For making a good decision when hiring, the pre-employment screening is the most crucial point in the selection process.
Credit checks are ok, but I would think "most" (don’t shoot me) general laborers will not be in the 700 Becon range. So will not be a good gauge of character, only that they should not be responsible for your business' financial decisions. I worked for a major restaurant chain that required a credit check in the pre-employment screening process. Even thought the credit rating was not used in the final selection process it shed light on one other very important thing. Your credit report can be used to verify your employment history. EX: You tell me you worked in WA 1999 to 2004, but your Credit report states clearly you opened a credit account in AL in 2002. How is this? Your credit report (if updated correctly) list your job history in order. Just remember they are guidelines not rules.
When contacting previous employers. This process is so hit and miss. Most large companies who have HR policies in place, the only response you should get will be. Dates of hire and eligibility of rehire status. You are also at the mercy of the information the applicant gives you (for example: I have done many reference checks where the applicant gives me false information, like his friends cell number as his old employer.)
You can even do background checks on applicants (with their permission of course.) But the information you get there will be things like: Driving record, Felony status, name change ect.
If you are hiring a management candidate, then these things might help guide you in your decision. But take it from someone who has conducted well over 1000 interviews. Your best defense is a well structured interview that contains lots of open-ended questions. These are questions that require the applicant to give answers that can not be answered simply by “YES” or “NO” (Example: Tell me about an install where things went wrong. How did your react? And what was the outcome?) A question like this requires the applicant to dig from real experiences. You also have to probe the same questions with (after answering the first part, and before you ask part two. Ask them what was your role in this install, who was your supervisor? And when I call “JOHN” how will he tell me you handled this incident?
Write down several questions in advance prior to the interview based on actual requirements for that position.
I know that this is not what you wanted a response on, but I can assure you NOTHING and I do mean NOTHING will ever replace the best hiring technique ever developed.
