Benefits to Background Checks
- Discourages applicants with something to hide.
- Uncovers falsified credentials.
- Eliminates uncertainties in the hiring process.
- Demonstrates Due Diligence.
- Encourages good applicants to be honest and truthful.
- Saves money and time spent in recruiting, hiring, and training.
- Can help protect against negligent hiring lawsuits.
- Reduce chance of injury to employees
- Reduce employee theft.
- Reduces turnover.
- Reduces workplace violence.
- Reduces insurance premiums.
- Increases productivity and employee morale.
Pre-screening is cost effective, with the cost of hiring a new employee averaging over $3000.00 , less than 3% can be attributed to the amount of a standard background check. A bad hire can mean an estimated loss to companies of approximately $40,000.00 in severance pay, training, wasted human resources time, loss of productivity, and impact on employee morale. The expense of a bad hire far outweighs the cost of a background check.