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How to handle a candidate's failed background check
With background checks being an essential part of the hiring process for many employers, it’s important to ensure these checks are thorough and relevant to the industry and role in question. Conducting pre-employment background checks helps employers make informed hiring decisions, maintain a safe work environment, and comply with legal requirements.
While most background checks return clear results, there may be instances of adverse information. Below, we have outlined the steps to handle such situations, discuss common reasons for failed checks, and provide guidelines to support informed hiring decisions.
What is a ‘failed’ background check?
A ’failed’ background check means the screening process has uncovered some concerns that do not meet with the industry or job role requirements. However, a failed background check does not always mean that the applicant is automatically disqualified. It requires the checks to be reviewed carefully, against the job role, the employers background checking policy, and hiring procedures. This ensures that the decision is informed and fair, considering the specific context and nature of the concerns.
Reasons a candidate could fail a background check:
Failing a background check could be due to a variety of reasons, such as discrepancies in a criminal record check, DVLA check, employment and education histories. It is important to note that while some discrepancies might arise, they may not necessarily impact the candidate’s suitability for the role. Therefore, a thorough review of the results will support in making an informed hiring decision for the company, ensuring that the discrepancies do not unjustly affect the candidate’s opportunity.
What to do when a candidate fails a background check:
You may be wondering what actions you should take depending on the results of the background checks, whether the results should influence the job offer you were planning on making, or simply, how you should deal with this situation whilst remaining complaint.
With many companies facing this predicament during the hiring process, this is far more common than you may think, and whilst it can feel somewhat uncomfortable and complex to deal with, there are some steps you can take to ensure that this issue is dealt with sensitively and within your company’s screening policy. Read our points below to see how you should best deal with inaccuracies returned within the pre-employment background checks.
Refer to your background checking policy:
Most companies have a background checking policy which they can refer to in order to guide hiring decisions and ensure that candidates are treated fairly and consistently throughout the process. You can refer to our blog outlining the 10 key elements of a background checking policy if you would like to find out the importance of a comprehensive background checking policy. This resource is especially valuable for understanding how to handle situations where background check results may vary, ensuring that your processes remain compliant and consistent.
Send a pre-adverse action notice:
If you receive the results from the background checks and are not satisfied with the returned information, you will need to inform the candidate with a pre-adverse action notice, which should contain an explanation of the adverse information you have discovered, along with a copy of the background check and the candidate’s rights.
Opportunity for the candidate’s response:
The candidate must be given time to dispute the decision made, based on the information the employer has received during the background checks. Timings may vary depending on legal requirements and company policy; however, it is fair to allow the candidate to respond within a timely manner, as long as this has been clearly outlined to them within communications.
Make your hiring decision:
Once the candidate has responded, as the company, you will need to make a final hiring decision based on the information you have gathered on the candidate. Taking into account the points mentioned above and following these guidelines, including whether the discovery of adverse information received in the background check relates to the role in question.
Send final adverse action notice:
Once the designated period has lapsed since the pre-adverse action notice, and after considering any response form the candidate, if you have decided not to proceed with hiring the candidate, you will need to send a final adverse action notice. In this notice, you will need to explain the findings of the background checks and reasons for not proceeding.
With background checks being a lengthy and complex process, particularly when results come back with information you did not anticipate receiving, the guidelines above have been created to enable you to deal with failed background checks effectively and efficiently.
Using a reputable online platform for background checks minimises compliance risks, ensuring safter hiring decisions for your company.
If you would like to find out more about VettingGateway's software solution, and how we can support with ensuring your background checks remain compliant, you can book a demo with a team member below.
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