Therefore, it is essential that background checks be conducted at some point during the hiring process. Certainly you will want to verify the person’s work history, ask for references from previous employers, and make sure that any necessary state licenses or professional certifications are legitimate and up-to-date.

In addition to these basic references checks, it may also be necessary to conduct more thorough employee screening to avoid liability for negligent hiring. For instance, when hiring people that work with children, it is necessary to do a criminal background check to ensure that the children are kept safe from abuse. Depending on the position that you are trying to fill, it may be necessary to obtain a credit history check, a criminal background check, driving conviction records, educational records, or other kinds of references. However, before you put start digging too deeply for information, make sure that you understand what kinds of information you can and cannot legally obtain without consent.

• Make sure you understand the law. Each state has its own regulations regarding hiring practices, so you should become familiar with them. However, there are also federal acts to which you must adhere during the hiring process. The three most important acts include the Fair Credit Reporting Act of 1971, the Privacy Act of 1974, and the Americans with Disabilities Act of 1990. These acts limit how private information can be used during the hiring process. Make sure you become familiar with their requirements.
• Get written consent. In many instances, potential employees may be carrying on a job search that could jeopardize their current position. Confidentiality is critically important in these circumstances because inappropriate use of information could create yet another liability for you. Therefore, it is necessary that you get written consent from a candidate before you conduct any character investigations or before you request educational records, medical records, or credit reports.
• Remember this last, and very important, point. Make sure that you treat all candidates and all employees in the same manner by requiring the same standard background checks from all of them. If you run a random criminal background check on only one candidate or employee, you will create a very serious liability for discrimination suit.

Ultimately, background checks are a necessary and tricky part of the hiring process. You need to strike a balance between inadequate checking and inappropriate checking. If you feel at all unsure of yourself, seek the help of a hiring consultant or a lawyer.