In recent years, the recruitment landscape has seen a shift in the way pre-employment background checks are conducted. An intricate web of regulations – stemming from federal, state, and local lawmakers – has made the already complex process even more challenging for businesses.
But as the process grows more intricate, the importance of these checks has never been more clear.
Regulations: A Double-Edged Sword
It’s no secret that businesses today face a maze when it comes to background checks. At the federal level, two significant laws govern the landscape: The Civil Rights Act of 1964 and the Fair Credit Reporting Act (FCRA). The Civil Rights Act ensures that potential candidates are not discriminated against based on attributes like race, gender, and age. A practical illustration of this would be two similarly qualified candidates: if one is favored over the other due to a discriminatory reason, it is against the law.
The FCRA governs how credit information can be utilized in the hiring process. Specifically, credit reporting agencies (including background check companies) cannot release information that is inaccurate, such criminal conviction records. It also mandates employers obtain explicit consent from the candidate before obtaining such data and ensures the candidate has the right to review and contest any discrepancies found in their report.
Yet, the complexities don’t end at the national level. Add to that state and local regulations and things are more intricate and ever evolving. Different states have put their own imprint on what, how and when you can inquire about a candidate’s criminal history. A common restriction is a complete ban on language in job postings indicating that those with a criminal history should not apply. Known as “ban the box,” the laws imposed in dozens of states and municipalities also prohibit questions on job applications asking whether the applicant has a criminal history.
While some states and cities only prohibit employers from inquiring about criminal history prior to an interview, including New Jersey. Others, such as Delaware and California, go further and prohibit inquiries about criminal history until after a conditional offer of employment is made. Some cities add their own unique layers on top of state mandates.
While Pennsylvania’s “ban the box” law applies only to public service jobs in state departments under the governor’s authority, its largest city takes the ban further. Businesses in Philadelphia must wait until after a conditional offer of employment to inquire about criminal history, and they cannot consider convictions older than seven years – excluding any period of incarceration. Moreover, when a decision not to hire a candidate is based on a conviction or a pending conviction, it kicks in requirements for a job-related assessment and certain notices.
This patchwork of laws and regulations creates an environment where businesses have to be hyper-vigilant. A misstep at any stage can not only cost a potential hire, but can also lead to legal ramifications.
Underlying Importance of Background Checks
But while the road is riddled with regulatory hurdles, the destination justifies the journey. At its core, a background check seeks to answer a simple question: is the candidate being genuine about their credentials and history?
In an age where information is readily available and easily manipulated, businesses can’t afford to take things at face value. An embellished degree, a concealed criminal past, or even an exaggerated job title can have significant consequences for a company. There’s not only the financial cost of a bad hire but also potential damages to company morale, reputation, and in some cases, even legal liabilities.
Beyond just vetting the authenticity of a candidate’s claims, background checks also ensure that businesses maintain a safe working environment. Understanding a candidate’s history, especially any criminal past, is vital to ensure the safety and security of employees and company assets.
Moreover, pre-employment background checks are among tools that help companies effectively evaluate whether or not a job candidate will fit into their company culture as it helps to paint a comprehensive picture of an individual’s career journey and aspirations.
The Way Forward
Given the vital nature of background checks, businesses cannot afford to bypass them out of fear of the regulatory maze. Employers can navigate the nuances of pre-hiring screenings by regularly assessing their background check procedures for alignment with current regulations. It’s crucial to ensure that job postings, applications, and interview materials don’t inadvertently violate laws around what can and can’t be asked during the hiring process.
Secondly, businesses should consider partnerships with professional entities like First Contact HR. Such firms specialize in navigating the complexities of background checks, providing not only the tools but also the expertise and good judgment to ensure that businesses can confidently vet candidates while remaining within the bounds of the law.
The Final Word
The world of pre-employment background checks is certainly more challenging today than it was in years past. But its importance has only grown. With the right approach and partnerships, businesses can harness the power of thorough vetting and continue to make informed hiring decisions.
As certified human resources professionals and licensed private detectives, First Contact HR eliminates the risk of starting a new pre-employment screening program by helping businesses design a program that is legally compliant and consistent within their industry. We differentiate our services by customizing packages for each client, enabling them to stay compliant with all federal, state and local laws, while reducing the risk of bad hiring decisions.
First Contact’s background check services are fast – most reports are available in 24-48 hours – accurate and affordable. Competitive pricing packages are available to meet the particular needs of each company.
There’s a certain peace of mind that comes with knowing you’ve done your due diligence. When you’ve screened a potential employee comprehensively, it’s easier to make hiring decisions with confidence.
It’s a tough maze to navigate, but it’s crucial for making the right hiring decisions.