Posts Tagged ‘employee background check’

The Four Most Common Employee Problems and How to Solve these Issues

Wednesday, January 20th, 2010

There will always be problems in the workplace. From office politics to sexual harassment, from problems retaining staff to issues with in-house relationships, no office is perfect. We’ve listed the four most common employee-related problems, as cited by office professionals and managers, as well as the best employee background check tips to ensure these issues do not negatively impact your company.  

Under Qualified Staff  

One look at the ‘work experience’ and ‘education’ sections of a resume and you should be able to tell if an employee will be qualified for the position. However, this is actually not the case at all. Applicants will often beef up their resume in order to get the job and then fake their way through the interview. Unless you have specific tests in place to determine the skill levels of your applicants, there is a good possibility that your potential employee is not as qualified as his resume suggests. You then have to go through the hassle of training him in the basics that he should already know. This can be time consuming and frustrating for any company manager.  

One of the best ways to ensure that you are not caught by the false-resume trap is to perform a social security verification check. A social security verification check will list the detailed information of your applicant including his past jobs, according to his tax records. What this means is you can compare his ‘work experience’ to reality and determine if he is actually as qualified as he has documented.  

Personality Clashes in the Workplace 

There will always be personality clashes between people in the office. While these clashes are often played out humorously on television, they are not so funny in real life, especially when you are caught in the middle. These office politics often cause serious work production issues and you may find yourself mediating rather than actually getting anything done.  

The best way to deal with personality clashes in the workplace is by doing a thorough inspection of a potential employee during the interview process. Know the different personality
types that exist in the office and try to find someone who will fit into the mould. If you like to be in charge and prefer your workers to be passive rather than argumentative, look for someone who has a similar personality during the interview. Ask circumstantial questions to see how the applicants react to the situation. Although you will
never be able to eliminate all clashes in the office, performing a meticulous interview may help you decide who will fit best with your already-established staff.
 

Employee Theft  

It might be hard to believe but employee theft occurs in 30% of all businesses and is one of the reasons that many businesses fail. The Department of Justice reports that nearly one third of all employees will commit some degree of employee theft during their working careers. Employee theft can include petty crimes such as stealing chocolate bars from the back room or rummaging through the lost and found bins. However, even these small crimes add up. Common employee theft related crimes include stealing money from a cash register, voiding receipts to pocket the money and stealing stock and office equipment. However, there are some employee-related crimes, such as accounting schemes, embezzlement and insider trading that could end up costing your company hundreds of thousands of dollars.  

So how can you stop employee theft before it happens? Three words: criminal background checks. A criminal background check will allow you to see if your potential employee has any previous convictions. Look for white collar criminal convictions, shoplifting and other theft convictions. If the employee background check comes out clean, then you can feel a lot better about hiring him. However, keep in mind that just because an employee has a clean criminal record check does not necessarily mean he is 100% trustworthy. Invest in internal surveillance measures to keep track of what’s really happening behind closed doors.  

Employee Flakiness  

Are your employees constantly calling in sick, citing every excuse in the book? If so, you are not alone. While not all employees will make use of the numerous sick days offered, many employees will take these days off to their full advantage. Furthermore, many others will take advantage of worker’s compensation and other personal injury claims. Some illnesses cannot be prevented or predicted; however, many employees will call in sick on a Monday after a long weekend of hard partying, or take Friday off simply because
they feel like it. These cases of employee flakiness will end up costing you more money and effort than its worth, especially if it means replacing the employee with someone else. You might find yourself spending more
time on the phone trying to find replacement staff than actually managing your business.
 

The best way to determine the flakiness of your potential employee is to ask for a number of references, especially from past employers. If your applicant does not submit names
and numbers of recent employers, then a social security verification check can help out. All it takes is a simple phone call to find out how well the applicant performed at his past job. If the old employer admits that the employee took a lot of sick days and personal leave, then there is a good chance that he will do the same for you.
 

Sometimes the best way to avoid potential office problems is to do your research. Checking references, performing a thorough interview, obtaining a social security verification check and using the services of employee background checks will all help you eliminate office problems, boost company morale and improve your business’ production.

Is Employee Theft Ruining your Business? Three Ways to Uncover your Risk

Wednesday, January 20th, 2010

Employee theft and fraud committed by employees cost US companies approximately $20 billion in 2009. Furthermore, 30% of all businesses failed due to employee theft. All business owners believe that they have protected their company from any external criminal acts but what about those crimes that happen on the inside? Have you protected your business from the threat of employee theft? Below are three ways to know for sure.  

  1. Consider all Possibilities of Employee Theft.

 

Many companies do not realize how many different crimes constitute employee theft and how these petty offenses can actually add up. Consider the following ways in which an
employee can steal from your company (and what is this doing to your reputation and your business?)
 

Employee theft can include:  

  • Corporate crimes, including embezzlement, extortion, insider trading, racketeering, money laundering, bribery and blackmail. These are often referred to as white-collar
    crimes and, if the employee is caught, he/she faces felony convictions, hefty fines and time in prison. However, many white-collar crimes go undetected, especially in multi-million dollar corporations. Furthermore,
    even if the employee is caught, you may still lose out on hundreds of thousands of dollars in theft.

 

  • Petty theft crimes include stealing money directly from the cash register, stealing goods from the store or the back of the store and switching price tags on
    items. Many employees will take an extra $20 from the cash register every once in a while and, odds are, you, the owner, won’t even realize it. However, $20 dollars here, $50 dollars there, can all add up and
    negativity impact your business. It is important to be aware of every cent that comes in and goes out.

 

  • Fraud crimes include forging receipts in order to pocket the money, creating false accounts and pocketing the money, accounting scams, shipping and billing scams
    and voiding receipts to pocket the money. Fraud crimes are often hard to detect because they go on behind closed doors and often involve your most trusted employees.

 

  • Additional employee theft schemes include stealing office equipment, stealing gift cards, or pocketing ‘lost and found’ items. Sure, these crimes may seem
    petty in comparison to some of the other employee theft crimes discussed, but they can still negatively impact your company.

 

  • Insurance crime includes such things as claiming worker’s compensation for a false injury. This is something that occurs more often than most employers realize, especially in labor-intensive industries.

 

  1. Invest in Internal Security Measures

 

Many businesses will have video cameras, mirrors and even security guards set up throughout the store and in the parking lots. However, what about in the back? It might be
a good idea to install a security camera in the back room as well as in the front of the store just to be sure that everyone is behaving. Some larger companies will include an internal security department on
the payroll. These specialists are responsible for auditing and monitoring how employees are spending their time, and the company’s money. They will investigate any leaks in the system and ensure that all finances
are 100% accounted for.
 

Of course, the amount of internal security you invest in will depend on your financial budget, the risks involved and the size of your business. Companies with hundreds of employees
or financial institutes will most certainly benefit from internal surveillance while a small corner store may look into additional methods of monitoring employees. One of the best ways to avoid employee theft is to stop it
before it can happen. This brings us to the third point and where employment background checks come in handy.
 

  1. Know Who You Are Hiring

 

Once you are aware of the different employee theft crimes that may be going on behind closed doors, it is important that you uncover the truth about your employees or any potential
employees. 45% of all potential employees will have a criminal record, poor driving record, poor credit report or a worker’s compensation claim. What this means is you could be risking hiring the wrong person
without even realizing it.
 

Knowing your potential employee’s background through employment background checks is a great way to eliminate the chances of being a victim of employee theft. Red flags on an employee background check include any shoplifting or white collar crimes convictions
on the criminal background check, any unusual worker’s compensation claims on a credit report, or any problematic debts on a credit report. Although these factors will not necessarily predict that an employee
will cause problems and steal from your company, they do separate this employee from someone who has a clean employment background check and high credit rating.
 

There is no way to 100% guarantee that your business will not be caught up in an employee theft scheme at one point or another. The best ways to prevent employee theft before
it happens is to simply be informed, be aware and be prepared with the right knowledge, the right internal surveillance equipment and the right employment screening services.