Common Reasons Why Job Candidates Fail a Background Check

Mar 24, 2021 | Background Check, Compliance & Regulations, Employer Responsibilities

Background check solutions are usually required in the latter part of the hiring process, that is, after the applicant has passed all the interviews and written examinations given by the HR personnel. However, a failed background check could jeopardize the employment opportunity of a job candidate.

But what are the common reasons why a person fails the background check?

Criminal History

In background check solutions, most employers include the criminal history of a candidate. But having prior criminal records or convictions doesn’t necessarily mean that the employer will disqualify a candidate. Some employers take into consideration whether the person was convicted or not, and whether the crime is violent or not. On the other hand, certain positions require a clean record. Some of these job positions can be related to security services and medical services.

Education Discrepancies

By running an education verification, the employer can identify whether the applicant is being honest about his declared educational achievements. If there’s any discrepancy about it, the hiring manager can talk about it with the candidate. 

Poor Credit History

Not all background screenings involve a credit history check since some jurisdictions prohibit such things. But if the company were allowed to pull up the credit reports, the employer could gauge the applicant’s integrity and financial responsibility through them. Background checks with a credit history are essential for positions belonging to certain industries, such as the financial industry.  

Damaged Driving Record

This report is vital, especially if the applicant’s duties entail driving. Avoiding a candidate with a bad driving record could potentially save the employer from legal and insurance consequences due to the employee’s negligence. 

False Employment History

Job vacancies demand specific qualifications such as skills, education, and experience. Sometimes companies specifically expect the applicant to have a certain number of years of experience. An employer can cross-check if the person is being truthful about their declared employment history or not. If you found out that the candidate embellished his resume, you have the means to deny his employment. 

Failed Drug Test

The pre-employment drug test is best used to discourage candidates who use an illicit drug from entering the company’s workforce. It could be very beneficial for the employer since it detects drug users as early as possible. However, other companies may consider candidates who use medical marijuana, only if they can support it with medical reports.

What to Do Next If The Candidate Fails His Background Check?

After learning that a potential hire fails the background check, the hiring manager must take a systematic approach to avoid violating the law and the company’s policy. Here’s what the hiring manager can do.

  • Make sure that the background screening solutions of the company align with its employment hiring policy. 
  • Send a pre-adverse action notice to the disqualified candidate, which also contains a copy of “A Summary of Your Rights Under FCRA” and the results of the background check solutions. 
  • Let the candidate respond within 5 to 10 business days, or depending on the employer’s jurisdiction. There could be valid reasons why the potential candidate receives a failed background check. 
  • Make a decision whether to hire the applicant or not based on your employment policy and guidelines. 
  • After you’ve decided not to hire the person, the law dictates that you have to send the person a final adverse action notice or commonly known as the failed background check letter.