Depending on your state and what type of business you are in, employee background checks may or may not be mandated by law. In businesses that deal with children or seniors, Federal law requires background checks on all employees and/or volunteers. The reasons should be obvious: the Federal government wants to ensure that those served are safe from hard and employers need to safeguard themselves against negligent lawsuits.
If an employee will be doing any type of driving for the business, it is important to know their driving history. For insurance purposes, employers need to have up-to-date information regarding the candidate’s Motor Vehicle Records (MVR) report. This report details any moving violations or accidents. Information such as this can assist the employer in making a solid decision regarding the hiree. This type of information is usually available at the state level for a minimal fee.
Employers conduct employee background checks for a variety of reasons. With the rise of lawsuits for negligence, many employers are considering employee background checks a standard part of their Human Resource guidelines. A growing number of child and elder abuse cases, as well as child abduction cases, make it important for all employers hiring people to work with these groups to perform detailed background checks. Following the terrorist acts of September 11, 2001, many employers are now screening new hires with a scrutinizing eye. Concerns over potential terrorists obtaining positions within sensitive agencies have increased the popularity of employee background investigations.
Employers also want to be sure that the information given by the applicant is true and accurate. With many employers reporting up to 30% of applicants falsifying information, background checks can screen for those who lie on resumes. Employers often interpret this as a lack of good morals and character on the part of the applicant. It is direly important for prospective employees to be up-front and honest about their backgrounds, work experience and education.