3 Major Risks of Hiring Without Performing a Pre-Employment Background Check

10/06/2022 11:59 AM By Kayla Florence

In a hiring manager’s perfect world, they would hire an ideal candidate for an open position by simply reviewing their resume, determining eligibility, and letting them know when they can start. Instead, HR professionals must consider the risks of skipping a very necessary step—performing pre-employment background checks.

Conducting background checks as a conditional part of a job offer is essential for making adequate hiring decisions and avoiding potential problems down the line. The desperate search for a job can induce deceitful tactics by prospective employees who want to make themselves look as professionally competent as possible. This may lead to the inclusion of falsified, exaggerated, or completely made-up information provided as part of the application process.

Revealing warning signs that could eventually affect trust, safety, and the carrying out of company values and goals will benefit any business and extenuate the following risks: 

1. Unverified Credentials

By failing to coordinate a background check for a future employee, the company is at risk to hire unqualified people who are claiming false credentials. An employee lacking the real experience or knowledge it takes to do the job at hand could cost the company time and money by decreasing the overall team productivity. It could harm the rest of the team who may feel obligated to pick up the extra weight.

Statistics reported by CNBC indicate that 78% of candidates admitted they did or would consider misrepresenting themselves on their application. Some of the falsities may include, working at a company longer than they did, earning a degree when they were a few credits short, having mastered skills they haven’t, and saying they achieved things they didn’t. Companies can lose money from this by paying them for a job that is less than satisfactory as well as the money it took to hire, onboard, and train them. If a replacement is needed, double the money will be spent to hire the new employee.

You don’t have to wait to see if the applicant is qualified while they are on-the-clock, you can protect your business by completing education, employment, professional reference, and certification verifications, first. 

2. Safety Concerns

Hiring professionals are undoubtedly looking for those who will represent the brand appropriately, be efficient workers, and treat everyone with respect, accompanied by the notion that all workers are entitled to a safe workplace. Without doing a background check, someone with a violent or otherwise harmful criminal history may be invited into the work environment.

In 2020, the National Safety Council reported violent assaults in the workplace as being the cause of 20,050 injuries and 392 deaths. Though one’s criminal history does not equate to malicious intent, nor are people incapable of reformed, changed behavior the risk in the workplace is increased under these circumstances. Prior accusations or convictions of business-harming activities including violence, fraud, hacking, theft, and cybercrimes are reasonably important to consider. 

Additionally, pre-employment drug screening can decrease on-the-job injuries. As noted by the Society of Human Resource Management (SHRM), “Drug testing is effective in preventing accidents, health issues and costs, absenteeism, and litigation noting that screening can also protect employees from injury and improve productivity.”

Both the risk of workplace violence and drug-related accidents leading to injury or death can gravely affect company culture as well as the overall safety of customers, employees, and the business. 

3. Being Held Accountable

Employers can be held liable for employee behavior on-the-job if they knew or should have known that the employee had the potential to pose a risk. Running a background check before an accident or other impermissible behavior is a best practice that will improve legal standing. Spectrum TV was held liable for the murder of an 83-year-old woman in Texas that was committed by one of their employees and ordered to pay $340 million dollars. 

Companies can also be held accountable for the decision they make regarding background checks when it comes to the effects on the company reputation. When they are hired, employees end up becoming an integral part of the business and serve as a reflection of the company. A brand's image can be negatively affected by the onboarding of questionable people, in contrast with reputation that is held with workers who uphold the values and expectations of the company they work for.

In order to avoid these hazards mentioned above, contemplate the benefit of incorporating background screening into your hiring process as soon as today! 

Background Partners provides award-winning, boutique, and knowledgeable screening services for employers nationwide through comprehensive background checks, education/employment/certificate verifications, drug testing, and occupational health screening. We educate clients on best practices to mitigate risk, maintain proactive communication to stay "in the know", and guarantee lightning-fast turnaround so you can make well-informed decisions faster. Contact us to find out how we help employers confidently on-board new employees easier & faster! 

Background Partners does not offer, or provide, legal advice of any kind. Any information on this website is educational information only.