Your New Hire Failed a Background Check. Now What?

Posted on 12/08 by Erin Helms

As you wrap up the lengthy process of sorting through resumes, making calls, and setting up interviews, you might feel great about a particular candidate. The interview was flawless; you sense they might be the perfect candidate. You have hit the jackpot with this hire. However, what if the great hire fails the background check? Do you retract the offer? What do you do? Before answering this question, let us glance at a few considerations.

Get Confirmation

Before you give up in frustration and go back to looking at candidates, check to verify if the records belong to your candidate. Inaccurate data entry and database inconsistencies are common and can easily happen during an application process. Perhaps someone mistyped something, or the database records are outdated or incomplete. Ensure that the screening company performs a quality inspection for accuracy.

Check Your Policy

The background check policy ensures consistent hiring practices. Use the policy to guide screening when hiring for positions within your organization. Review the decision matrix and the background check policy to determine if the negative item is within the hiring criteria.

Pre-Adverse Action Notice

Before you decide to retract a job offer, the candidate must receive the opportunity to explain or dispute the correctness of the background check. The Fair Credit Reporting Act specifies that candidates must receive a notification with a Pre-Adverse Action notice. The notice informs the individual of the possibility of rescinding the job offer due to the information found in the background report. Please provide a copy of the background report to the candidate. Also, inform them of their rights under the FCRA, and give them a reasonable period to dispute the results.

Decision

Upon delivery of the Pre-Adverse Action notice, you must allow a reasonable amount of time for the candidate to review their background check results. If the new candidate can explain or dispute the results and their record is updated and removed, they can move forward in the hiring process. However, if the candidate cannot explain the report or chooses not to dispute the results, your next move is to send an Adverse Action notice.

Job Offer Retraction

Please understand that you can only take adverse action after following the required pre-adverse action process highlighted above. An adverse action notice must be in writing and state that you are retracting the job offer due to failing the background check and the results not being disputed. Provide the candidate with a copy of the report and the name of the background check company. Let LaborMAX reduce overtime expenses, increase productivity, and add flexibility to your workforce. LaborMAX can be your partner in managing the hassle of background checks and screening candidates.

Tagged: #FailedBackgroundCheck #HowToHire #WarehouseStaffing