employment background check

Getting to know the quality and integrity of prospective employees through employment checks

employment checkEffective and integrity-driven employee recruitment processes are crucial for the success and continuity of a company. One critical step in this process is conducting an employment check, which is part of a pre-employment background screening.

Employment checks involve verifying information related to the candidate’s previous position at their former company, the duration of their employment, the reason for termination, and their integrity. One essential aspect of measuring an employee’s integrity is assessing their compliance with the company’s rules and regulations, including agreed-upon resignation procedures by both parties.

Red flags during the resignation process

The Indonesian saying “Datang dengan baik-baik, pergi meninggalkan nama baik”, which essentially means “come in peace and leave on good terms” should be the principle upheld by all employees in their relationship with their current company. Unfortunately, in a lot of cases, this relationship turns sour when an employee departs.

It’s important to remember that a current employer can become a reference for the candidate’s performance and integrity in the future. Companies looking to hire new employees will typically inquire about the quality and integrity of the candidate from their previous company.

For instance, in a sample case, a candidate has been verified to have worked for a year at a company before resigning. However, further investigation reveals that they did not follow proper procedures when resigning. According to company regulations, resignations should be submitted a month in advance, but this employee only gave a 24-hour notice—an incident also known as wrongful resignation.

This red flag becomes a consideration for other companies looking to hire them, especially concerning their compliance with company regulations.

Potential risks

Learning from the case above, it is evident that employment checks can help companies verify the self-reported information provided by candidates. As such, this process can identify the negative records of potential employees with red flags related to non-compliance with procedures or company regulations.

Knowing more details about a candidate’s record during the recruitment process is a preventive step for companies to minimize the risk of bad hiring. So, what are the potential risks that a company may face when recruiting a candidate with red flags related to non-compliance with company regulations? Here are some potential risks:

  1. Repeat cases: A past offender is likely to re-offend. Instances of wrongful resignation could repeat in the new company. This is detrimental to the company as it does not allow the company to find a replacement in time, and it incurs additional costs and time  during the employee recruitment process, which can snowball into other issues down the line.
  2. Unresolved issues: Abrupt resignations leave many questions unanswered. The employee may have resigned due to unresolved issues, which may resurface at the new workplace and disrupt the company’s stability.
  3. Negative impact on the company reputation: Employee non-compliance with company regulations may recur in the new company, directly or indirectly affecting the company’s reputation.
  4. Productivity issues: Employees who tend to disregard procedures can create a disorganized or unprofessional work environment, thereby affecting overall productivity.
  5. Potential internal conflicts: If the company decides to proceed with hiring a candidate with a history of wrongful resignation, it can set a bad precedent that may lead to internal conflicts.

It is crucial for companies to consider these risks and take appropriate measures to ensure the integrity and compliance of potential employees. By conducting thorough background checks, including employment checks, companies can make wise decisions, reduce hiring risks, and maintain a positive and productive work environment.

If a company lacks the resources and expertise to conduct in-depth checks on potential candidates, it can collaborate with a third-party service specializing in background checks. This approach has proven easier and more cost-effective compared to the significant risks associated with “bad hiring.”


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