Posts Tagged ‘employee background checks’

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.

How to Avoid White Collar Crimes in your Business – Employment Background Services

Tuesday, December 22nd, 2009

White-collar crimes are crimes committed in the business environment. They usually involve an employee or a group of employees who are taking money from the company. Employee theft is one of the most common types of white-collar crimes but there are several other severe crimes that fall under this term, including the following:

  • Fraud
  • Identity theft
  • Embezzlement
  • Exhortation
  • Insider Trading
  • Racketeering
  • Larceny/Theft
  • Money Laundering
  • Bribery
  • Blackmail

Any business owner, regardless of the size of the business, should be aware that employee theft, white-collar crimes, fraud and other corporate crimes are constantly on the rise. Furthermore, business owners should be aware of the different methods involved in stopping white-collar criminal behavior in their business before it’s too late. This may include installing security measures, hiring additional security staff or completing employee background checks during the hiring process. These measures will help reduce your company’s chance of becoming just another statistic in a long line of white-collar crimes.

Statistics on Employee Theft and White Collar Crimes

The statistics surrounding corporate crimes are astonishing to say the least. Below are some of the facts and figures that make up the United States white-collar crime industry.

  • Nearly one third of all employees commit some degree of employee theft, according to the Department of Justice.
  • Employee theft costs businesses over $50 billion annually in losses, according to the US Chamber of Commerce.
  • Employee theft accounts for ten times the value of street crime losses annually in the USA.
  • The banking industry reports the highest loss due to employee theft and white-collar crimes with $1 billion annual losses.
  • Employee theft is increasing at a rate of 15% annually and, the FBI reports, is one of the fastest growing crimes in the USA.
  • Approximately 33% of all new businesses fail because of employee theft.
  • Approximately 2% of all business sales are lost because of employee theft.
  • The average organization loses more than $9 per day per employee due to fraud and other white-collar crimes, according to the Association of Certified Fraud Examiners.
  • The average organization loses about 6% of its total revenue due to employee fraud and other white-collar crimes, according to the Association of Certified Fraud Examiners.
  • The most costly abuses occur in organizations with less than 100 employees, according to the Association of Certified Fraud Examiners.
  • Each family will pay an additional $300 per year in order to subsidize business losses due to employee theft.
  • 75% of all employees steal from their employers at least once throughout their careers. In many instances, these are petty thefts, but, in other instances, these will be hefty corporate crimes.
  • Furthermore, at least half of these 75% will steal again from a different employer.

These statistics will make your jaw drop. But is there any way to prevent white-collar crimes and fraudulent behavior in the workforce?

Fighting Back Against White-Collar Crimes

One of the ways in which employers are fighting back against this criminal pandemic is by installing internal surveillance to monitor all employees. This can be an excellent way to cut down on employee theft and other white-collar crimes. Some larger corporations also have an internal security department that focuses only on employee surveillance. This may seem a little drastic but, when it comes to white-collar crimes, you can never be too careful.

Another way to reduce employee-related crimes is by doing an employee background check on all employees. Employment background checks services will range in specificity but can include the following:

  • Credit reports – allow you to see a potential employee’s credit history.
  • Social security verifications – allow you to see past employment history and to ensure that your employee is who he says he is.
  • Criminal background checks – allow you to see a potential employee’s criminal record. Criminal background checks include convictions and arrests for anything from DWI offences to drug crimes, and everything in between.
  • Driving Records – allow you to access a potential employee’s past driving record, which is always a smart move if your employee will have access to a company vehicle or if the position involves driving in any way.

Employment Background Screening

The reason why employment background checks are becoming more and more popular for business owners is because they provide a way to eliminate the risk of white-collar criminal activity before it happens. Employee background checks can be accessed through the Internet and performed in less than one minute. They can provide all business owners with an extra level of assurance that their employee does not come with a long line of previous white-collar criminal activities or fraudulent behavior.

In addition to employee background screening services, it is important that you always perform a stringent interview during the hiring process. This will help you assess the character of your potential employee and determine if he or she is a good fit with your company.

White-collar crimes may be on the rise but that does not mean that business owners should simply sit back and allow their companies to be corrupted. Employment background services provide you with a method of stopping insider corporate crimes before they happen. And this is the best protection of all.