Perhaps the most obvious reason to do background checks is to avoid violence and disruption in the workplace. While the existence of a criminal record is not always a reason to reject a candidate, there are cases where it can be. For example, a convicted child molester has no business working in a day care center.
Extreme cases aside, there are important fundamental reasons for conducting background checks on applicants. With today’s emphasis on managing more work with fewer people, the impact of a bad hire is greater than ever before. How do you really know that the applicant has the education, experience and certifications that he or she claims, if you don’t verify the claims?
Finally, pre-employment background checks help to avoid the rising costs associated with theft, fraud, and lawsuits that may result from the actions of employees that should never have been hired. The practice also reduces the less obvious costs associated with bad publicity and the loss of customers.
Why Companies Conduct Background Checks:
● Avoid violence in the workplace
○ 10% of job applicants have a criminal record.
● Get the right person for the job
○ 50% or resumes contain material lies or omissions about education, past employment, or qualifications.
● Reduce costs associated with bad hiring
○ Lawsuits, theft, fraud, embezzlement.
○ Turnover, bad publicity, lost customers.
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