Background Checks Prevent Employee Fraud in Workplace According to Safe Hiring Expert at ACFE Conference

In an article from the Orlando Business Journal, ‘Pre-screening new employees prevents fraud in workplace,’ Attorney Lester Rosen, CEO of Employment Screening Resources (ESR), indicated there is a “statistical certainty” that a company that does not background check job applicants will hire an employee with an “unsuitable” criminal record or false credentials. Rosen made the comments while discussing employee fraud and how to prevent it in the workplace at the Association of Certified Fraud Examiners (ACFE) 23rd Annual Conference and Exhibition in Orlando, Florida. The article is available at: http://www.bizjournals.com/orlando/news/2012/06/22/pre-screening-new-employees-prevents.html.

“In this day in age, hiring is high-risk and you’re hiring strangers,” Rosen said during his presentation ‘Employment Background Checks: Stopping Employee Fraud at the Point of Entry’ on June 19, 2012 at the ACFE Conference and Exposition. “You’re always taking a leap of faith.”

In his one hour and twenty minute presentation, Rosen – the author of ‘The Safe Hiring Manual,’ a comprehensive guide to employment screening – explained how approximately “40 percent of resumes contain material lies or omissions about education, previous employment, and qualifications.” Rosen, a frequent speaker on background check issues, added that although some employers believe they can detect all a job applicant who is a liar, “they really only have a 50 percent chance at recognizing when someone lies,” according to the Orlando Business Journal article.

Rosen explained background checks should go beyond part-time and full-time employees due to “cases of vendors, contract employees, and temporary employees that have been hired with a criminal record, which could have been prevented with a background check.” Rosen also said “background checks have become more important now than ever” since, without them, all that employers would have is “a piece of paper” – a resume — and a “gut feeling” when selecting a job applicant. “The problem is that the embezzler comes off as your best employee,” added Rosen.

When discussing criminal records, Rosen said he uses the word “unsuitable” to describe a criminal record because – according to the Equal Employment Opportunity Commission (EEOC) guidance of the use of arrest and conviction records – an employer should not automatically deny employment due to a criminal record without looking to see if there is a “business necessity” because the criminal record is job related. “The new EEOC guidance is an important consideration,” said Rosen. “Otherwise, unrelated criminal records can effectively be a lifetime ban on employment.”

At a meeting on April 25, 2012, the EEOC – the agency that enforces federal laws prohibiting employment discrimination – voted 4 to 1 to update the Enforcement Guidance on the Consideration of Arrest and Conviction Records in Employment Decisions Under Title VII of the Civil Rights Act of 1964. The new EEOC guidance is available at: http://www.eeoc.gov/laws/guidance/arrest_conviction.cfm while information about the meeting is available at http://www.eeoc.gov/eeoc/meetings/4-25-12/index.cfm.

Rosen recently presented a complimentary webinar, ‘Practical Steps Employers Can Take to Comply with the New EEOC Criminal Guidance,’ to provide participants a pathway to EEOC compliance. A recorded version of the webinar is available at: https://www2.gotomeeting.com/register/781044434. (ESR CLIENTS: For a recording of the ESR ‘Client Only’ EEOC Guidance webinar on May 31, 2012, contact ESR Customer Service at 415.898.0044 or customerservice@esrcheck.com.)

For more information about background checks, visit Employment Screening Resources (ESR) – ‘The Background Check Authority’ and nationwide background check accredited by the National Association of Professional Background Screeners (NAPBS) – at http://www.esrcheck.com/, call 415.898.0044, or email customerservice@esrcheck.com.

Sources:
http://www.bizjournals.com/orlando/news/2012/06/22/pre-screening-new-employees-prevents.html 
http://www.esrcheck.com/Newsletter/ESR-Speaks/Employment-Background-Checks-Stopping-Employee-Fraud-at-the-Point-of-Entry-130/
http://www.eeoc.gov/laws/guidance/arrest_conviction.cfm
http://www.eeoc.gov/eeoc/meetings/4-25-12/index.cfm

About Employment Screening Resources (ESR):

Employment Screening Resources (ESR) – ‘The Background Check AuthoritySM’– provides accurate and actionable information, empowering employers to make informed safe hiring decisions for the benefit for our clients, their employees, and the public. ESR literally wrote the book on background screening with “The Safe Hiring Manual” by Founder and CEO Lester Rosen. ESR is accredited by The National Association of Professional Background Screeners (NAPBS), a distinction held by a small percentage of screening firms. By choosing an accredited screening firm like ESR, employers know they have selected an agency that meets the highest industry standards. For more information about Employment Screening Resources (ESR), visit http://www.esrcheck.com/, call 415.898.0044 or 888.999.4474 (Toll Free), or email customerservice@esrcheck.com.

About ESR News:

The Employment Screening Resources (ESR) News blog – ESR News – provides employment screening information for employers, recruiters, and jobseekers on a variety of topics including credit reports, criminal records, data privacy, discrimination, E-Verify, jobs reports, legal updates, negligent hiring, workplace violence, and use of search engines and social network sites for background checks. For more information about ESR News or to send comments or questions, please email ESR News Editor Thomas Ahearn at tahearn@esrcheck.com.