Why Background Checks are More than Just an Added Cost – Moving Towards Building Trust in the Trust Economy

Written By ESR News Blog Editor Thomas Ahearn

Attorney Lester Rosen, founder and Chief Executive Officer (CEO) of leading global background check firm Employment Screening Resources® (ESR) and the author of “The Safe Hiring Manual,” will host a webinar titled “Why Background Checks are More than Just an Added Cost – Moving Towards Building Trust in the Trust Economy” on Friday, May 15, 2020, from 12:00 p.m. to 12:45 p.m. Pacific Time.

The webinar is part of the Marketplace Risk Masters Program that is a completely virtual education, networking, and information sharing platform offered online and through a mobile app for entire teams to become experts in risk management, trust, safety, and legal strategy. Registration provides access to all content through April 30, 2021, and is free for the first 500 registrants. To register, visit www.marketplacerisk.com/register.

Background checks are essential to building trust in the “trust economy.” However, the term background check is nearly meaningless since it can encompass such a wide range of activities. The webinar will explore why some background checks may be nearly worthless, and why the trust economy marketplace may want to consider national standards to regulate what is covered and how performed. Learning objectives include:

  • Helping firms in the trust economy space learn how to leverage background checks to inspire consumer trust and confidence in order to grow their business.
  • Requiring disruptive thinking about the role of background checks in the trust economy.
  • Overcoming the inherent structural barriers to do those things that will increase trust in the long run despite the fact they may create friction, delay, and expense in the short run.

In his article titled “Why Consumers Cannot Trust the Trust Economy – The Inherent Conflict of Interest between Gig Economy Firms and their Customers and How to Fix It,” Rosen explained that the basic problem for the trust economy – which is also called the “sharing economy” or “gig economy” – where applications or “apps” are used to facilitate on-demand services from relative strangers, is trust.

“As the trust economy grows, stories of consumers being harmed by criminal acts of providers can be expected to increase as well. Given the negative fallout from such publicity to any firm in the trust marketplace space, it would seem that an effort to create some standardized and generally accepted background screening protocols would be of great benefit to both providers and consumers,” Rosen wrote in the article.

“The obvious solution is for firms in the trust economy to formulate a nationally accepted standardized approach to due diligence and background checks. The keywords are ‘nationally accepted.’ Merely creating self-serving industry standards that benefit the gig marketplace will not go nearly far enough to assure consumers, the government, or plaintiff’s lawyers that the sector is truly regulating itself,” he concluded.

Rosen founded Employment Screening Resources® (ESR), a leading global background check firm, in 1997 in the San Francisco, California area. He is a frequent presenter nationwide on pre-employment screening issues and his speaking appearances have included numerous national conferences and webinars. He has also qualified and testified in court cases as an expert witness.

Rosen was the chairperson of the steering committee that founded the Professional Background Screening Association (PBSA), a nonprofit organization representing the background screening industry formerly known as the National Association of Professional Background Screeners (NAPBS), and served as the first co-chairman in 2004. In 2019, Rosen was awarded the PBSA Lifetime Achievement Award.

Employment Screening Resources® (ESR) is a leading global provider of background checks that is accredited by the PBSA by proving compliance with the Background Screening Agency Accreditation Program (BSAAP), which is a widely recognized seal of approval for background screening organizations committed to achieving excellence. To learn more about ESR, visit www.esrcheck.com.

NOTE: Employment Screening Resources® (ESR) does not provide or offer legal services or legal advice of any kind or nature. Any information on this website is for educational purposes only.

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