Demand and need for employee background checks and security checks are now increasing and the companies are contacting investigative companies in great numbers to run employee background checks on new job applicants and existing employees. Employee background checks are needed in USA for certain occupations such as jobs associated with children, law enforcement, defense contractors, and any Federal employment.
In traditional employee background check, only the applicant or employee is investigated for a security clearance. But now the employers are checking the criminal backgrounds of the applicants along with the background of the spouse and if the spouse of the applicant has a criminal background then the companies simply reject the candidate. Employers should not ask for applicants to provide copies of their criminal records, they can obtain this information from other sources such as private agencies or public records.
Many employers consider a person’s credit habits, a good judge of character. A credit background check is very often part of an employee background check and for this checking, the employers are required to get written consent under the Fair Credit Reporting Act from the applicant. There are two types of credit checks, one is standard credit bureau report, which is obtained from any one of the 3 credit bureaus, Equifax, Experion or Transunion. Other type is investigative consumer report, which is much more extensive and deals with the person’s character, mode of living, reputation, etc.
These security and background checks are performed by the employers because they feel that they have a responsibility for the welfare and safety of their employees, company reputation, and liability.