Some employers make the mistake of exempting applicants for higher-level positions and not screening executives. They may feel these individuals are high-profile and experienced enough to deserve inherent trust; however, these workers have the potential to do the highest amount of damage in areas like white collar crime and brand reputation.
Not properly vetting and screening executives and other high level staffers such as members of upper management team could hurt the company in the following four ways:
- Financial Loss
The more power a worker has, the higher their potential for impact on the company’s finances. While a rank and file employee could steal from the company, executives and upper management often have far greater access to the company’s resources and sensitive data, making the potential for theft and financial loss much greater.
- Revealing Trade Secrets
Screening executives and managers is critical because they also tend to have the most access to sensitive company information, and by extension the highest potential to commit fraud on a large scale. Higher-level staff members can also fall victim to bribery or have other motivations for sharing trade secrets with competitors. While having them sign a non-disclosure agreement and other privacy measures can help, a criminal background check and other employment screening checks can yield insights into their track record and character.
- Negative Press for the Company
Executives and upper management tend to be higher-profile workers. As such, if they become involved in dishonest dealings, corporate scandals or a personal scandal, this will generate negative press for the company. This in turn can result in untold damage to the brand. Screening executives by checking their background and past history and including a professional reference verification can help employers to determine if a potential hire will be a risk in this regard.
Not screening an executive or other high-level employee who goes on to damage the company can also result in negligent hiring claims and other litigation. Put simply, the stakes are higher with these individuals, and while they can do the most good for an organization, they also have the potential to do the most damage.
While some businesses seem to give a pass to screening executives and upper management when it comes to employment background checks, pre-employment background checks are probably most crucial for these individuals. Companies can protect themselves in the four areas discussed here by ensuring that applicants at all levels are professionally screened, including screening executives.
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.