In today's competitive job market, the stakes for hiring the right talent have never been higher. Companies are investing significantly in their recruitment processes (including, not just the financial investment, but the time investment) to ensure they attract and retain top talent. Yet, amidst the heavy investment and significant impact of hiring the wrong applicant, there is a crucial step that is often overlooked or minimized: the verification of an applicant's experience and education.
Why is this step missed, overlooked or minimized? I have heard a variety of reasons ranging from time constraints to urgent hiring needs. I get it, many times hiring is reactive and not proactive exercise (and yes sometimes it will be, but it does not always have to be that way). The stress, increased workload and decreased productivity/efficiency/effectiveness and a number of other factors can distract from the necessity to perform this critical step in the hiring process, experience and educational background checks. The recruitment process can be draining - reviewing resumes, calling and emailing, interviews, only not to find the candidate that you are looking for. All this to say, there is no one reason. Many organizations do not perform this step; whether it be a large, small, start-up or established organizations and everything in between.
Great news, if you do not or have not done these verifications, you are not alone. I have been there too.
I am a firm believer that our team members are the number one driving force behind organizational success. Think about it, where would your organization be without your team members? Shifting perspectives from getting a “warm body” into a role to getting the “right body” into the role helps recognize why verification matters.
Why Verification Matters
Ensuring Authenticity
At the most fundamental level, verification of experience and education ensures the authenticity of the candidate's credentials. With the rise of technology, it has become alarmingly easy for individuals to present misleading or outright false information. By thoroughly verifying these details, organizations protect themselves from the risk of hiring unqualified individuals who may not possess the necessary skills or knowledge to perform the job effectively. Verification ensures authenticity by weeding out those candidates that have been less than authentic on their resume, LinkedIn profile and/or application. I get it, they seem like the perfect candidate, they have the experience, background and/or education/training you are looking for…. You found them…. The person that you are looking for! However, if that candidate embellished or worse yet out right falsified their background what are the chances they will be less than honest in their work? Let’s get honest with ourselves, this characteristic will likely at some point be exhibited in their work product and dealings in the workplace. We depend on our team members, we need to be able to trust our team members.
Risk Mitigation
The potential risks associated with hiring an unverified candidate are manifold. From a legal standpoint, employing individuals with falsified qualifications can expose the company to significant liabilities. For instance, if a team member causes harm or loss due to incompetence, the company could be held accountable for negligent hiring practices or legal liabilities. Your team members are agents of your organization, organizations are responsible for the actions are their team members. Individuals with falsified qualifications can make mistakes that can be financially detrimental to an organization due to inexperience or falsified educational or training backgrounds. For example, you hire an accounting professional without verifying their experience and background only to uncover that they did not have the requisite background after the financial analysis or reports are not produced or worse of wrong resulting in inaccurate forecasting and budgeting. What is the cost to your bottom line and business operations?
Effects on Costs Associated with Turnover
Unqualified team members can lead to increased costs associated with turnover. Turnover costs per team member range from 15% to 30% of annual wages for entry levels positions to over 200% for executive and highly specialized roles. Verifying candidate qualifications increases the probability of hiring team members that will be able to perform the duties of the role for which they were hired to perform. This reduces the likelihood of having to fill the position in the near-term future, thus reducing the costs of turnover. Unqualified hires may also result in other team members exiting from the organization. Typically, this is due to impacts on organizational/departmental morale and more often, the increased workload placed on other team members to compensate for deficiencies in the new hire. These team member departures result in increased costs related to turnover.
Effects Associated with Productivity and Profits
Team member job performance affects productivity and (either directly or indirectly) organizational profits. It is a simple formula that usually holds true: the more productive the workforce the more profitable the organization. Vetting candidates to ensure that qualifications match what is stated on the candidate’s resume/application allows hiring managers and recruiters to better predict a candidate’s ability to meet the organization’s performance standards. Team members that are not properly qualified for the position they are hired for more than likely will exhibit lower productivity in that position. Additionally, other team members may be required to or of their own volition attempt to compensate for the lower productive team member and eventually this will lead to overall reductions in productivity. Team members that enter a position with the required qualifications typically perform at higher levels. Verifying experience and education is an investment in the company's long-term success. Team members who are genuinely qualified are more likely to contribute positively to the company's goals and vision. They bring the right mix of skills, knowledge, and experience to the table, enabling the organization to innovate, compete effectively, and achieve sustainable growth.
Organizational Culture
One of the less obvious, but equally important, aspects of verification is its impact on organizational culture. Hiring individuals who have genuinely earned their credentials fosters a culture of integrity, excellence, and accountability. It sends a clear message to all team members that the organization values honesty and merit. This, in turn, can enhance team member engagement and loyalty, as team members are more likely to stay committed to a company that upholds its standards.
Implementing Effective Processes
First and foremost, it is imperative that organizations have accurate and practical job descriptions. Job descriptions should reflect the actual duties and responsibilities of each role. Education, experience and skills should reflect the qualifications that are practically relevant to effectively perform the role described. Why does your receptionist need a master’s degree in engineering? It may be relevant to the organization, but is it required to effectively perform that position? As an aside, does the pay align with what you are asking for?
To effectively verify an applicant's experience and education, organizations must implement an effective verification process, understand compliance and ensure a smooth candidate experience. Organizations may decide whether to perform these verifications themselves or by partnering with reputable background check companies that specialize in verifying educational credentials and past employment. Additionally, hiring managers should be trained to recognize red flags in resumes.
It is also essential to ensure that verification processes comply with all relevant laws and regulations. This includes obtaining the candidate's consent before conducting background checks, ensuring that any information collected is used fairly and responsibly and adhering to adverse actions regulations.
Verification Tips
Obtain written consent
Perform checks AFTER a conditional offer of employment is extended
When a degree is required, request a sealed transcript if not using a third party to verify education
Many certifications can be verified online through the certifying institution or a third party (such as Credly)
At the very least employment verifications should include: position and dates worked.
If a candidate requests that their current employer not be contacted, it is not necessarily a red flag, however, organizations should attempt to verify the same information in another manner. For instance, do they have a company provided business card or are they listed on the company website as a current team member?
Do not use LinkedIn to verify qualifications. Information on LinkedIn profiles can be embellished or falsified.
Do not jump to conclusions, if there is something that you do not understand, communicate that to the candidate and request an explanation or ask them to clarify.
Implementing thorough and lawful verification processes is crucial for building a trustworthy and competent workforce that supports organizational goals and profits. By adhering to these guidelines, organizations can ensure fair and responsible hiring practices. For assistance in designing and implementing an effective hiring strategy and process, please contact us. At Dunedin HR Solutions, we’re committed to supporting your HR needs.
Not yet a client, no problem, schedule your **Free Organizational HR Assessment**. Together, we can create an effective framework that meets your organizational needs and complies with all relevant regulations.
Comments