Benefits April 12, 2004

More Companies Conducting Full Background

April 12, 2004 (PLANSPONSOR.com) - More companies are conducting background checks on job applicants, and those checks are revealing inconsistencies.
Reported by

The number of full background checks companies performed in 2003 increased approximately 26%, from 3,000,667 to 3,762,677 checks. Further, 10% of these checks revealed a data inconsistency or negative information, according to data complied for the 2004 ADP Hiring Index.

Of those background checks, the number of checks with a history of workers’ compensation claims rose to 10% and the number of data inconsistencies between resume information and information discovered through resume reference checks increased slightly to 52%. Comparatively, in the 2003 release of the Hiring Index 9% of background checks had a previous worker’s compensation claim, and 51% of the resume reference checks contained a data inconsistency regarding resume information.

Other statistics from the full background checks showed:

  • 44% of all credit record checks showed a judgment, lien or bankruptcy, or had been reported to a collection agency
  • 31% of full background checks had a driving record with one or more violations or convictions
  • 5% of applicants had a criminal record.

“With the nation’s current unemployment rate lingering between four and seven percent, many individuals are seeking employment. The findings within the 2004 Hiring Index highlight the importance for employers to recognize the need to check and verify information that job seekers have provided,” commented Dean Suposs, general manager of ADP Screening and Selection Services in a news release.

More information is available atwww.adphire.com/hiringindex.

«