Businesses spend a lot of money when they hire a new employee; it is even more so when the hire is for a higher management position, where it is indeed crucial to check the background, which can ascertain if the candidate is the right fit, with ample experience and good trustworthy work ethics.
To understand this better, hiring organizations spend time and money to train employees for optimal performance; therefore, a bad hire means that the company has to spent adequate resources to train them. If the newly employed hire is not reliable or cannot perform the essential duties, or lacks trustworthiness, it negatively impacts the business; studies have shown that a company can lose up to 5% of their revenues due to occupational fraud. While larger organizations can absorb this kind of loss, for smaller and medium-sized businesses it can spell doom, financially.
How does it work?
The popular misconception is that all employers can access relevant databases to access various files for a new employee, before confirming the hire. This is not true, as there are numerous databases and sources that must be accessed for third party screening in India and there is no single list that one can refer to in such cases.
A background verification process will encompass the educational certificates, work experiences, legal and police records if any; it may encompass various other parameters which is a usual practice for senior-level candidates. This verification process can take anything between three to ten days, depending on the level of seniority in the organization. However, the process may take longer, for very high-level candidates, after the interview process has been completed.
What are the types of information is accessible for verifications?
The main verifications will be for the following:
Public records – These can be procured in collaboration with law enforcement agencies, as they have access to various databases for relevant information.
Professional history – The hiring company will check and verify all the claims made on paper; this means that they will be checking with previous employers, for past performance in the organization, payroll, their integrity and conduct during their employment, and for numerous company, a narcotics test to check if there are any previous substance issues.
Academic records – The hiring company will want to verify academic qualifications to match the credential. Many candidates are dishonest about the academic qualification, with forged degrees, fake certificates, and so on. It is, therefore, imperative to check all the necessary degrees and certification, before offering the position to the right person.
Address verification – Address verification is not done by most small to medium-sized companies, but mostly by larger organizations. This is different however, for government employees, as address verification can be one of the most important factors for Government organizations and Public Sector Undertakings.
Small and medium-sized companies will often rely on the HR management to do the necessary verifications before offering the person a position; however, for larger companies, where the recruitment can be in bulk, this is harder to follow, and often a third-party organization will be hired for the extensive verification required by the hiring company.
There are a few established organizations that can assist companies with extensive verification and employee screening in India, amongst various other services. It is imperative to find reliable and trustworthy companies for the verification, as it handles a lot of sensitive personal data, which is not available to the public for obvious reasons.
Therefore, it is prudent to hire an organization for verification that ensures that privacy is of utmost importance, fast turn around time for the hiring company, while following the regulations as per the compliance, for honest and reliable results each time.