Background Checking—The Use of Credit Background Checks in Hiring Decisions
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Slightly more than one-half (53%) of organizations do
not conduct credit background checks on any of their job candidates, an increase from 40% in 2010. The leading reasons organizations conduct credit checks on job candidates are to decrease/prevent theft and embezzlement (45%) and to reduce legal liability for negligent hiring (22%). Of the organizations that conduct credit background checks, 80% reported that they have hired a job candidate whose credit report contained information that reflected negatively on his or her financial situation. The three most important factors that influence the final decision to hire a particular candidate over another are previous work experience, a good fit with the job and the organization, and specific expertise needed for the job.
Download Survey Findings (PowerPoint)
Members may download one copy of our sample forms and templates for your personal use within your organization. Please note that all such forms and policies should be reviewed by your legal counsel for compliance with applicable law, and should be modified to suit your organization’s culture, industry, and practices. Neither members nor non-members may reproduce such samples in any other way (e.g., to republish in a book or use for a commercial purpose) without SHRM’s permission. To request permission for specific items, click on the “reuse permissions” button on the page where you find the item.
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