the use of criminal background checks in hiring decisions ©shrm 2012 july 19, 2012 shrm survey...

The Use of Criminal Background Checks in Hiring Decisions ©SHRM 2012

July 19, 2012

SHRM Survey Findings: Background Checking—The Use of Criminal Background Checks in Hiring Decisions

The Use of Criminal Background Checks in Hiring Decisions ©SHRM 2012 2

Key Findings

Do organizations conduct criminal background checks on job candidates? Sixty-nine percent of organizations reported that they conduct criminal background checks on all of their job candidates. Eighteen percent of organizations conduct criminal checks on select job candidates, and 14% do not conduct criminal checks on any job candidates.

When do organizations initiate criminal background checks? Among organizations that conduct criminal background checks, most initiate criminal background checks after a contingent job offer (62%) or after the job interview (32%). Very few organizations (4%) initiate criminal background checks before a job interview.

Why do organizations conduct criminal background checks? Organizations conduct criminal checks on job candidates 1) to reduce legal liability for negligent hiring (52%) and 2) to ensure a safe work environment for employees (49%).

What type of criminal activity could influence the decision not to hire a particular job candidate? The top two criminal activities that are very influential in the decision not to hire a job candidate are a convicted violent felony (96%) and a convicted nonviolent felony (74%).

Do organizations allow job candidates to explain the results of their criminal checks? Yes; 58% of organizations allow job candidates to explain the results of their criminal checks before the decision to hire or not to hire is made, and 27% allow job candidates to explain the results after the decision is made.


Does your organization, or an agency hired by your organization, conduct criminal background checks for any job candidates?

No, my organization does not conduct this type of background check on any of its job candidates

Select job candidates

All job candidates

7%

19%

73%

14%

18%

69%

2012 (n = 406)2010 (n = 347)

Note: Respondents who answered “not sure” were excluded from this analysis. Percentages may not equal 100% due to rounding.


Does your organization, or an agency hired by your organization, conduct criminal background checks for any job candidates?

Comparisons by organization staff size

2,500 to 24,999 employees (83%)100 to 499 employees (69%) > 1 to 99 employees (48%)

Comparisons by organization staff size

Organizations with 100 to 499 employees and 2,500 to 24,999 employees are more likely than organizations with 1 to 99 employees to conduct criminal background checks for all job candidates.

Note: Only statistically significant differences are shown.

Comparisons by organization sector

Publicly owned for-profit organizations are more likely than privately owned for-profit organizations to conduct criminal background checks for all job candidates.

Comparisons by organization sector

Publicly owned for-profit (84%) > Privately owned for-profit (62%)


When does your organization, or any agency hired by your organization, initiate criminal background checks on job candidates?

Other

Varies by job level

After the completion of a job application, but before the job interview

After the job interview, but before a job offer

After a contingent job offer

1%

1%

4%

32%

62%

n = 343


What are the primary reasons your organization conducts criminal background checks on job candidates?

Other

To assess the overall trustworthiness of the job candidate

To comply with applicable state law requiring a background check (e.g., day care teachers, licensed medical practitioners) for a particular position

To reduce/prevent theft and embezzlement, other criminal activity

To ensure a safe work environment for employees

To reduce legal liability for negligent hiring

4%

12%

20%

39%

61%

55%

5%

17%

28%

36%

49%

52%

2012 (n = 341) 2010 (n = 310)

Note: Percentages do not equal 100% due to multiple response options. Respondents were asked to select top two options.


When conducting a criminal background check on job candidates, how influential is/would be the discovery of each of the following in your decision NOT to extend a job offer?

Convicted nonviolent misdemeanor (e.g., criminal offense that is less serious than a felony and generally punishable by a fine, a jail term of up to a year or both)

Convicted violent misdemeanor (e.g., criminal offense that is less serious than a felony and generally punishable by a fine, a jail term of up to a year or both)

Convicted nonviolent felony (e.g., fraud, embezzlement)

Convicted violent felony (e.g., murder, rape)

22%

58%

74%

95%

26%

60%

74%

96%

2012 (n = 348) 2010 (n = 312)

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Note: Figure represents respondents who answered “very influential.” Percentages are based on a scale where 1 = “not at all influential” and 4 = “very influential.”


When conducting a criminal background check on job candidates, how influential are/would be the following factors related to a criminal activity (regardless of whether they resulted in conviction) in your decision NOT to extend a job offer?

The age of the job candidate when the criminal activity occurred (e.g., if it occurred during adulthood as opposed to youth, you would be less likely to hire)

The length of time since the criminal activity (i.e., the more recent the activity, the less likely to hire)

The relevance of the criminal activity to the position applied for

The number of convictions (i.e., the higher number of convictions, the less likely to hire)

The severity of the criminal activity (i.e., the more severe, the less likely to hire)

31%

56%

73%

75%

81%

37%

51%

69%

76%

84%

2012 (n = 348)2010 (n = 309)

8

Note: Figure represents respondents who answered “very influential.” Percentages are based on a scale where 1 = “not at all influential” and 4 = “very influential.” Other information that influences the decision not to extend a job offer is nondisclosure of criminal activity prior to a background check.


Does your organization allow job candidates, in certain circumstances, the opportunity to explain the results of their criminal background check that might have an adverse effect on an employment decision?

No, not at any time

Yes, after the decision to hire or not hire has been made

Yes, after the criminal background check is conducted, but before the decision to hire or not hire is made

12%

25%

63%

15%

27%

58%

2012 (n = 340)

2010 (n = 308)


Criminal Background Checks Conducted on Select Job Candidates


Which category of job candidates does your organization conduct criminal background checks on?

Other

Job candidates for positions involving national defense or homeland security

Job candidates who will work in health care or with access to drugs (e.g., hospitals, nursing homes, clinics, pharmacies, rehabilitation centers)

Job candidates who will have security responsibilities (e.g., security guards)

Job candidates for positions for which state law requires a background check (e.g., day care teachers, licensed medical practitioners)

Job candidates who will work with children, the elderly, the disabled and other vulnerable populations

Job candidates who will be employed in safety-sensitive positions (including operating heavy equipment, transportation, etc.)

Job candidates for senior executive positions (e.g., CEO, CFO, CHRO)

Job candidates who will have access to company or other people's property or otherwise will be placed in a position of financial trust (e.g., information technology, administrative services)

Job candidates who will have access to highly confidential employee information (e.g., salary, benefits, medical information or other personal information about employees)

Job candidates for positions with fiduciary and financial responsibility (e.g., handling cash, banking, accounting, compliance, technology)

15%

25%

32%

43%

40%

33%

48%

55%

60%

68%

78%

8%

11%

19%

28%

29%

31%

37%

48%

55%

66%

69%

2012 (n = 65)2010 (n = 60)

Note: The data in this figure represent organizations that conduct criminal background checks on select job candidates. Percentages do not equal 100% due to multiple response options. With small sample sizes, the response of one participant can affect the overall results considerably; this should be noted when making interpretations of the data, particularly when interpreting small percentage differences.


Demographics: Organization Industry

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Note: n = 386. Percentages do not equal 100% due to multiple response options.

Percentage

Manufacturing 19%

Health care and social assistance 17%

Professional, scientific and technical services 12%

Other services, except public administration 10%

Educational services 9%

Finance and insurance 7%

Retail trade 5%

Public administration 4%

Transportation and warehousing 4%

Religious, grantmaking, civic, professional and similar organizations 4%

Accommodation and food services 3%


Demographics: Organization Industry (Continued)

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Percentage

Arts, entertainment and recreation 3%

Utilities 3%

Administrative and support and waste management and remediation services 2%

Construction 2%

Information 2%

Wholesale trade 2%

Agriculture, forestry, fishing and hunting 2%

Real estate and rental and leasing 2%

Repair and maintenance 2%

Mining 1%

Management of companies and enterprises 1%

Note: n = 386. Percentages do not equal 100% due to multiple response options.


Demographics: Organization Sector

Other

Government sector

Publicly owned for-profit organization

Nonprofit organization

Privately owned for-profit organization

3%

5%

18%

24%

51%

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Note: n = 386. Percentages do not equal 100% due to rounding.


Demographics: Organization Staff Size

25,000 or more employees

2,500 to 24,999 employees

500 to 2,499 employees

100 to 499 employees

1 to 99 employees

5%

17%

14%

40%

24%

15

n = 375


Demographics: Other

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Does your organization have U.S.-based operations (business units) only or does it operate multinationally?U.S.-based operations only 76%Multinational operations 24%n = 386

Is your organization a single-unit organization or a multi-unit organization?Single-unit organization: An organization in which the location and the organization are one and the same

36%

Multi-unit organization: An organization that has more than one location 64%

n = 387

For multi-unit organizations, are HR policies and practices determined by the multi-unit headquarters, by each work location or both?

Multi-unit headquarters determines HR policies and practices 56%

Each work location determines HR policies and practices 4%

A combination of both the work location and the multi-unit headquarters determine HR policies and practices

40%

n = 257

What is the HR department/function you responded for throughout this survey?Corporate (companywide) 71%Business unit/division 15%Facility/location 15%Note: n = 256. Percentages do not equal 100% due to rounding.


Response rate = 19%

Sample composed of 544 randomly selected HR professionals from SHRM’s membership

Margin of error +/-4%

Survey fielded December 28, 2011-February 7, 2012

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Methodology

Background Checking—The Use of Criminal Background Checks in Hiring Decisions

For more poll findings, visit www.shrm.org/surveys

Follow us on Twitter: http://twitter.com/SHRM_ResearchProject leader: Justina Victor, survey research analyst, SHRM Research

Project contributors: Evren Esen, manager, SHRM ResearchMark Schmit, Ph.D., SPHR, vice president, SHRM Research

Copy editor: Katya Scanlan

http://www.shrm.org/surveys

http://twitter.com/SHRM_Research

the use of criminal background checks in hiring decisions ©shrm 2012 july 19, 2012 shrm survey...

Documents

criminal checks

job candidates

criminal activities

job interview

contingent job

type of criminal activity

percent of organizations

owned forprofit organizations