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Employers Beef Up Background Checks


April 19, 2006 Employers are approaching employee hiring seriously, especially given new compliance initiatives. As a result, the crucial step of a background check continues to increase year-over-year.



ADP Employer Services said that in 2005 it conducted 4.8 million background checks, a 12 percent increase over the previous year. Of those checks, 49 percent found a data inconsistency between what the applicant reported and what the background check found.

"The consistent rise in the number of background checks performed year after year is evidence of the diligence employers are taking in the recruitment and hiring process," said Dean Suposs, general manager of ADP Screening and Selection Services.

According to ADP:

  • Criminal Background Checks:  Five percent of the criminal background checks conducted by ADP Screening and Selection Services revealed a criminal record in the last seven years. 

  • Reference Verifications:  Reference checks include total completed education, employment and credential verifications.  Forty-nine percent of the checks performed revealed a difference in information between what the applicant provided and what the source reported.  Six percent of the information differences were received with negative remarks in regard to the applicant. 

  • Driving Record:  Among the completed driving record checks, 24 percent had one or more violations or convictions.  Five percent had four or more. 

  • Credit Reports:  Forty-six percent of the completed credit report checks showed a judgment, lien or bankruptcy, or had been reported to a collection agency. 

  • Workers' Compensation Claim Records:  Eight percent of the workers' compensation checks revealed an existing claim.

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