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On Oct. 3, 2019, the Consumer Financial Protection Bureau (CFPB), the agency enforcing federal consumer financial laws, released their background screening report snapshot, which provides an overview of companies involved in the background screening industry. The CFPB acknowledges three critical drivers of growth: increased demand due to improvements in the labor market, the decline in rental vacancy rates, and expanded online services.
The CFPB report focuses on screenings that include criminal record checks. According to the CFPB report, “72 percent of employers conduct background checks; 82 percent of those that do background checks include criminal background checks.”
The report also highlights the background screening industry, how screening reports are generated, and how screening reports are used by employers. It is estimated that for 2019, there are “1,954 background screening companies with revenue of $3.2 billion,” according to the CFPB.
The report includes developments in the background screening industry and challenges that are related to accuracy and dispute resolution. One of these challenges is inconsistent systems across jurisdictions for reporting criminal records, due to more than 13,000 state courts in the U.S. with an estimated 110,235,200 persons in their criminal history files.
Click here for the full report.
Contact us today to see how SELECTiON.COM® can take your employment background check process to the next level.
This article gives a general overview of the legal matters. However, it is your responsibility to ensure compliance with all the relevant federal, state, and local laws governing this area. SELECTiON.COM® does not provide legal advice, and we always suggest consulting your own legal counsel for all applicant approval matters.
Blog
What is the most crucial thing a background screening provider can offer? It’s challenging to narrow it down to just one. Although the report is essential, there are more valuable qualities that companies need to consider. The factors that make up a proper background screening provider are compliance, price, quality data, turnaround time, and customer service. With these multiple elements working together, you have a positive experience and confidence in your hiring process.
It’s crucial to choose a background screening provider that brings real value to your company.
Compliance
One reason why a company conducts background checks is to avoid a risky hire. A reputable background screening company makes compliance a priority for you.
Background check companies should be the expert in federal, state, and local laws on employment screening, including the Fair Credit Reporting Act. They should offer you up-to-date disclosure and authorization forms, along with pre-adverse and adverse action letters.
Price
The phrase “you get what you pay for” applies to background checks too. Ask yourself if the lowest price is the best option. Although it is necessary to keep your budget in mind, it’s critical to run quality and up-to-date background checks.
When evaluating for a background screening provider, be sure to compare reports of similar quality. Sometimes less expensive background checks are missing critical data, which can be concerning. Find out if your screening provider is searching through multiple sources of data to compile a complete report on your candidate. Since background screenings are a vital component of hiring, the value they bring to your company should be more important than the cost.
Quality Data
Database searches can be a valuable tool when used alongside other background check reports. Keep in mind that database searches are not a comprehensive stand-alone background check report. Quality providers offer other sources to help ensure an in-depth search for records in addition to a database.
Although there are standard federal regulations, states can have their restrictions on reporting crimes in a database. Some states also restrict case details provided to a database, and some won’t release any information at all to a database. Direct searches are a source of revenue for some state and local governments, so they won’t release information in a database. Using the database search with a county criminal background check is the best way to have an in-depth report on a candidate.
Turnaround Times
You want to make sure that the background check has quality reporting and is done in a timely manner. The typical turnaround time for a background check is two to three days. In the United States, there are over 3,000 counties or county-equivalents each with their court record database. The turnaround time to obtain the search results varies from county to county, depending on the technology used. Although some counties have online databases, some still use ledger books or microfilm for storage of court records. Results can take longer in counties that are clerk-assisted. A quality background check provider should keep you apprised of any unexpected delays.
Customer Service
Some companies consider customer service one of the most valuable qualities for a background screening provider. Having customer service representatives that are highly trained and qualified to answer your questions are essential qualities. Customer service doesn’t end after a phone call or online chat is over. It’s about the overall experience that you receive from the background check provider.
At SELECTiON.COM®, our customer support team is all in-house, along with our IT department. Customer support is available from 8 a.m. to 8 p.m. (EST) Monday through Friday, via phone or Chatrax® our online chat system.
Background check companies should keep you informed on the background screening industry standards. Through monthly newsletters, blog posts, and emails, a background screening company should share essential updates, court closings, background check news, and relevant industry information. The more knowledge you have, then the better your hiring process will be.
Overall Value
What is vital for your company’s hiring process? While compliance, price, quality data, and customer service are all crucial components of a background screening program, the most important thing is your partnership with your provider.
Make sure your overall experience with your background check provider is more valuable than just a report.
Contact us today to see how SELECTiON.COM® can take your employment background check process to the next level.
This article gives a general overview of the legal matters. However, it is your responsibility to ensure compliance with all the relevant federal, state, and local laws governing this area. SELECTiON.COM® does not provide legal advice, and we always suggest consulting your own legal counsel for all applicant approval matters.
Blog, Resources
NAPBS Has Evolved Into a Global Organization and Rebranded as the Professional Background Screening Association.
On September 9, the National Association of Professional Background Screeners (NAPBS) publicized that its members voted at the 2019 NAPBS Annual Conference in San Antonio, Texas, to approve the association’s rebrand to the Professional Background Screening Association (PBSA).
Established in 2003, PBSA is the only association of its kind and has become the trusted authority for the screening professionals. PBSA was established to promote a high level of ethics and performance standards for the background check industry. This association currently represents over 880 member companies engaged in employment and tenant background screening across the United States.
This rebranding allows for the association to transition fully into a global organization. Currently, the organization has three international chapters and is expanding. The rebrand includes a new logo, branding, and website.
PBSA Member companies are Consumer Reporting Agencies defined under the Fair Credit Reporting Act, and these agencies are regulated by both the Federal Trade Commission and Consumer Financial Protection Bureau. SELECTiON.COM® is a proud member of the PBSA.
The PBSA offers a Background Screening Agency Accreditation Program. Its purpose is to achieve excellence through high professional standards, including the adoption of best practices, awareness of legal compliance, and development of rules that protect clients and consumers. SELECTION.COM® is part of this prestigious program as well, and achieving this certification was no easy task.
To become an accredited firm, SELECTiON.COM® had to demonstrate initial and ongoing compliance with the accreditation standards as prepared by the Background Screening Credentialing Council. Compliance is determined through a rigorous review and on-site audits, which are completed by an independent third-party auditor. SELECTION.COM® documented each of the policies and processes required in each area within the standard and demonstrated visible compliance with their policies to the auditor. The program also required SELECTiON.COM® to commit to uphold and deliver the highest level of industry standards in the following critical areas: Information Security, Legal and Compliance, Client Education, Researcher and Data Standards, Verification Services Standards and Business Practices.
Consumer Reporting Agencies (CRAs) like SELECTiON.COM® help provide the country and its citizens with a safer environment in which to live, work, and play. The common goal for CRAs and PBSA is to continue working together to identify best practices and promote the highest ethical standards.
Contact us today to learn more.
This article gives a general overview of the legal matters. However, it is your responsibility to ensure compliance with all the relevant federal, state, and local laws governing this area. SELECTiON.COM® does not provide legal advice, and we always suggest consulting your own legal counsel for all applicant approval matters.
