Five Questions Employers Should Answer in Their Background Screening Policy

Why This Story Matters:

Organizations conducting background checks on job candidates should have a background screening policy. This article will cover five questions employers should answer in their background screening policy. This topic was also covered in the ClearStar article “Incorporating Legal Compliance in Developing Background Screening Policies” published in August 2024.

PLEASE NOTE: The information listed below is only an example of potential questions and issues with a background screening policy. It is not by any means a definitive list. ClearStar does not provide or offer legal services or legal advice of any kind or nature. Any information contained in this blog or on the ClearStar website is for educational purposes only.

Why Should Employers Have A Background Screening Policy?

A background screening policy can help an organization conduct thorough employment background screenings that may reveal information on a job candidate’s job history, educational accomplishments, criminal record, driving record, professional licenses, and other potentially relevant information for Human Resources, hiring managers, and decision-makers.

Background screening policies should outline an organization’s procedure for conducting background checks on job candidates and any re-screening of employees. Typically, these policies are documented in writing and should be reviewed by legal counsel to ensure they comply with all relevant regulations for a particular job, industry, locality, state, and country.

Five Questions Employers Should Answer In A Background Screening Policy

A background screening policy should clearly state why an organization is conducting background screening on job applicants, the scope of these screenings, and the procedures to follow during the screenings. While many issues need to be addressed by a background screening policy, the policy should at least answer these five basic questions:

1. Why Is Background Screening Being Conducted? A background screening policy communicates why background checks of job candidates are conducted and documenting this process helps maintain fair hiring practices. The screening of candidates is done for several reasons including to meet industry standards, comply with government requirements, and verify experience and qualifications. 
2. What Is The Scope Of Background Screening? A background screening policy can offer a consistent scope for screenings that identifies which jobs require background checks, what types of checks job candidates need, and if the organization will conduct background screening on all candidates or only for selected positions. The answers may be different depending on the job.
3. What Is The Procedure For Background Screening? A background screening policy should create a standard operating procedure (SOP) for Human Resources and hiring managers to follow that includes all industry, local, state, and federal compliance requirements such as the Fair Credit Reporting Act (FCRA). The policy should also keep decision-makers updated on any changing laws and policies.
4. What If A Criminal Record Is Found During Background Screening? A background screening policy should avoid blanket statements automatically disqualifying job candidates with criminal records. The Equal Employment Opportunity Commission (EEOC) offers guidelines on considering criminal records that encourage employers to make an “individualized assessment” of candidates.
5. What Is The Process For Disposal Of Information Used During Background Screening? A background screening policy should provide for the secure disposal of sensitive information. The Federal Trade Commission (FTC) recommends that an organization should follow FTC guidelines for disposal when ready to dispose of personal identifying information (PII) used during background screening.

Organizations should consider seeking legal counsel to review their background screening policy before implementation to ensure relevant rules and regulations are accounted for and understood. Annual reviews should be considered. A third-party consumer reporting agency (CRA) can also provide practical guidance to help design comprehensive and compliant policies.

How Does ClearStar Help Employers With Background Screening?

ClearStar – a global consumer reporting agency (CRA) specializing in background checks, drug testing, and occupational health screening – can help employers in all industries choose from a variety of employment background screening solutions that will empower them to make informed hiring decisions. These background screening services from ClearStar include:

• Background, Drug, and Occupational Health Screening
• Criminal Record Searches at Federal, State, and County Levels
• Sex Offender Registry Searches
• Employment/Education Verifications
• Licenses and Credentialing
• Personal Reference Checks
• Motor Vehicle Record (MVR) Searches
• Social Media Screening
• Civil Record Searches
• Employment Credit Reports 
• Employee Monitoring
• Contractor Screening
• Tenant Screening
• Global Searches in 230+ Countries

ClearStar’s numerous certifications help ensure the privacy, security, and confidentiality of all consumer data used during the background screening process. Thousands of employers in industries all over the world trust ClearStar to manage the background screening of their workforces. To learn more about background screening, contact ClearStar.

© 2024 ClearStar. All rights reserved. – Making copies of or using any part of the ClearStar website for any purpose is prohibited unless written authorization is first obtained from ClearStar. ClearStar does not provide or offer legal services or legal advice of any kind or nature. Any information on this website is for educational purposes only.

Thomas Ahearn - Digital Content Editor

Thomas Ahearn is a Digital Content Editor at ClearStar, a leading Human Resources technology company specializing in background checks, drug testing, and occupational health screening. He writes about a variety of topics in the background screening industry including Artificial Intelligence (AI), "Ban the Box," class action lawsuits, credit reports, criminal records, drug testing, Equal Employment Opportunity Commission (EEOC), Fair Credit Reporting Act (FCRA), identity theft, privacy, social media screening, and workplace violence.

At ClearStar, we are committed to your success. An important part of your employment screening program involves compliance with various laws and regulations, which is why we are providing information regarding screening requirements in certain countries, region, etc. While we are happy to provide you with this information, it is your responsibility to comply with applicable laws and to understand how such information pertains to your employment screening program. The foregoing information is not offered as legal advice but is instead offered for informational purposes. ClearStar is not a law firm and does not offer legal advice and this communication does not form an attorney client relationship. The foregoing information is therefore not intended as a substitute for the legal advice of a lawyer knowledgeable of the user’s individual circumstances or to provide legal advice. ClearStar makes no assurances regarding the accuracy, completeness, or utility of the information contained in this publication. Legislative, regulatory and case law developments regularly impact on general research and this area is evolving rapidly. ClearStar expressly disclaim any warranties or responsibility or damages associated with or arising out of the information provided herein.