Recently there has been increased press on the background screening industry. EEOC provided guidance, the Today show aired a segment and Saturday Night Live has provided comic relief.
The FTC regulates and insists on truth in advertising. In hiring, we must insist on truth in an applicant’s “advertising” on their job applications. Employers are entitled to know as much information as possible about a candidate when making an investment decision on a new hire.
The numbers are staggering. The Society for Human Resource Management (SHRM) published a study that found 53% of all job applications contain inaccurate information. The Wall Street Journal published an article finding 34% of all application forms contain outright lies about experience, education and ability to perform essential functions on the job.
Negligent hiring cases have had verdicts of up to $40 million while the average settlement of negligent hiring lawsuits is nearly $1 million. According to Fortune, employers lose 79% of negligent hiring cases.
The need to screen is clear, but not all screening companies are created equal.
Monday, November 26, 2012
ATS Integration
Are you ready to connect your Applicant Tracking System to your background screening company to avoid duplicating efforts and the need to access multiple systems? Read how Aurico’s WebACE™ technology platform improves efficiency by seamlessly connecting to your current ATS or HRIS system here.
FROM THE BLOOPER BOOK
Digging deeper and learning as much as possible about an applicant to help you hire the “A” players is our MO. But sometimes our team of interviewers receives TMI—Too Much Information—when talking to past employers and references. Here are excerpts from some of our favorite conversations.
Interviewer: “So what does he excel in?”
Response: “Um . . . I have to go. Our building is swaying. I think we are having an earthquake.”
Interviewer: “What are some of his strengths?”
Response: “His beautiful wife.”
Interviewer: “Are you aware of any weaknesses in his performance?”
Response: “No. He’s a strong, mighty man.”
Interviewer: “I’m trying to verify employment for someone who worked in 2007.”
Response: “That was almost 25 years ago! I’m going to have to call you back.”
Interviewer: “Do you hold the records for employment history?”
Response: “No, a room does.”
Interviewer: “Did he voluntarily resign?”
Response: “Yeah. He moved to Illinois because that (censored) fell in love.”
Interviewer: “So what does he excel in?”
Response: “Um . . . I have to go. Our building is swaying. I think we are having an earthquake.”
Interviewer: “What are some of his strengths?”
Response: “His beautiful wife.”
Interviewer: “Are you aware of any weaknesses in his performance?”
Response: “No. He’s a strong, mighty man.”
Interviewer: “I’m trying to verify employment for someone who worked in 2007.”
Response: “That was almost 25 years ago! I’m going to have to call you back.”
Interviewer: “Do you hold the records for employment history?”
Response: “No, a room does.”
Interviewer: “Did he voluntarily resign?”
Response: “Yeah. He moved to Illinois because that (censored) fell in love.”
Federal Trade Commission revises required forms to be used by January 1, 2013
The Federal Trade Commission (FTC) has revised the “FCRA Summary of Rights” document to incorporate amongst other things the new agency—Consumer Financial Protection Bureau (CFPB) that now has oversight over the Fair Credit Reporting Act. Before January 1, 2013, employers should use the new FCRA notice for their background check programs. The FCRA Summary of Rights form must be included: (1) as an enclosure with the first of the two “adverse action” notices—the “pre-adverse action” notice; and (2) with the disclosures for “investigative consumer reports” (i.e., consumer reports based on personal interviews conducted by a consumer reporting agency (CRA), such as in-depth reference checks).
In addition to the revised Summary of Rights document, the FTC has also changed the Notice to End-Users to incorporate similar changes reflected in the summary of rights notice.
Aurico will incorporate the new Summary of Rights form on behalf of our clients using our On-line Disclosure and Authorization (Send-Release) option.
You can find these forms on our website under the “Forms” tab when logged into the WebACE ™ dashboard. If you have any questions regarding these new forms, or would like to get set up for our On-Line Send-Release option, please contact Aurico and we will be happy to assist you
In addition to the revised Summary of Rights document, the FTC has also changed the Notice to End-Users to incorporate similar changes reflected in the summary of rights notice.
Aurico will incorporate the new Summary of Rights form on behalf of our clients using our On-line Disclosure and Authorization (Send-Release) option.
You can find these forms on our website under the “Forms” tab when logged into the WebACE ™ dashboard. If you have any questions regarding these new forms, or would like to get set up for our On-Line Send-Release option, please contact Aurico and we will be happy to assist you
Employers in Newark, New Jersey must comply with a new ordinance that prohibits pre-application criminal history inquiry and other items
Effective November 18, 2012, most employers that operate in Newark, New Jersey must comply with a new ordinance.
Covered “Employers”
The ordinance defines an “employer“ broadly as “any person, company, corporation, firm, labor organization, or association which has five (5) or more employees and does business, employs persons, or takes applications for employment within the City of Newark, including the City of Newark and any City department, agency, board or commission, or any employee or agent thereof.” The definition of the term “employment” also is expansive and extends to “any occupation, vocation, job, work or employment with or without pay, including temporary or seasonal work, contracted work, contingent work, and work through the services of a temporary or other employment agency, or any form of vocational or educational training with or without pay.” In one of the few qualifications spelled out in the text, the ordinance states that “the physical location of the prospective employment must be in whole or substantial part, within the City of Newark.”
Exemptions
The prohibitions in the ordinance do not apply “where any federal or state law or regulation requires the consideration of” criminal history information, but only as to the offenses or types of offenses that are embraced by the law or regulation. Also exempt are “any positions designated by the employer to participate in a federal, state or local government program or obligation that is designed to encourage the employment of those with criminal histories.”
Covered “Employers”
The ordinance defines an “employer“ broadly as “any person, company, corporation, firm, labor organization, or association which has five (5) or more employees and does business, employs persons, or takes applications for employment within the City of Newark, including the City of Newark and any City department, agency, board or commission, or any employee or agent thereof.” The definition of the term “employment” also is expansive and extends to “any occupation, vocation, job, work or employment with or without pay, including temporary or seasonal work, contracted work, contingent work, and work through the services of a temporary or other employment agency, or any form of vocational or educational training with or without pay.” In one of the few qualifications spelled out in the text, the ordinance states that “the physical location of the prospective employment must be in whole or substantial part, within the City of Newark.”
Exemptions
The prohibitions in the ordinance do not apply “where any federal or state law or regulation requires the consideration of” criminal history information, but only as to the offenses or types of offenses that are embraced by the law or regulation. Also exempt are “any positions designated by the employer to participate in a federal, state or local government program or obligation that is designed to encourage the employment of those with criminal histories.”
Substance Abuse: Workplace Safety
The U.S. Department of Labor's Occupational Safety and Health Administration (OSHA) reports that substance abuse by workers is a problem at U.S. workplaces.
According to OSHA, 12.9 million of the 17.2 million illegal drug users age 18 or older were employed either full or part time in 2005. In addition, the agency says between 10 and 20% of workers who die on the job tested positive for alcohol or other drugs.
Drug use by employees can have financial ramifications as well. The Office of National Drug Control Policy at the White House states that the economic cost of drug abuse in the U.S. was estimated at $193 billion in 2007, including $120 billion in lost productivity. Drug use by employees also resulted in $11 billion in healthcare costs in 2007. Some of these costs may be a result of workers with substance abuse problems who move from one job to another in a relatively short period of time, and full time workers with a drug or alcohol problem who are more prone to miss work due to illness or injury.
According to OSHA, 12.9 million of the 17.2 million illegal drug users age 18 or older were employed either full or part time in 2005. In addition, the agency says between 10 and 20% of workers who die on the job tested positive for alcohol or other drugs.
Drug use by employees can have financial ramifications as well. The Office of National Drug Control Policy at the White House states that the economic cost of drug abuse in the U.S. was estimated at $193 billion in 2007, including $120 billion in lost productivity. Drug use by employees also resulted in $11 billion in healthcare costs in 2007. Some of these costs may be a result of workers with substance abuse problems who move from one job to another in a relatively short period of time, and full time workers with a drug or alcohol problem who are more prone to miss work due to illness or injury.
ICE Releases Guidance on Evaluating Electronic I-9 Systems
The U.S. Immigration and Customs Enforcement (ICE) has released the first-ever official guidance document for evaluating electronically generated and stored I-9 records during an audit. The document provides guidance to Homeland Security Investigations (HSI) special agents and auditors on what information they should collect from employers using electronic I-9 systems as well as the minimum electronic audit trail requirements for use in determining I-9 related fines.
The regulations require that whenever an electronic I-9 is created, completed, updated, modified, altered or corrected, an electronic I-9 system must create a secure and permanent record that establishes the date accessed, who accessed it, and what action was taken.
Employers storing electronic I-9s are also required to maintain an “indexing system” and to “reproduce legible and readable hardcopies” of the electronically completed and retained I-9 forms. Employers are well advised to partner with a vendor that takes the most conservative approach to audit trails (and the regulations) in designing their software.
To read more, click here
The regulations require that whenever an electronic I-9 is created, completed, updated, modified, altered or corrected, an electronic I-9 system must create a secure and permanent record that establishes the date accessed, who accessed it, and what action was taken.
Employers storing electronic I-9s are also required to maintain an “indexing system” and to “reproduce legible and readable hardcopies” of the electronically completed and retained I-9 forms. Employers are well advised to partner with a vendor that takes the most conservative approach to audit trails (and the regulations) in designing their software.
To read more, click here
USCIS Launches Spanish-language I-9 Central on USCIS.gov
U.S. Citizenship and Immigration Services (USCIS) has launched a Spanish-language version of I-9 Central, an online resource center designed to provide information and assistance related to the most frequently accessed form on USCIS.gov: Form I-9, Employee Eligibility Verification.
This free, easy-to-use website provides employers and employees simple one-click access to resources, tips and guidance to properly complete Form I-9 and better understand the Form I-9 process.
The launch of the Spanish I-9 Central is the most recent in a series of resource guides related to USCIS employment-related forms and processes. These resources include E-Verify Self Check, a service that allows workers and job seekers in the United States to check their own employment eligibility status online, and an updated “Handbook for Employers: Instructions for Completing Form
I-9 (M-274).” Both are also offered in Spanish.
To read more, click here.
This free, easy-to-use website provides employers and employees simple one-click access to resources, tips and guidance to properly complete Form I-9 and better understand the Form I-9 process.
The launch of the Spanish I-9 Central is the most recent in a series of resource guides related to USCIS employment-related forms and processes. These resources include E-Verify Self Check, a service that allows workers and job seekers in the United States to check their own employment eligibility status online, and an updated “Handbook for Employers: Instructions for Completing Form
I-9 (M-274).” Both are also offered in Spanish.
To read more, click here.
UPCOMING WEBINAR
Gain new insight into the new EEOC Guidance and learn how to apply it from Pamela Devata, partner at Seyfarth Shaw LLP. Register for our upcoming Webinar, EEOC Guidance Updates & How to Take Action, on November 29 @1:00-2:00pm CST.
Wednesday, November 21, 2012
Aurico Ranks as one of the Nation’s Top Background Screening Providers
In the November issue of HRO Today, Aurico ranks as one of the nation’s top background screening providers. Aurico ranks sixth overall in the 2012 Baker’s Dozen Customer Satisfaction Ratings.
We are honored and appreciative of this recognition and humbled to know it is based solely on independent feedback from our clients.
One of our raving fans includes Jana, Director of Talent Acquisition, who states, “I love Aurico and everything about them. I absolutely enjoy the quality and speed of service I’m provided. Their customer service is definitely the best I’ve ever encountered. They really are a world-class organization.”
Aurico’s unique mix of technology and human interaction has enabled clients to achieve their automation goals while maintaining a dedicated support team.
We want to thank our employees for their day-in and day-out commitment to screening excellence! And, thank you to our clients for recognizing Aurico as one of the best!
Subscribe to:
Posts (Atom)