New Internet Report Access System (IRAS) Release

New Internet System Release

Employment Screening Services, Inc. (ESS), one of the nation’s leading employment screening firms, announces the release of the newest version of its heralded “Internet Report Access System”, a powerful job applicant and employee management tool.

The new program provides many outstanding features including an enhanced Applicant Tracking System, a dynamic new Management Report Generator, extensive note keeping and document storage capabilities for applicant files, robust data encryption, expanded search options, streamlined access to functions, and fast performance.

The system includes an option to use the ESS “paperless background” check, a process that allows the applicant to complete an employment application online and electronically sign a release authorizing a background check.  The “paperless” mode saves time, saves on paperwork (and trees) and gives the applicant a very professional recruiting and hiring experience at your company.

For information on the ESS Internet Report Access System email us at Info@EmployScreen.com

California Senate Bill 909 Update

As a Consumer Reporting Agency (CRA), Employment Screening Services, Inc. (ESS) has always maintained the highest standards in safeguarding the rights of the applicants we screen for you.  Unfortunately, not all CRAs are as committed to this ideal.  There are many who conduct business in ways we and some other CRAs don’t espouse.  In fact, this was the genesis of ESS becoming one of the co-founders of the organization ConcernedCRAs. (www.ConcernedCRAs.com)  ConcernedCRAs is a group of like minded CRAs who agree not to “off-shore” domestic applicant information and further agree to utilize “national” databases in a responsible manner.

There is a growing trend among the larger CRAs to conduct their processing off-shore in countries such as India, Indonesia, etc. The problem is that once an applicant’s information leaves the United States there is no real protection.  And there is little means to prosecute anyone who sells their personal identifiers … a relatively common occurrence in these countries.

In most cases, the applicants and even the employers are not aware their applications are being processed off-shore. And many CRAs will not acknowledge this to their clients let alone volunteer it.

Since the beginning of this year, Larry Lambeth, President of ESS, and Mike Coffey, President of Imperative Information Group, co-founders of ConcernedCRAs, have worked with State Senator Rodney Wright (D) in California to write SB909.  The bill is designed to protect job applicants’ identities by ensuring they are expressly informed that their personal information is being sent off-shore.  Furthermore, it states the CRA must obtain the applicant’s written permission to do so.  In addition the bill requires the CRA to notify its clients — the employers — that they use this off-shoring practice for their processing.  SB909 also makes the CRA that sends information over seas responsible to the applicant in the event their information is used improperly. The bill does not forbid a CRA from processing information off-shore, only that they notify the employers and obtain permission from their applicants.

On Friday, May 28, 2010 the California Senate passed SB909 by a 22-7 vote. The bill now moves to the State Assembly for approval and then to the Governor for signature.  A lot can happen between now and then but this bill appears to be well on its way to approval.

As a client of ESS, this bill does not affect you directly because we never off-shore your domestic applicants’ information anyway.  So we are already in full compliance with SB909.  Protecting you and your applicants is always a high priority for us.

To read the full text of SB909, Click Here.

Let The New Arizona Immigration Legislation Be A Reminder to Check Your I9s

Whether you favor or oppose the recent immigration legislation uproar in Arizona, it does serve as a reminder that all companies are required to properly and promptly complete Form I9s on all new hires and update any expiring documents used. A self audit of your I9 files on at least an annual basis should also be completed.

Federal Form I9 forms are likely more important than many think. Improper, incomplete or missing I9 forms are often overlooked until your company is subject to a Form I9 audit.

Required since November 1996, Form I9 documents show that each employee hired since that date (citizen or not) have shown identification that they are authorized to work in the U.S. Both employer and employee must complete the form. The Feds really do care.

“Businesses need to understand that the integrity of their employment records is just as important as the integrity of their tax records or banking files.” says Chicago based ICE spokesperson Gail Montenegro. ICE is the U.S. Immigration and Customs Enforcement, the investigative arm of the U.S. Department of Homeland Security.

ICE considers I9 audits as one of the most powerful tools the federal government has to enforce employment and immigration laws. Last summer ICE announced an increased audit program to hold employers “accountable for their hiring practices and ensure a legal work force.”

But is this really a concern for smaller businesses?

The step up of “Notice of Inspection of Hiring Records” started last July with notices to 652 businesses nationwide. More than ICE issued the entire previous year. Over 1000 audits were started in November with over 150 of those businesses in California. Target companies are not selected at random and typically begin with investigate leads and gathered intelligence. An anonymous phone call that a specific company has undocumented workers is all it takes to get the attention of ICE. Many smaller companies have received notice during this enforcement increase.

ESS does offer a service to audit your I9 files and has an electronic Form I9 program that includes tools to help you manage your I9 files but in order to perform an self I-9 audit, you should review every I-9 form currently in the files and compare them to the list of current employees hired (or rehired) after November 6, 1986. If this isn’t feasible, you can take a representative, random sample. Be sure the sample includes forms that were verified by each person responsible for I-9 compliance. For instance, if you have three managers who fill out I-9s, make sure the sample includes a reasonable number of forms that were verified by each manager.

Next, create two master lists of all active employees, with their dates of hire noted, and all terminated employees for whom an I-9 form is required, with dates of termination noted. Then create an “I-9 audit tracking form” listing each employee’s name, date of hire, and date of termination (if applicable). Compare the list of employees against the I-9s. Identify any missing, incomplete, or improperly completed forms and fix any problems. Missing information should be conspicuously inserted, initialed, and dated.

If you choose to complete new I-9s rather than correcting existing forms, be aware that the new forms will not comply with the requirement to complete the form within three business days of hiring. However, the new forms can eliminate all other violations and enhance a “good faith” compliance defense. You must still retain the original I-9s, however, and should attach the original to the new form.

Because an I-9 audit can be performed over time, it can be less disruptive than a last-minute audit forced by a government inspection notice, which may offer as little three days of warning. Audits can be performed during your non-peak season, or over the course of several days or weeks, reducing both the cost and the effect on your business.

Please consult your legal counsel regarding the steps your company should have in place to maintain your Form I9 documents. Taking action now to review your I9 files is an important part of maintaining your business records.

EEOC Warning to Employers about Background Checks

The EEOC has sent a warning to employers that they need to be very careful about the way they use criminal and credit reports when it comes to hiring. They have defined two primary practices that cause the most problems for employers: 

 

Blanket policies against hiring anyone with a criminal record or poor credit score, and;

Failing to show the correlation between background checks and the job itself.

The EEOC has taken this stance due to an increase in discrimination lawsuits based on these issues. The EEOC has designed a new program called E-RACE (Eradicating Racism and Colorism from Employment) The E-RACE Initiative is designed to improve EEOC’s efforts to ensure workplaces are free of race and color discrimination. Specifically, the EEOC will identify issues, criteria and barriers that contribute to race and color discrimination, explore strategies to improve the administrative processing and the litigation of race and color discrimination claims, and enhance public awareness of race and color discrimination in employment. 

The U.S. Equal Employment Opportunity Commission enforces Federal laws prohibiting employment discrimination. These laws protect employees and job applicants against employment discrimination when it involves:

• Unfair treatment because of race, color, religion, sex (including pregnancy), national origin, age (40 or older), disability or genetic information. 
• Harassment by managers, co-workers, or others in the workplace, because of race, color, religion, sex (including pregnancy), national origin, age (40 or older), disability or genetic information. 
• Denial of a reasonable workplace accommodation that the employee needs because of religious beliefs or disability. 
• Retaliation because the employee complained about job discrimination, or assisted with a job discrimination investigation or lawsuit.

Not all employers are covered by the laws the EEOC enforces, and not all employees are protected. This can vary depending on the type of employer, the number of employees it has, and the type of discrimination alleged.

It is important that employers show that they do not give preference to any particular race or color, even if unknowingly. It is recognized that some information that is uncovered in a background check provides insight on an applicant’s job suitability in certain fields of employment. These can include jobs where employees will come in contact with customers, handle case, drive vehicles and deal with minors. It is important to show the correlation between the background checks and the suitability for the job.

 

These are all reasons it is so important for every employer to have a written employment policy spelling out the requirments for each position and to not have a blanket policy to not hire people with criminal histories or poor credit.

For more information on the EEOC E-RACE program Click Here to go to the EEOC Website.

Expunging Criminal Records

Jobs are hard to come by for everyone these days. For those applicants with a criminal record it is especially problematic. The perceived solution for many is to petition the courts to expunge their criminal record(s). There has been a large increase in the number of expunged records attempts throughout the country. Michigan estimates a 46% increase in 2009 over the previous year. This number is fairly representative for other states as well. Each state has its own regulations on what can and cannot be expunged. In Michigan, for example, a record can be expunged unless it is a felony conviction or an attempted felony punishable by life imprisonment; a violation or attempted violation of criminal sexual conduct; or if a person has multiple convictions. There is a five year waiting period from the time of the conviction or release from prison before a record is eligible to be expunged. Some screening companies have problems with expunged records. It is because they rely primarily on criminal records databases for their criminal search process. Database records are compiled from the various courts when the cases are filed and a judgment is entered. If a record eventually ends up being expunged, however, that record is usually not removed from these databases. Screening companies that primarily utilize researchers who actually visit the courthouses don’t have a problem with expunged records. They are obtaining up-to-date and accurate information directly from the source. So any expunged records are noticed and handled properly. There have been several lawsuits filed against screening companies (and their clients) that use criminal records databases as their primary source. The suits were brought by applicants who had expunged records that should not have been reported. At Employment Screening Services, Inc. we never rely solely on a proprietary database for investigating criminal records. So you never have to worry about liability issues with expunged records.

New Oregon Bill Restricts Use of Credit Reports

Oregon Senate Bill 1045 limiting the use of Credit Reports for employment screening was originally set to go into effect on July 1, 2010, has been signed and made effective immediately. 

The act spells out that “it is an unlawful employment practice for an employer to obtain or use for employment purposes information contained in the credit history of an applicant for employment or an employee, or to refuse to hire, discharge, demote, suspend, retaliate or otherwise discriminate against an applicant or an employee with regard to promotion, compensation or the terms, conditions or privileges of employment based on information in the credit history of the applicant or employee.”

This act does not apply to employers who are federally insured banks or credit unions; employers that are required by state or federal law to use individual credit history for employment purposes; or for the employment of public safety officers.

The act does specify that a credit report may be used if, “The obtainment or use by an employer of information in the credit history of an applicant or employee because of the information directly related to a bona fide occupational qualification that is necessary to the operation for the employer’s business and the information in the credit history has a substantial relationship to the functions and responsibilities of the position to which the bona fide occupational qualification applies.” In other words, the law does not prevent an employer from obtaining an applicant’s or employee’s credit report as long as there is a clear, bona fide business necessity, such as in positions that include access to and/or responsibility for business or personal financial information, check-writing or credit/debit card authority, or access to valuables or large amounts of cash.

This bill was introduced in order to protect job applicants and employees who have been hurt during the latest economic down turn and have credit problems from being unemployed. Although there were many legislators who did not agree with the passage of this bill, it was passed with a 33-26.

This Oregon bill is verysimilar to the bill passed in Washington State in 2007.  ESS has updated our standard disclosure and authorization form to include the language below.  The updated form is available at www.essclientservices.com under Downloadable Form. 

Washington and Oregon State Residents:  A credit report or other information regarding credit worthiness, credit standing, or credit capacity may be obtained only if such information is legally required or substantially job-related. This includes employment where job duties involve access to and/or responsibility for business or personal financial information, check-writing or credit/debit card authority, or access to valuables or large amounts of cash.

Although years ago many employers pulled credit reports on all employees, ESS recommends that regardless of state laws credit reports only be used for positions where credit is directly related to the position.

If you have questions regarding this bill, please feel free to contact us at info@employscreen.com.

To see the complete bill, Click Here

California SB909 Mandates Disclosure to Consumers

Identity Theft continues to grow at an alarming rate. Unfortunately, some Consumer Reporting Agencies (CRAs) may be contributing to this phenomenon. In an effort to cut down on their costs many are outsourcing their screening processes to other countries. (India is a common destination.) The problem is that once an applicant’s personal information has been sent off-shore there are virtually no laws protecting him/her. It is fair game for a variety of unscrupulous entities. There have already been several documented cases of Identity Theft as a result of this process.

Employment Screening Services, Inc is proud to be a co-sponsor of proposed California Senate Bill 909 which seeks to protect employers and job applicants from off-shored transactions. Although the bill does not prohibit the procedure, it requires CRAs to notify their clients (employers) and applicants that their personal information will be sent off-shore for processing. It also requires the applicant’s permission in writing.

In addition, the law would “prohibit an investigative consumer reporting agency from transmitting a consumer’s social security number, except for the last 4 digits, outside of the United States or its territories.” It would require these agencies to “adopt and publish a privacy policy relating to information contained in reports that are prepared or processed outside of the United States.” The bill would further provide that an investigative consumer reporting agency is “liable to a consumer who is harmed by any act or omission that occurs outside the United States or its territories.” (It would exempt these requirements for those conducting background checks on individuals living outside the United States.)

It is our hope this bill will be passed by the California state legislature. It may then become a precedent for other states to follow. Some similar form of federal legislation may eventually be adopted as well.

Employment Screening Services, Inc is already compliant with the proposed law. So as a client you are protected and would not need to make any changes to your existing process. We will keep you apprised of the status of the bill.

To View the actual bill, Click Here

If you have any questions contact us at Info@EmployScreen.com.

The Cost of Failing to Conduct Adequate Pre-Employment Background Searches

A jury awarded $750,000 to a disabled man who was a resident at Cote De Neige Home for Adults after he was sexually assaulted by a worker at the facility. The lawsuit was brought against the assisted living facility for their failure to conduct an adequate pre-hiring background search before hiring a certified nursing assistant.

Junious Boyd Batten, the CNA who was allegedly involved in the sexual assault, currently faces five counts of forcible sodomy, three counts of carnal knowledge and one count of abuse and neglect for incidents that occurred between 2006 and mid-2007 while he was employed by Cote De Neige.

According to claims made in the lawsuit against Cote De Neige, Batten was a known criminal–both before and during his employment at Cote De Neige. The lawsuit claims Batten was charged with 13 criminal offenses– including four criminal convictions (public intoxication, two assault and battery charges and one contempt of court charge) during the course of his employment as a CNA.

Too often, in situations such as this, facilities are let off the hook because they claim they lack knowledge about an employees violent tendencies. While this case may be extreme– in terms of the extensive list of criminal charges Batten faced before and during the course of his employment– this verdict should serve as a reminder to all facilities that they must do a pre-employment job screening and continually supervise all employees.

Incidentally, this verdict includes $500,000 in compensatory damages and $250,000 in punitive damages. Consequently, even if this facility files for bankruptcy the owner of the facility will remain responsible for payment of the punitive aspect of this case.

Fake Job References and Employment Histories

Over the last 23 years of performing employment verifications we have documented many cases of applicants providing phony references and employment histories. We’ve become rather adept at sniffing out these situations. 
 
The frequency of fabrications continues to rise. It’s almost an epidemic as applicants become increasingly desperate to find jobs.
 
In the past, most people who wanted to cover up bad work experiences or gaps in their employment used rather simplistic techniques.  They would have a friend or family member posing as a past employer answer the phone when a prospective employer called for verification.  An experienced company like ESS finds it fairly easy to catch these.  We notice inconsistencies in the information they provide or we cross-reference the phone number and discover it is a private line.  It’s not too tough to ferret out the truth if you know what you’re looking for.   
 
But the rules of the game have changed.  Now we are up against more sophisticated opponents who have created a cottage industry for falsifying employment histories. 
 
Check out this site: www.CareerExcuse.com.  It is just one of many websites offering “professional job references” and other services to people who need to lie on their application to secure a job. The site appears very professional and legitimate. But it’s really a con game. Start reading the content and you find brazen statements such as: 

 

 

“Bad References Are Costly – Ask yourself this question…Can your present job references provide you with the positive response needed to compete against the hundreds of other applicants who are applying for that same job?  If you have any doubt – WE CAN HELP YOU.”
 
“Create Your Career History – Have a 3 year gap on your resume you need to get rid of? Simply provide us with your desired career field and we will act as your past employer with a real branch address, 800 number, website, plus email address, along with operators standing by to answer any inquiries with a positive reference.”

For as little as $64 this company will shamelessly lie for you and provide a “professional reference” with all the trimmings.  An unsuspecting prospective employer will likely be completely duped.
 
Think you’re safe looking on social networking sites to find information on your applicant?  They have that covered too. “Building a profile on LinkedIn and other social networks takes a huge investment in time and resources. The good news is that we at Career Excuse think this is time well spent.”  (By the way, this is just one more reason you should never rely on social networking sites for employment screening.  See our previous e-Update for a discussion of the subject.)
 
Further evidence of Career Excuse’s audacious behavior is their response to one inquiry “What if I get caught?” “Lying on a resume is not a crime.  A resume is not a legal document.  As you can see, using our company as your reference is foolproof. The greatest risk is when you use a former employer as a reference and then cross your fingers they won’t call.”
 
And don’t think falsification of employment is limited to certain types of individuals.  Applicants at any level can succumb to the temptation of misrepresenting their past.  A case in point — Chef Robert Irvine from the Food Network got caught lying on his resume and lost his job for a season. Click Here for the article.
 
The bottom line is you must be very diligent in making sure you obtain the most accurate and most complete information possible from your applicants. If we are doing the employment verification for you, this helps us to be more effective.  If you are doing your own verifications here are a few things to keep in mind.

• Don’t automatically trust documents (letters of recommendation, employment and degree documents, self-employment information) provided by an applicant without independent verification.
• Require at least three work-related references.  It is probably unlikely someone will pay a flimflam company for three distinct false reference providers.
• Although phony references may be well-prepared, ask specific questions regarding: position(s) held and work relationship, description of the position including work environment, address of the company’s headquarters.
• If suspicious, verify the reference giver’s position with his/her company’s HR Department … which should be at a different number or extension from the reference.
• Cross reference phone number and addresses. If you can, track down the business next door and call to see if the company is/was actually there.
• Confirm “closed” companies or ownership through government agencies or use IRS source (4506T) for verification.

There are no guarantees you will catch a skilled scam artist.  But the higher the position’s risk of doing harm to people and property the wider the employment screening net should be cast.  If the applicant is held accountable for providing complete and clear information on the employment application and if a thorough and comprehensive screening is performed (including an integrity interview) the chances are good a scam artist will be discovered. 
 

 

If you have any questions, please feel free to contact us at Info@employscreen.com.

 

ASIS International Releases Updated Guideline on Pre-employment Background Screening

ASIS International, the preeminent organization for security management professionals, has released the second edition of the Pre-employment Background Screening Guideline. The guideline is an educational and practical tool that organizations can use as a resource in understanding the reasons for pre-employment background screening of job applicants, as well as the legal principles surrounding the issue of pre-employment background screening. The PBS guildeline can also assist in developing policies and procedures that will enhance an organization’s hiring policy.

Larry L. Lambeth, President of Employment Screening Services, Inc., was honored to have been asked to participate on the committee that went item by item through the existing guideline to help clarifiy and update it to the current business culture and legal guidelines that businesses should be following today.

The PBS guideline presents practical information concerning the value of pre-employment background screening, the importance of the application form, important legal issues and considerations (such as the Fair Credit Reporting Act, privacy issues, state laws, rules and regulations), the key elements of pre-employment background screening, the types of information to utilize in verifying the key elements, the use of credit reporting agencies in pre-employment background screening, and an appendix of a sample pre-employment background screening flow chart.

To purchase a copy of the Pre-employment Background Screening Guideline from ASIS, Click Here.