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Top 5 Employee Background Screening Myths You Must Know

Are background screening myths keeping you from making the best hiring decisions? Don’t let misconceptions cloud your judgment! Read on to uncover the truth behind the top 5 employee background screening myths!
Two rectangular shaped elements with myths and facts written on them. A user icon with green tick mark is depicting the myths and facts about employee background screening.

Have you ever hired a seemingly perfect candidate, only to find later they weren’t who they claimed to be? Unfortunately, this scenario is prevalent nowadays.  According to the US Department of Labor, the average cost of a bad hire is up to 30% of the employee’s first year’s earnings and can cost as much as $240000. This fact highlights the importance of employee background screening. However, some employers question its utility due to the several myths surrounding it. This article will dispel the top 5 myths surrounding background screening & reveal the facts that every employer should know.

#Myth 1: Background Checks Are Always Invasive

Fact: Unlike spying, background checks are conducted within legal boundaries and respect a candidate’s privacy concerns.

A compliant background screening process ensures that verification experts handle sensitive data with the utmost care, adhering strictly to legal boundaries. Only necessary information is collected during the screening process, with the candidate’s due consent. Every country has data privacy guidelines and laws to protect one’s privacy from being exposed. For example, in Hong Kong, the Personal Data (Privacy) Ordinance (PDPO) regulates how employers conduct background checks through third-party companies. Similarly, the Personal Data Protection Act (PDPA) provides robust data protection rights for individuals in Singapore. By prioritizing compliance, you can avoid legal repercussions and ensure a fair and secure hiring process.

#Myth 2: Background Checks Are Time-consuming and Lengthy

Fact: Modern background checks are fast and can be completed within as little as 3 business days.

While background checks were once known to slow down the hiring process, in modern times it has become a myth! Advances in technology such as automation and artificial intelligence, have significantly reduced the turnaround time of background checks. The duration of an employee background screening process depends on various factors such as the type of background checks, the physical location of the candidate, the extensiveness of verification parameters, and response time from referees or educational institutions. However, mindful utilization of modern verification methods and online databases can significantly speed up the process, making it more efficient and timely.

#Myth 3: Background Checks Are Only For Large Corporations

Fact: Businesses of all sizes benefit from background checks.

For any enterprise, irrespective of its size, the implications of a bad hire can be financially devastating. It is a costly affair to bring a new employee on board and train them. Also, in smaller companies with fewer employees, one bad hire multiplies the risks because each person plays a vital role. To mitigate these risks background checks can help to ensure that only competent and genuine people are hired. They can:

  • Minimize cases of theft or violence at the workplace
  • Contribute towards creating a safer workplace for everyone.

By incorporating an effective background screening program, businesses of all sizes can make reasoned choices about whom to hire and protect their assets, workforce, and reputation.

#Myth 4: Background Checks Are Always Costly

Fact: Background checks can be surprisingly affordable and cost-effective.


Modern background checks can be customized to fit a wide range of budgets. Many background screening providers offer tiered packages at different price points. For example, a basic employee background screening package may include verification of educational credentials and employment history. Whereas, a more comprehensive background screening package may include a reference check, credit check, directorship check, etc. Businesses, big or small, can explore affordable and cost-effective background screening services without compromising the quality and accuracy of the screening process. Remember, investing in employee background screening is much more affordable than not investing in background screening.

#Myth 5: Background Checks Are Not Necessary For Remote Workers

Fact: Background checks are equally important for both the on-site and remote employees.

Remote employees play an equally important role in an organization as their on-site counterparts. They often have access to sensitive company data, intellectual properties and may interact with clients and customers. Therefore, despite working remotely, the risks associated with a bad hire remain significant. Moreover, maintaining a consistent screening process for all the employees in an organization ensures that the employers are taking steps for a secure and transparent work culture irrespective of the physical location of their employees. Thus, when considering whether to conduct background screening for remote employees, think twice!

Securing the perfect hire every time you recruit, is no easy feat. From the first assessment to the final onboarding, the challenges are many and the misconceptions are widespread. Yet, amid all this, skipping employee background screening altogether can be a risky take! Every business is unique and hence, there can be no “one size fits all approach”. However, an awareness of these common myths surrounding the background screening industry can help you rise above those misconceptions and tailor the screening process to your specific needs. After all, a strong workforce is the backbone of any organization and thorough employee background screening is the key to securing such a workforce.

Curate a background verification package for your team!

We understand that every business has unique hiring needs, which is why we don’t believe in ‘one-size-fits-all’ solutions. Let’s schedule a quick call to discuss how we can meet your specific requirements and complete your background checks in just 3 days.

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