Why Should You Do Background Screening?
The average business loses $9 per day, per employee due to employee theft. $50 billion is lost annually.
US Department of Justice

Up to 50% of all resumes and applications contain fabrications.

Society for Human Resource Management (SHRM)

One in six violent crimes occurs in the workplace.
US Department of Justice

It is estimated that 30% of the nation’s employees are hard-core pilferers and 80% will become involved in employee theft when no active security measures are taken.
US Department of Justice

The average jury award for civil suits on behalf of the injured is $3 million.
Workplace Violence Research Institute

Substance abusers are absent three times more often and use up to sixteen times as many health care benefits as non-substance abusers. They are also six times more likely to file a workers’ compensation claim.
US Department of Health and Human Services
Benefits of Background Screening
• Know the background of each applicant
Protect against lawsuits
• Avoid workplace violence
Reduce turnover
• Expedite hiring process
• Prevent loss and improve profit margins

What You Should Know About
Due Diligence.
There is increasing obligation for employers to make informed hiring decisions, known as “Due Diligence,” to avoid legal threats.

RESPONDENT SUPERIOR

Employers are responsible for the acts of their employees when tasks are performed on behalf of the employer and in the employer’s general interest.

NEGLIGENT HIRING

The failure of an employer to exercise reasonable care in selecting an applicant in light of the risk created by the position to be filled.

NEGLIGENT REFERRAL

Not supplying sufficient information to a prospective employer can provide the foundation for a “negligent referral” lawsuit.

NEGLIGENT RETENTION

Retaining an employee after the employer became aware of the employee's unsuitability, thereby failing to act on that knowledge.

NEGLIGENT SUPERVISION

Failing to provide the necessary monitoring to ensure that employees perform their duties properly.

EMPLOYMENT VERIFICATION CHALLENGES

Past employers disclose only the most basic employment information due to legal liability. Problem applicants are very aware of the system and are the most likely to falsify information and omit past employers. Within the current system, there is little ability to detect past employers who have been omitted from the employment application.

Those seeking information from a past employer run into various time-consuming obstacles such as unavailability of correct personnel, completion of release forms, restricted hours to obtain information and slow response efforts by the provider. “Informal” sharing of information and networking can create greater legal exposure, and may not satisfy increasing due diligence obligations because of lack of documentation.

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