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If Unemployment Levels Are Down, Why Are Stress Levels Up?

If Unemployment Levels Are Down, Why Are Stress Levels Up?

by Wayne J. Jung

Wasp Barcode Technologies recently released their annual State of Small Business Report and not surprisingly more than half of the 1,100 small businesses surveyed indicated that hiring new employees was the top challenge facing them in 2017.

Less than a third of those same respondents also listed hiring new employees as a strategy for growing revenue during the same period.

The high cost of sourcing and acquiring new employees certainly plays a role, as does training, motivation and retention. Just like an employee tends to avoid certain tasks that they don’t enjoy, so too do many employers.

Just like in sports, it’s never a good idea for a business to avoid upgrading the lineup with talented professionals, and that’s especially true in a competitive marketplace.

According to the U.S. Bureau of Labor Statistics, September’s 4.2% unemployment rate represented the lowest number on record in more than ten years. And while that is good news for jobseekers, it’s bad news for employers.

A low unemployment rate means that while there is more competition for good jobs, companies are fighting against others for top-tier professionals.

It is especially tough for small businesses who cannot afford to outsource their recruitment efforts, because the time and expense to attract the right people can be prohibitive.

And we haven’t even begun to talk about the costs associated with hiring the wrong person for the job!

According to the U.S. Department of Labor, the cost of a bad hire can be as high as 30% of the employee’s first-year income. That can be a substantial hit for any company, made even more impactful when the same mistakes are repeated over and over.

If recruiting, interviewing, training and retaining that new employee is stressful, we can only imagine how hard it is to justify time and expense in the applicant vetting process.

That’s why at SELECTiON.COM® we go to great lengths to not only uncomplicate, but to provide a cost-effective solution to your hiring methodology.

With systems that greatly reduce time, eliminate manual paper filing, improve efficiency and are easy to use, SELECTiON.COM® offers customers of all sizes and in all industries a solution to their applicant vetting process.

Best of all, our solutions are priced to fit any budget and can be customized to your specific needs.

It really is as simple as you select the candidate and we’ll verify their background. That’s why we like to say, “Your SELECTiON®, Verified!”

At SELECTiON.COM® our proprietary Search America™ report is the largest National Criminal Database in the United States, with One Billion records from over 1,500 sources. It’s a multi-jurisdictional search of criminal record databases and Government Watch lists that includes correction records and Sex Offender registries from all 50 states. With this compiled database, we can help to keep your costs low and your coverage level high while providing a quality report.

Contact us today to see how SELECTiON.COM® can take your employment background check process to the next level.

NOTE: The contents of this article are not legal advice for your particular situation. You should neither act nor rely upon anything stated in this article without first consulting your own legal counsel.

Audit vs. Review

Audit vs. Review

The Case for a Hiring Audit-

If your work requires you to manage multiple tasks to achieve a desired outcome, then a periodic audit should be part of your annual plan.

But, why an audit instead of a review?

A review of current processes typically looks at how, when, why and how much money is spent?  Whereas an audit is a deep analysis of the steps in the process to see how they impact the final outcome.  Consider an audit as a step by step look at the how, when & why of your daily activity.

Let’s take a look at Hiring…

Here is the typical review:  

How – Post a job ad. Collect applications/resumes. Determine qualified applicants. Conduct interviews or skills assessments. Select the best candidates.

When – At the time that a need for Human Resources is presented.

Why – To fill a need for Human Resources.

How Much $ – Cost of advertising. Cost of time spent reviewing applications, conducting interviews or skill assessments. Cost of orientation/on-boarding.

Here is how an audit goes deeper:

Posting the job ad:

Is the job ad providing the necessary information for job seekers to understand the requirements and culture of the position?  Is it clear and concise?

What advertising resources have been most successful in producing the best candidates?  Are there unexplored options that may be more effective?

Collecting applications/resumes:

How are job seekers able to submit their interest in your positions?  Should there be multiple options?  Do these methods enable you to work with the best candidates? Do these methods streamline the process of reviewing candidates?  Are there unexplored options that may be more effective?

Determine qualified applicants:

What factors are most important for this position?  Are you able to identify and quickly communicate with desirable applicants?

Interview/assessment of qualified candidates:

Is the interview/assessment conducted soon enough to reach the best candidates?

Are questions or tests measuring the key factors for success in this position?

When evaluating potential employees are you screening based upon the risk associated with this position?  i.e. employee theft, sensitive information, company reputation, danger of physical harm, etc.

Are interviews/assessments conducted in compliance with Federal & State laws concerning equal employment opportunity, discrimination, prior informed consent & notification, etc.?

Do the results of interviews/assessments allow you to move quickly to the next step in your hiring process?

This example covers the HOW of your hiring process.  The Audit of any process should include multiple sets of eyes and also use metrics to determine effectiveness.  An outside expert may be your best option for gathering data as they are not impacted by the results.

Here at SELECTiON.COM®, we have many different resources to help your company make the best hiring decisions. If you aren’t conducting a yearly audit of your hiring process, we recommend you do!

For help in conducting an audit of your hiring process please contact SELECTiON.COM®.

4 Ways to Improve Your Hiring Process

4 Ways to Improve Your Hiring Process

Most HR Professionals have experienced losing an “A” candidate due to delays in the hiring process.

A recent study published by Management Recruiters International (MRI) showed that “47% of declined offers in 2015 were due to candidates accepting other jobs” between application and offer. A statistic that was “up 10% from the first half of the year.”

As is most often the case, an applicant with one company is usually also actively seeking employment with other companies concurrently.

For that reason alone, timeliness is a big part of the hiring process.

Establishing a process that gathers the required information and insights on potential applicants is key to success in Human Resources, as it can drastically reduce the amount of time between application, mutual interest, offer and acceptance.

Here are a few suggestions in review of your process:

1. Job Posting – Promote the benefits of the position and organization. Clearly define requirements and job duties.With well-developed job postings, you can decrease the time spent with unqualified candidates.

Additionally, track which postings give you the best results and replicate those for future openings. 

2. Application – An application that gathers key information and eliminates extraneous details can save time and improve the number of qualified applicants you receive.

Is it necessary to gather a lifetime of work experience or are you more interested in experience related to the position? Perhaps a full work history can be gathered a later time.

DO have all applicants complete a release form for a background check along with the application.  You don’t have to run a background check on every release form received, but you also don’t want to have to wait for release once you find that highly-qualified candidate

3. Interview/Assessment – If your application gathers the right information and you identify a qualified applicant, you want to move quickly to schedule interviews or get assessments.

We know there are marginal candidates that you can wait to hear from but the “A” candidates are looking for a positive response.  Get to know them with follow-up questions, assessments or interviews right away.

4. Background Check/Offer – Most successful companies make a job offer contingent on background check results or they run a background check prior to making an offer. Background checks are very important to your hiring strategy and the expediency of the process can dramatically shorten or lengthen the hiring window.SELECTiON.COM® will help sharpen your hiring strategy by providing quicker turn-around times on all your background check needs.

Developing, and consistently reviewing, a successful hiring process will help your company land more of the best candidates…BEFORE they accept an offer from your competition!

Contact SELECTiON.COM® to review your hiring process and explore the value that we can offer your organization.

Just like on the beach, there is no SPF1000 for Summertime hiring

Just like on the beach, there is no SPF1000 for Summertime hiring

In the background check business, just like protecting against the Summer sun, there’s no sunscreen with a high enough SPF to completely protect against the potential perils of hiring teenagers.

And with Summer hiring season beginning to heat up, more businesses are asking about the process, and even the validity, of conducting a background check or drug screening on a minor.

Unfortunately, the answers to such questions can be a bit complicated.

As is usually the case, it is always a good idea to start with the basics in an effort to develop a best practice for your company. At SELECTiON.COM® we ALWAYS recommend that you consult legal counsel before creating any policy. That is especially true when said policy relates to age, gender, race, etc.

By definition, as of 1995 most states classify a minor as someone under the age of 18. Although legally, as it relates to alcohol or gambling, people under the age of 21 may also be referred to as minors.

However, in terms of criminal responsibility, not all minors are considered juveniles and as you might imagine those laws vary widely by state.

Typically, someone considered a juvenile is usually tried in juvenile court. For some crimes, especially those of a more violent variety, the age at which a minor may be tried as an adult is relatively undefined when the accused is below the age of 18. For example, in Kentucky, the lowest age a juvenile may be tried as an adult, no matter how egregious the crime, is 14.

What does all of that mean to you when you’re just trying to hire a couple teenagers for Summer employment?  

Well to put it into perspective, an estimated 250,000 youth are tried, sentenced, or incarcerated as adults every year across the United States. That’s well less than 1% of the total population.

When you consider that most offenses committed by minors, tried and charged in juvenile court, are not going to be reported by a criminal court in the first place you realize that running a criminal background check on a teenage applicant is probably not going to return much. For example, the majority of criminal records for minors are sealed, making them unattainable. Unless, of course, they are in that .078% of the population tried and convicted as an adult.

It is important to remember that the Equal Employment Opportunity Commission (EEOC) mandates that the process for all applicants must be consistent and two applicants applying for the same job should have the same searches and investigations run on them. If you routinely hire staff above the age of 18 for a specific job (and title) with certain background checks being required, the EEOC requires the same process to be followed when the applicant is under the age of 18.

Always make sure you keep your process uniform to avoid charges of discrimination.

Questions also arise when asking an underage applicant to sign the background check consent form.

Third-party background checks for minors fall under the Fair Credit Reporting Act (FCRA), just as they would for any other applicant or employee, making it very important that all employers fully understand consent specifically as it relates to a minor.

Legally, minors lack the capacity to make a contract. Yes, a minor can legally enter into a contract, but they also legally have the right to either honor the deal or void it altogether. Unfortunately, the employer doesn’t have the same latitude.

The Society for Human Resource Management suggests that employers wishing to run pre-employment screenings on minors, and be protected during the process, should require parental or legal guardian consent. In cases when the minor is unable to provide parental consent, employers should consult with their attorney for a recommended practice.

Even when parental consent is obtained, however, not all records an employer usually requests will be available on minors. Criminal records, as mentioned above, and credit – given that most individuals under the age of 18 have limited access to establishing credit – are least likely to be obtainable. Past employment and educational records should be available. In most instances, personal references can also be obtained.

Therefore, when using pre-employment screening information in the hiring of minors, your company may need to adjust its policies and practices in terms of what information is available to use.

As always, SELECTiON.COM® strongly recommends that our clients seek legal counsel to draft a screening policy that best protects the employer when hiring any applicant, not just minors.

 

 

SOURCES:

Gaines, Larry K and Roger Leroy Miller. “Criminal Justice in Action” 4th ed., Thompson Wadsworth Publishing, 2007. Pg 495

Campaign for Youth Justice, Key Facts: Youth in the Justice System. Washington, D.C.: Campaign for Youth Justice, 2007. Web. May 2011. Citing Woolard, J. “Juveniles within Adult Correctional Settings: Legal Pathways and Developmental Considerations.” International Journal of Forensic Mental Health 4.1 (2005)

Equal Employment Opportunity Commission. http://www.eeoc.gov/.

The Society for Human Resource Management. http://www.shrm.org/.

 

Why Character References Are Important:

Why Character References Are Important:

Background checks are an essential part of any hiring process. And while most companies think that criminal history along with education and employment verifications are enough— there is another way to find out more about a potential employee.

Character references can be supplemental and used to verify more information about previous work experience. 

SAMPLE QUESTIONS:

  1. If provided the opportunity would you hire him/her again? Why or why not?
  2. What can you tell me about his/her personality?
  3. What can you tell me about his/her work ethic?
  4. How reliable is he/she?
  5. What can you tell me about his/her ability to get along with his/her peers and supervisors?

Character references allow you to get more in-depth information about a candidate. Just verifying that a candidate worked at a certain company in the past isn’t always enough. References give you more information than basic dates of employment.

Character references allow you to receive more information such as time and attendance by talking with direct supervisors. Since the questions are more in-depth, we can get a better sense of work ethic and personality.

For example, if you are hiring for a position that requires very strict attendance policies, you need to know if the candidate has had attendance issues in the past.

Character references give insight into a candidate’s personality. While most questions are very standard, talking to a direct supervisor who knew the candidate personally gives you more accurate information.

SELECTiON.COM® goes above and beyond standard background checks. Our education and employment verification packages can be customized to fit your every need.

We want our clients to KNOW they are getting the most information about a potential candidate as possible.

 

By: Jordan Henges – SELECTiON.COM® Social Media Manager

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