Safeguarding Your Business with Better Hiring Practices

March 2016 | Article

Hiring new employees can be a long and grueling process. However, there are steps that can be taken to make this process easier and more effective. Background checks allow businesses to make more confident hiring decisions and avoid fraudulent candidates or negligent hiring. Placement services make the hiring process easier as well, as many businesses have positions to fill but do not have the time or skills necessary to focus on recruiting, reviewing resumes, scheduling and conducting interviews. In addition, hotline reporting is a growing opportunity with the establishment of the Sarbanes-Oxley Act, which requires publicly traded companies to provide a confidential way for employees to report fraudulent and wrongful behavior. A deeper look into these three Human Resources topics can provide insight on the many issues that may arise during the process of hiring.

Background Checks
Background checks should be completed on new hires to avoid negligent hiring, which is a legal doctrine that states employers are responsible for the destructive actions of employees when due diligence—such as conducting background checks—would have revealed the employees’ propensity to commit such actions. Background checks also verify information presented on resumes, and assure that the candidate is qualified for the position. CRAs obtain criminal information through means such as database searches and court researchers. When conducting employee background checks, it is important to keep in mind the Fair Credit Reporting Act (FCRA), which is a United States federal law originally passed in 1970 that regulates the collection, dissemination and use of consumer information, including consumer credit information.

Placement Services
Placement services are useful for many different types of businesses, including small businesses who lack the resources such as an HR department, any business that needs to run a blind ad, or any business that simply does not have the time to spend on the details of the hiring process.  The placement process typically includes meeting with management, searching for qualified candidates, refining the search, screening candidates, and finally, recommending candidates.

A Fraud Hotline
Utilizing a fraud hotline can be beneficial in many ways. Not only can fraud hotlines prevent fraudulent and illegal behavior, but they can also detect issues before they become serious, reduce losses that could hurt the company, and promote a healthy work environment. The anonymity of fraud hotlines is vital both for employers, who can receive important anonymous tips from their employees, and for employees, who can report wrongful behavior anonymously without fear of retaliation.

Background checks, placement and hotline services are a just few of the resources available to make the hiring process and employee management run smoothly.

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