Background Checks

Last year I wrote a column on guidelines for hiring employees, and I've been receiving questions on that subject ever since. (If you missed that column, go to www.skinandallergynews.com

Many questions concern checking potential employees' references. One industry publication estimates that 40% of resumes contain false or “tweaked” information; my opinion, based on more than 25 years of hiring, is that estimate is wildly optimistic. After all, many applicants are convinced padding is necessary to get the job they want. As a young performing arts student once told me in my office, “Show me an actor who hasn't padded his resume, and I'll show you a waiter.”

Given that so many resumes are less than completely accurate, it is astonishing how many employers do not bother to check them, and the applicants who submit them, thoroughly. Physicians are particularly remiss in that department. And those physicians who do check at all often do far less than they should.

If you don't think it's worth the trouble, know that “negligent hiring” litigation is on the rise. If the actions of one of your employees hurts someone, and it can be shown that you knew or should have known that said employee had similar problems in the past, you could be liable—and such lawsuits, of course, fall outside the protection of your malpractice insurance.

As an aside, I have mentioned before the advisability of obtaining Employee Practices Liability Insurance (EPLI). It is inexpensive and covers your legal expenses in the event of negligent hiring charges, as well as wrongful termination and sexual misconduct or harassment suits.

A background check should never be limited to simply calling the two or three most recent employers. In this era of universal litigation, employers are often unwilling to be candid with you regarding a former employee.

This doesn't mean you should not call them anyway, of course. With reluctant former employers, my favorite question is, “Would you hire this employee back?” Even if the answer is “yes,” he or she will often give you good clues, with hesitations, voice inflections, and other intangibles, of how enthusiastic they truly are about that prospect.

Other information is available to you when considering applicants, and you should take advantage of it. In addition to interviews of former employers, a background check should verify the applicant's Social Security number. It should also include an analysis of his or her complete work history and a full credit report. It can also include credit payment records, driving records, and any criminal history. This is all a matter of public record and is often easily accessible via the Internet.

Bankruptcy information also is a public record and can be helpful, although you cannot discriminate against an applicant solely because he or she has filed for bankruptcy. The military can disclose a veteran's name, rank, salary, assignments, and awards without consent. Driving records are not confidential and can be released without consent.

The inquiries should be related to the job. For example, if the applicant will be handling money, it would be reasonable to find out if he or she has a history of embezzlement or theft.

Some information cannot be included in a background check, however. Education records are confidential and cannot be released without the consent of the student. Laws vary on checking criminal history. Federal guidelines permit disclosure of criminal convictions indefinitely, but some states don't allow questions about arrests or convictions beyond a certain point (usually 7 years). Others only allow consideration of criminal history for certain positions.

Employers cannot request medical records and may not make hiring decisions based on an applicant's disability. The same holds true for workers' compensation records. However, you may inquire about an applicant's ability to perform a certain job.

If you have a large practice and hire many employees, it may pay to have an outside company perform background checks. However, such outsourcing brings you under the jurisdiction of the federal Fair Credit Reporting Act, which sets national standards for employment screening. This means the outside agency must notify applicants in writing and get their written authorization to do the background check (not true if you're doing the checks yourself).

And if you decide not to hire specifically because of an outside report's findings, you must disclose this to the applicant, along with the name of the agency which did the investigating, and information on his or her right to dispute the report.

Last year I wrote a column on guidelines for hiring employees, and I've been receiving questions on that subject ever since. (If you missed that column, go to www.skinandallergynews.com

Many questions concern checking potential employees' references. One industry publication estimates that 40% of resumes contain false or “tweaked” information; my opinion, based on more than 25 years of hiring, is that estimate is wildly optimistic. After all, many applicants are convinced padding is necessary to get the job they want. As a young performing arts student once told me in my office, “Show me an actor who hasn't padded his resume, and I'll show you a waiter.”

Given that so many resumes are less than completely accurate, it is astonishing how many employers do not bother to check them, and the applicants who submit them, thoroughly. Physicians are particularly remiss in that department. And those physicians who do check at all often do far less than they should.

If you don't think it's worth the trouble, know that “negligent hiring” litigation is on the rise. If the actions of one of your employees hurts someone, and it can be shown that you knew or should have known that said employee had similar problems in the past, you could be liable—and such lawsuits, of course, fall outside the protection of your malpractice insurance.

As an aside, I have mentioned before the advisability of obtaining Employee Practices Liability Insurance (EPLI). It is inexpensive and covers your legal expenses in the event of negligent hiring charges, as well as wrongful termination and sexual misconduct or harassment suits.

A background check should never be limited to simply calling the two or three most recent employers. In this era of universal litigation, employers are often unwilling to be candid with you regarding a former employee.

This doesn't mean you should not call them anyway, of course. With reluctant former employers, my favorite question is, “Would you hire this employee back?” Even if the answer is “yes,” he or she will often give you good clues, with hesitations, voice inflections, and other intangibles, of how enthusiastic they truly are about that prospect.

Other information is available to you when considering applicants, and you should take advantage of it. In addition to interviews of former employers, a background check should verify the applicant's Social Security number. It should also include an analysis of his or her complete work history and a full credit report. It can also include credit payment records, driving records, and any criminal history. This is all a matter of public record and is often easily accessible via the Internet.

Bankruptcy information also is a public record and can be helpful, although you cannot discriminate against an applicant solely because he or she has filed for bankruptcy. The military can disclose a veteran's name, rank, salary, assignments, and awards without consent. Driving records are not confidential and can be released without consent.

The inquiries should be related to the job. For example, if the applicant will be handling money, it would be reasonable to find out if he or she has a history of embezzlement or theft.

Some information cannot be included in a background check, however. Education records are confidential and cannot be released without the consent of the student. Laws vary on checking criminal history. Federal guidelines permit disclosure of criminal convictions indefinitely, but some states don't allow questions about arrests or convictions beyond a certain point (usually 7 years). Others only allow consideration of criminal history for certain positions.

Employers cannot request medical records and may not make hiring decisions based on an applicant's disability. The same holds true for workers' compensation records. However, you may inquire about an applicant's ability to perform a certain job.

If you have a large practice and hire many employees, it may pay to have an outside company perform background checks. However, such outsourcing brings you under the jurisdiction of the federal Fair Credit Reporting Act, which sets national standards for employment screening. This means the outside agency must notify applicants in writing and get their written authorization to do the background check (not true if you're doing the checks yourself).

And if you decide not to hire specifically because of an outside report's findings, you must disclose this to the applicant, along with the name of the agency which did the investigating, and information on his or her right to dispute the report.

Last year I wrote a column on guidelines for hiring employees, and I've been receiving questions on that subject ever since. (If you missed that column, go to www.skinandallergynews.com

Many questions concern checking potential employees' references. One industry publication estimates that 40% of resumes contain false or “tweaked” information; my opinion, based on more than 25 years of hiring, is that estimate is wildly optimistic. After all, many applicants are convinced padding is necessary to get the job they want. As a young performing arts student once told me in my office, “Show me an actor who hasn't padded his resume, and I'll show you a waiter.”

Given that so many resumes are less than completely accurate, it is astonishing how many employers do not bother to check them, and the applicants who submit them, thoroughly. Physicians are particularly remiss in that department. And those physicians who do check at all often do far less than they should.

If you don't think it's worth the trouble, know that “negligent hiring” litigation is on the rise. If the actions of one of your employees hurts someone, and it can be shown that you knew or should have known that said employee had similar problems in the past, you could be liable—and such lawsuits, of course, fall outside the protection of your malpractice insurance.

As an aside, I have mentioned before the advisability of obtaining Employee Practices Liability Insurance (EPLI). It is inexpensive and covers your legal expenses in the event of negligent hiring charges, as well as wrongful termination and sexual misconduct or harassment suits.

A background check should never be limited to simply calling the two or three most recent employers. In this era of universal litigation, employers are often unwilling to be candid with you regarding a former employee.

This doesn't mean you should not call them anyway, of course. With reluctant former employers, my favorite question is, “Would you hire this employee back?” Even if the answer is “yes,” he or she will often give you good clues, with hesitations, voice inflections, and other intangibles, of how enthusiastic they truly are about that prospect.

Other information is available to you when considering applicants, and you should take advantage of it. In addition to interviews of former employers, a background check should verify the applicant's Social Security number. It should also include an analysis of his or her complete work history and a full credit report. It can also include credit payment records, driving records, and any criminal history. This is all a matter of public record and is often easily accessible via the Internet.

Bankruptcy information also is a public record and can be helpful, although you cannot discriminate against an applicant solely because he or she has filed for bankruptcy. The military can disclose a veteran's name, rank, salary, assignments, and awards without consent. Driving records are not confidential and can be released without consent.

The inquiries should be related to the job. For example, if the applicant will be handling money, it would be reasonable to find out if he or she has a history of embezzlement or theft.

Some information cannot be included in a background check, however. Education records are confidential and cannot be released without the consent of the student. Laws vary on checking criminal history. Federal guidelines permit disclosure of criminal convictions indefinitely, but some states don't allow questions about arrests or convictions beyond a certain point (usually 7 years). Others only allow consideration of criminal history for certain positions.

Employers cannot request medical records and may not make hiring decisions based on an applicant's disability. The same holds true for workers' compensation records. However, you may inquire about an applicant's ability to perform a certain job.

If you have a large practice and hire many employees, it may pay to have an outside company perform background checks. However, such outsourcing brings you under the jurisdiction of the federal Fair Credit Reporting Act, which sets national standards for employment screening. This means the outside agency must notify applicants in writing and get their written authorization to do the background check (not true if you're doing the checks yourself).

And if you decide not to hire specifically because of an outside report's findings, you must disclose this to the applicant, along with the name of the agency which did the investigating, and information on his or her right to dispute the report.