Specifically, let's look at Pre-Employment Background Screening.  Do you have a policy?  Has it been reviewed lately?  Are you performing the necessary due diligence to ensure safe hiring practices and a safe and secure work environment?   Overall in 2010, we should be looking at increased hiring from last year.  Now more then ever companies are taking a proactive approach to ensure they select the right individuals to join their organization.  One thing they may not be doing however is ensuring the screening program they have in place is actually doing what is intended.  The worst case scenario is the background check is nothing more then "checking a box" in regards to the screening process.

For example, after an internal county audit, it was found that at least 34 employees hired by the Luzerne County Correctional Facility within the last four years were permitted to start working before their pre-employment background checks were completed. The county paid as much as $200 for each of the 40 background checks examined in the audit, according to invoices and county payment records. In return, it received a manila folder with printouts of state court records and handwritten responses to a questionnaire that offered little insight into a prospective employee's background beyond what was listed on his or her job application." There's no other way to describe it than an utter and total waste of money," county Solicitor Vito DeLuca said. "There was work performed, but there was no work that would help in determining a hiring decision."  Some of the background checks were returned 56 days after the individual was hired.

Now, let's say that you have a policy in place and your performing due diligence by pre-screening applicants.  Once you get the information back, is your vendor acting as a consultant?  Too many times HR and Recruiting professionals are left to fend for themselves when it comes to understanding adverse findings and how to deal with them.    
The biggest trend in employment screening has been online databases offering cheap background checks. With access to the internet and a quick search anyone can purchase criminal records for a low fee. While this can be appealing to companies looking to cut expenses on background checks, it may in fact be hurting more then helping.  You may be getting inaccurate or incomplete information without a trained researcher to help you navigate the data.
 
One example of this occurred on January 17, 1990,  Wiggins v. Equifax Services.  Russell Wiggins was fired from his job at District Cablevision  when the received an incorrect report of a felony cocaine conviction on one James Russell Wiggins.  The information was not verified and was inaccurate which resulted in a lawsuit and a payment of a substantial monetary settlement. (US District Court, District of Columbia; Civil Action 90-199; Wiggins (et al) v. Equifax Services, Inc. (et al).)
 
Another issue has to do with the common term in the database industry know as "data drops".  Data drops refer to the inaccuracy of shared information between databases resulting in inaccurate data.  Have you ever had to upload your information from one CRM (Customer Relationship Manager) to another?  How about one ATS (Applicant Tracking System) to another?  In comparison, your firm's data is a very small amount compared to criminal databases.  Have you ever seen one of those transfers give you 100% accuracy?  It is estimated that at least 5 to 8% of the data is lost when sharing information from one platform to the next.  Even more important, "data drops" are indiscriminate which means a drug trafficking conviction is dropped just as easily as a traffic ticket.
 
In addition to inaccurate or incomplete data there is also the common issue of applicants purposely omitting information.  The first part of the screening process is to get critical identification from credit bureaus and other repositories to get maiden names and other residencies. This is where the data miners would not be fulfilling your needs.  A lot of times the information derived from the SSN in the first step will necessitate additional searches on maiden names and/or other residences that a potential employee might have purposely omitted.

With online databases you are losing the best part of the package...the highly trained researcher who knows how to spot "red flags" and information that needs to be examined with more diligence.  A good researcher will have realationships and experience with each vendor source which allows follow-up when necessary and ultimately, a comprehensive report.  One more example of something a "data miner" is not going to provide.

So what should you look for in a trusted partner to perform your pre-employment background checks?  When your firm's reputation and integrity is on the line, you should demand to work with a vendor that is ready, capable, and willing to support you in your hiring process way beyond just data mining!  Also, look for the company's professional memberships in organizations such as ASIS, SHRM, NAPBS, and others.  This indicates a combined knowledge of the screening and security industries as well as an understanding of your challenges in talent acquisition.    

There has been an increase in the number of employers using Social Networking as a tool utilized to screen candidates.  While there may be some debate concerning the correlation of the information developed to the job function, employers should be extremely cautious when implementing such practices for reasons beyond just the use of the information. While employers must be cautious and take into consideration the federal/state laws governing use of said information; including avoiding discriminatory practices, as critical or possibly more troublesome could be the validity of the information that is posted.
 
As we look around, there are several social networking sites, including but not limited to Facebook, Twitter, YouTube and more; all of which are sources for employers to gather information.  The issue at hand aside from the legal ramifications of using the information is how the information posted has been verified to be accurate?  Many employers are not aware that there are no means to verify information posted on social networking sites, and most information posted has no verification process.  Furthermore, information of any type may be posted by anyone with no credentialing requirements.
 
 
For more information or to discuss how to use Social Networking in your candidate screening process effectively, contact us at sales@allianceinvestigative.com.

 

As the economy struggles to rebound itself out of a recession, people are looking for ways to make easy money and some are resorting to defrauding their insurance company. Insurance fraud has been hard to measure because so much goes undetected, and complete research has yet to be done. Still, we have enough evidence to know that fraud is widespread - and expensive. Although there has been recent response with the insurers, state fraud bureaus, and tougher federal laws, it is not enough. Alliance Worldwide Investigative Group, Inc. has grown into a regionally known company for being a complete source in combating Insurance Fraud. Currently, Alliance is licensed in New York, New Jersey, Connecticut, Vermont, and Florida to handle all types of claims investigations.
 
In a recent survey conducted by the Coalition Against Insurance Fraud, funds devoted to investigating and prosecuting all insurance frauds appear to be decreasing among states and insurers. The funds of state-based insurance fraud investigatory units decrease while all forms of fraud continue to exist and for the most part are increasing. This has become a problem for many states, especially those with a high amount of fraud. Alliance specializes in all forms of insurance claims investigations, including workers' compensation, liability, and all forms of personal injury/ auto claims to name a few. With these options, not only can insurance companies utilize Alliance, but the fraud bureaus being affected by budget cuts as well.
 
As a company headquartered in upstate New York, Alliance has seen all types of Insurance Fraud first hand. Our newly licensed states are some of the highest among fraud. Although we have a strong presence in the northeast, one state that continues to be among the highest in fraud is Florida. As retirees and snow birds make their way down to Florida, they may also bring with them fraud. One type of fraud that should not go unnoticed is auto insurance which can take many forms. Let us take a closer look at these forms. Some look for coverage in a state which has lower premiums and register in that state even though he/she does not live in that state. Also, trying to charge an insurance company for auto damages that were not incurred as a result of a covered accident is fraud. Another type of fraud is called a "give up". A give up is when an insured driver reports a vehicle is stolen when in truth it was not. One form that cannot be taken lightly involves injuries from auto accidents. More than one third of people hurt in auto accidents exaggerate their injuries. This adds $13-$18 billion to America's annual insurance bill, according to a study by the Rand Institute for Civil Justice.
 
Our innovative approach to fraud detection leaves no stone unturned and provides you with the peace of mind that our fraud detection practices protect your interests. We have an in-house staff which researches each claim before it is investigated to determine the validity of the information provided and to establish a basis from which to start a surveillance. Let Alliance Worldwide Investigative Group, Inc. be your one source for complete insurance fraud investigations.