Employment Screening

OVERVIEW & BACKGROUND

Employment screening is an important risk management tool and a crucial component of the recruitment process. Employment Screening is the verification of personal information supplied by a candidate seeking employment with an organisation. It is also known as vetting, probity checking, employee due diligence, background checking, background verification and security checking. Screening of candidates can be undertaken prior to employment, promotions or transfers, as part of regulatory requirements, particularly with respect to directors and officers, and during due diligence and company restructures. The primary objective is to verify the information supplied by a candidate to assist clients in making an informed hiring decision.

DRIVERS OF EMPLOYMENT SCREENING

A number of drivers have emphasised the need for organisations to enhance their recruitment process by undertaking employment screening. As a result, legislative changes both in Australia and other countries have made screening mandatory or recommended for certain positions, such as working with children or Responsible Officer roles within the financial services sector. Ultimately, these legislative changes are aimed at ensuring potential and existing employees are competent in their duties and are of good character, whilst simultaneously reducing the risk to clients and the general public, from the damage that could be caused by unscrupulous individuals.

CASE EXAMPLE

In October 2006 the Queensland Crime and Misconduct Commission (CMC) presented a report entitled Actions and Reactions at the Prince Charles Hospital.  The report described how an applicant had been appointed to the position of Nursing Director at the Prince Charles Hospital and had claimed in her application that she had a Master of Public Administration (MPA) and provided a number of referees. As a result of an investigation conducted by the CMC it concluded that the appointee did not hold an MPA per her claims and that her first nominated referee was in fact her de facto partner.

BENEFITS OF EMPLOYMENT SCREENING

Provides organisations with a competitive edge by allowing them to identify the most appropriate candidate for the role in terms of their skills, experience and background.  Reduces the risk of damage to a firm's reputation and culture by hiring fraudulent, dishonest or undesirable candidates. A well-publicised employment screening policy deters dishonest individuals from applying for advertised positions or progressing through the pre-selection process.  It also limits the costs associated with terminating and replacing unsuitable employees by identifying and selecting candidates with the appropriate skills, experience and integrity for the role.