risk Survey polled 278 executives across industries and company size.
- The survey also found that security and general business executives were three times as interested in conducting post-hire background screenings as HR — the department normally responsible for pre-hire screenings — and IT. Without post-hire screenings, corporate boards and chief experience officers (CXOs) are exposed to safety, security and compliance risks, says Business Wire.
- According to survey data, one-in-1,000 employees are arrested each month, but just one-in-four CXOs and 30% of senior executives said they would know if an employee was arrested.
With monthly arrests of 1,000 employees and only 25% of employers screening employees after they’re hired, innocent workers and customers could be at risk, as well as CXOs and corporate board members. Employers must protect all stakeholders to the extent possible. Merely screening employees when they are hired may not be enough to fulfill a company's duty not only to external stakeholders or investors, but also to other employees.
The survey showed that 91% of executives want to know if employees are on a criminal watch list and 82% want to know if a worker is booked or arrested. Post-hire screenings could reveal this critical information to lower employers’ risk.
The survey also found that 53% of respondents want to know if an employee loses certification, 48% want to know if an employee is in financial distress and 33% want to know if a worker is tied up in a lawsuit. Employers must be cautious in obtaining this information. Certification loss might not be a risk if it doesn’t directly apply to an employee’s job. Financial distress shouldn’t automatically label an employee as a thief or criminal, but employers should intervene if money issues lead to behavioral problems or productivity suffers. Employees could be involved in lawsuits for many noncriminal reasons, which might pose little or no risk to employers.
With any kind of background check, before or after a candidate has come on board, employers must make sure they follow vetted, standard procedures to avoid running into possible compliance issues. On top of that, certain kinds of information may violate privacy laws, but employers have to balance that with safeguarding the integrity of the company and the potential safety of other employees in extreme cases.