Employees are the lifeblood of business. Without talented, competent, trustworthy staff, day to day operations lack efficiency and companies cannot grow and thrive. Productive employment screening is a crucial component of finding and hiring the very best personnel in every area. There are pitfalls if thorough, productive employment screening isn’t used.
The following are eight of the most significant ways that not having a productive employment screening program and not screening applicants can cost businesses:
1. Lost Productivity
References and background checks offer insights into the character, habits and work ethic of potential new hires. Not screening in key areas can result in hiring someone that lacks focus and motivation. This can reduce business productivity and results.
2. Reduced Worker Morale
A bad hire can have ripple effects throughout the organization, dragging down morale. Conversely, productive employment screening and good hiring decisions can have a positive effect, helping to elevate productivity and bring out the best in everyone on staff.
3. Unsafe Work Environment
In addition to reducing morale, a negligent hire who isn’t properly screened can actually make the workplace a more dangerous place. Productive employment screening that includes a criminal history can determine if a candidate has a history of violence in the workplace so that companies can avoid hiring these individuals.
4. Unqualified Workers
Without productive employment screening, work history, education and potential criminal history cannot be verified. Taking the time to vet each applicant allows you to hire workers with the right skills, training and work experience to succeed and thrive on the job. Surveys have shown that as much as 56 percent of applicants admit to lying or bending the truth on their resumes, so checking the information listed should not be optional.
5. Financial Losses
Productive employment screening is especially important in roles that require handling finances and sensitive data. A credit check can yield insights into how a candidate handles their finances. A poor credit score and delinquent accounts would indicate they are likely not ideal or trustworthy for these areas of your business.
6. Theft, Fraud and Risks to Intellectual Property
A candidate who demonstrates a pattern of negligence, poor decision-making or has a criminal background could pose a risk in numerous areas. In addition to theft of supplies, business data could be compromised or stolen, resulting in untold damage to the company’s value and future prospects. Employee identities could also be stolen and used fraudulently or even sold to others.
7. Negligent Hiring Litigation
Poor hiring decisions can impact productivity, staff morale and even reduce safety. However, in addition to all of these areas and the associated financial impact, negligent hiring can also result in costly lawsuits from both staff and clients. This should be a strong motivation to screen new hires thoroughly at the outset.
8. Damage to Brand and Reputation
Lastly, a bad hiring decision can ultimately hurt the company brand and public perception. It is hard to quantify and put a price on this type of damage. Better to avoid the risk by performing productive employment screening at the outset so that poor hiring decisions can be avoided.
With so many potential risks, productive employment screening really isn’t optional. Productive employment screening can make all the difference to a company’s present and future.
Disclaimer Statement: All information presented is for information purposes only and is not intended to provide professional or legal advice regarding actions to take in any situation.