Hiring the wrong candidate can cost an employer one to five times the salary of an individual, according to a recent survey conducted by HireRight, Irvine, Calif. Although these unexpected costs have a significant impact on any employer, they hit small companies particularly hard. Small businesses may not have the financial cushion to absorb extra costs nor the depth in their staffing levels to pick up the slack for an unproductive worker or a vacant position. HireRight points out that in today’s constrained job market, candidates feel extra pressure to exaggerate and falsify credentials.
Be aware of the following lies on resumes and in employment interviews:
1. Exaggerating dates of past employment. As many as 34 percent of all resumes include discrepancies related to previous employment. Candidates often stretch the truth to cover gaps in their work history they may not want to explain.
2. Falsifying the degree or credential earned. Discrepancy rate in education qualifications provided by candidates is approximately 20 percent. Often, a resume will tout a degree when a candidate only took some classes or exaggerate a major so the candidate appears more qualified for the job. Other candidates forge diplomas, claim degrees earned by family members or purchase degrees from diploma mills. The latter can be very difficult to identify, but knowledgeable background checking firms compile detailed databases of known diploma mills so frauds can be identified.
3. Inflating salary or title. If a previous employer won’t verify salary earned, ask the candidate for previous W-2 forms as proof is a wise step.
4. Concealing a criminal record. The most serious reason companies must perform background checks is to maintain a safe workplace. Approximately 11 percent of all background checks return a criminal record. Criminals are most attracted to companies where they know they will not be checked, which makes smaller businesses a target. Criminal applicants often try to avoid detection through nondisclosure or by changing details, such as the spelling of their names or dates of birth.
5. Hiding a drug habit. Because 42 percent of Americans admit to using an illegal drug in their lifetime, screening candidates for drug use is a wise idea for small businesses. Drug users go to great lengths to beat these tests, such as adulterating urine samples, but today’s drug tests are increasingly sophisticated and can identify true positives and negatives despite the attempts of those trying to cover up drug use.
“Exasperating the problem for small business is that job candidates are more likely to lie to small businesses because they assume that the companies are less likely to perform background checks on their candidates as compared to larger enterprises,” says Eric Boden, chief executive officer of HireRight. “And although more and more small businesses are performing professional, enterprise-quality background screening today, job seekers still try to get away with it.”
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