Employee Background Checks on the Increase

A new online employment screening company is offering a quick way for employers to check the educational and work histories of potential employees.

Employers can turn to www.Employact.com to conduct background checks, education verification and pre-employment screening to weed out applicants who list on their resumes fake diplomas or degrees from online diploma mills.

“Our employment screening process will put the diploma mills out of business,” said CEO Samuel Anderson in a press release. The company certifies only accredited or licensed institutions, and offers background checks for a one-time fee.

A recent survey shows that employers are conducting background checks more frequently. According to ADP Employer Services, use of pre-employment screening services has increased for the last seven years, with the number of background checks rising by 16 percent from 2003 to 2004. The number was 3.8 million in 2003, with 4.4 million checks performed last year. Of that number, 9 percent revealed inaccurate information.

The study showed that half of the employment, education and/or reference checks revealed a difference between what the applicant provided and the source reported. The study also showed inconsistencies in driving record information, credit records, criminal histories or workers' compensation claims.

Companies that specialize in background screens warn employers that they need to be sure who they are really hiring, considering the prevalence of identity theft, online diploma mills and other risks.

Employact.com also offers resume posting for job seekers and job posting for employers. Employees and employers are in control of how their information is disseminated, the company said. Employers can request that job applicants use the EmployACT system for pre-screening. Also, a job hunter can send a resume into the EmployACT system but hide it from the current employer, for example.

“It's a one system, one place, one time service that you use and you have full control, full privacy,” Anderson said in a statement. “You disclose what you want to disclose.”

You may like these other stories...

Majority of House of Representatives urges leadership to preserve cash method of accounting for tax purposesA bipartisan majority of the House of Representatives – 233 members – has signed a letter urging House...
Tax friendly trusts swell under new rulesUS companies are latching onto an obscure real estate provision to avoid corporate taxes, widely adopting a financial maneuver that has been expanded under the Obama administration,...
The average annual salary for US finance and accounting professionals who have the Certified Management Accountant (CMA) credential has gone up slightly over the past year, according to the results of a new study from the...

Already a member? log in here.

Upcoming CPE Webinars

Sep 18
In this course, Amber Setter will shine the light on different types of leadership behavior- an integral part of everyone's career.
Sep 24
In this jam-packed presentation Excel expert David Ringstrom, CPA will give you a crash-course in creating spreadsheet-based dashboards. A dashboard condenses large amounts of data into a compact space, yet enables the end user to easily drill down into details when warranted.
Sep 30
This webcast will include discussions of important issues in SSARS No. 19 and the current status of proposed changes by the Accounting and Review Services Committee in these statements.
Oct 23
Amber Setter will show the value of leadership assessments as tools for individual and organizational leadership development initiatives.