What Does It Mean When A Company Wants to Do a Background Check?

As hybrid and remote work increases in the U.S., employers across the country are finding ways to screen candidates more thoroughly before bringing them on board. The goal? To reduce risk and protect the company’s operational, reputational, and financial well-being. 

These tactics include more rigorous interviews, thorough conversations with references, and, most importantly, comprehensive background checks. 

Why Companies Conduct Background Checks

Background checks reveal pertinent information about a candidate’s criminal history, identity, employment and education history, and more so that HR pros can spot any threats and avoid making a bad hire. 

As a result, pre-employment background screening helps employees maintain a safe and positive work environment and reduces other forms of HR risk

Background screening is a chance to uncover potential dishonesty or misrepresentations from the interview process and to get a complete picture of a candidate.  

What a Background Check Means

When a company conducts a background check, it’s usually a pretty good indicator that the employer is seriously considering that applicant for the role, especially because employers typically front the cost for background checks.   

Of course, a background check doesn’t automatically mean a job offer will be extended to the candidate. That’s determined by the findings from the screening, including how a candidate stacks up against other qualified candidates. 

What’s Included in a Background Check 

While the best background check companies offer a wide array of screenings to thoroughly vet a candidate, most background checks include checking the individual’s education, employment history, references, credit history, and criminal record. 

Depending on the job, the company may also check the individual’s driving record and professional license, and conduct a drug test.

It’s important to note that background checks are governed by laws and regulations, and employers must comply with these laws and regulations when conducting them. For example, the Fair Credit Reporting Act (FCRA) requires employers to obtain the individual’s consent before conducting a background check and to provide them with a copy of the report if any adverse action is taken as a result of the report.

Ongoing Background Checks 

In addition to that initial pre-employment screening, some employers are now choosing to conduct background screening at a consistent cadence during an employee’s tenure. 

If a company conducts ongoing background screening post-hire on an employee, it’s usually not personal. It’s simply another way to bolster the organization’s long-term defenses. 

Continuous background screening—a new trend in HR and risk management—allows employers to monitor employee records in real-time so employers can flag internal threats, increase workplace safety, employ remote workers more confidently, and grow a positive brand perception through that diligence.

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