Managing Risks with Post-Hire Background Checks

While pre-employment background checks are a critical step in the hiring process, they only capture a candidate's history up to that point. Over time, an employee's circumstances may change, potentially introducing new risks to the organization. Post-hire background checks help mitigate these risks by ensuring that employees continue to meet the company's standards for safety, security, and reliability.

Protect your organization from potential liabilities and enhance workplace safety with post-hire background checks.

How Long Is a Background Check Valid?

Since pre-employment background checks are essentially a snapshot in time, it's important to remember that life circumstances and behaviors can change. Generally, background checks can be trusted for 2 to 5 years, but certain circumstances may necessitate more frequent re-screening.

HR professionals should consider specific triggers for re-screening, such as changes in job performance, involvement in workplace accidents, or shifts in job responsibilities that require higher security levels. Regularly updating background checks ensures that the organization remains aware of any potential risks posed by current employees.

Key Components of a Post-Hire Background Check Policy

Creating a comprehensive post-hire background check policy can help maintain compliance and protect the organization. Key components of such a policy should include:

• Explanation of the purpose of the screening policy.

• A specification that a third-party consumer reporting agency will conduct the screenings.

• Legal obligations to protect consumer rights under the FCRA and remain compliant with the ADA.

• Requirement for obtaining consent and authorization before screening.

• Procedures for pre-adverse and adverse actions.

• Guidance from the EEOC to ensure fair chance hiring and protect against discrimination.

• Clear record-keeping policies, ensuring that personal records are accessed only by authorized HR or management personnel.

A distinct post-hire policy may also include a termination clause for situations where re-screening reveals issues that affect employment. This policy should be communicated clearly to all employees to ensure transparency and compliance.

Industries That Benefit from Post-Hire Background Checks

Certain industries are particularly susceptible to risks that can be mitigated through post-hire background checks. For example, healthcare, finance, education, and childcare industries often deal with vulnerable populations or sensitive information, making regular re-screening essential.

In the education sector, for instance, a teacher who passed a pre-employment background check may later engage in activities that pose risks to students. Similarly, in finance, employees handling large sums of money or sensitive financial data should be regularly screened to prevent fraud. Industries with regulatory requirements or high potential for liability benefit significantly from implementing post-hire background checks.

Obtaining Consent for Post-Hire Background Checks

Obtaining employee consent for post-hire background checks is a critical component of compliance. Employers must follow the same procedures as for pre-employment checks, which include obtaining written consent and adhering to the Fair Credit Reporting Act (FCRA) guidelines.

A rolling background check policy can be implemented, informing employees that periodic screenings will occur. Consent obtained during the hiring process should clearly state that it covers ongoing checks. However, if new or different types of checks are introduced, employees should be notified, and new consent forms should be obtained.

Additionally, HR must have policies in place for conducting background checks in response to workplace incidents, performance issues, or promotions. Ensuring that employees are aware of these policies helps maintain transparency and compliance.

Negligent hiring claims can be costly for organizations if an employee causes harm or engages in criminal activities. By instituting periodic post-hire background checks, companies can proactively manage these risks, protect their workforce, and maintain a safe and productive work environment.