Current topic:
Employment Law:
Who can you trust when it comes to reference checks?
Since the 1980s there has been a tremendous jump in the filing and winning of negligent hiring lawsuits.
Negligent hiring is the legal concept where an
employer is legally liable for the acts of an employee who is dangerous to other people (including the general public) when
the employer should have known this information by researching that employee’s resume references and employment history through
background screening.
For example, one grocery store was sued for hiring an employee with a history of sexual violence; that employee went on
to attack a young girl in the workplace. The grocery store lost the case, and was required to pay in the millions. In fact,
the average award to plaintiffs in these lawsuits was $1.6 million in 2004. Needless to say, the employer should have
performed a background investigation with a
sexual offender registry search.
In the past, performing reference checks and job history searches
was a tricky part of background screening, since the employer doing the screening didn’t always get all the information from the
previous employers. This was because past employers limited personal references out of fear of rejected employees coming forward
and filing claims against them for defamation or negligent misrepresentation.
But the times, they are a-changin’.
Due to this increase in negligent hiring lawsuits, and the large amounts of money awarded to plaintiffs, most states now have
newer employment laws that protect employers who give in-depth references. In fact, now those employers who don’t give all
the information are liable themselves for the actions of these individuals!
Keep in mind, that defending companies lose 72% of negligent hiring lawsuits.
So, what do these shifts in employment law mean for employers hoping to maintain compliance? It means that it’s becoming easier
for the right background screening company to protect you. At EBI, the professionals assigned
to research all of your resume references know what questions to ask (and how to ask them) and will ask them all in order
to protect you, your company, and your employees. EBI searches all references, and examines each potential employee in a county,
state, federal, and even international level. The odds are stacked against you if you're subject to a lawsuit of this nature, so
let EBI stop them before they start.
Call EBI to discuss designing a background screening program to suit your company's needs. Our comprehensive screening programs can help ensure you're hiring qualified candidates and avoiding less desirable ones.
Criminal records searches. Random drug testing. Reference checks. Everything for a comprehensive picture of your prospective employees.
Call us at 800.324.7700 for details.
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