Very few things are private anymore. Personal information such as phone numbers and addresses, financial information such as credit scores and reports, career data such as employment history and credentials, as well as criminal records such as past arrests, convictions, and sentences – all of these are stored in any number of computerized databases in a variety of contexts.
While privacy advocates express concern about the amount of information that has become publicly available, background checks have become standard practice when hiring a new employee, granting a license or certification, or approving a new loan or mortgage. Common types of background checks include:
- Criminal records
- Employment history
- Financial data
- Drug Tests
- Educational / Credential verification
- Legal history
Employers frequently conduct background checks on potential hires, for several reasons. First, companies have a solid interest in lowering the risk of fraud or misconduct by their employees which may hurt profits. Second, hiring an employee with a questionable background could lead to a public relations fallout. Third, companies want to verify any claims that the candidate may have made on his or her resume or during the interview. There are also less scrupulous reasons for a company to run background checks. For example, a potential employee may be rejected if the employer discovers that he or she has filed many lawsuits against a previous employer. Regardless of how “ethical” they are, all these goals can be accomplished through a background check.
Not everyone is happy with the current situation. Privacy advocacy groups often express concerns that background checks will create unfair bias and discrimination against those who have made mistakes in the past, making it more difficult for these people to get jobs, qualify for financial assistance, or apply for certain certifications. Another concern is the growing problem of identity theft. With so much information readily available to just about anyone, it has become easier for identity thieves to build a solid cover after obtaining only one or two pieces of important information.
So how does this affect you? Though many people think they have a spotless record, very few actually take the time to look at their credit score or criminal history. Any number of causes, ranging from clerical error to deliberate and malicious actions, can result in a tainted reputation. Furthermore, the reality is that any imperfections in your background can come back to haunt you in the future. Employers may choose not to hire you because you have an arrest in your criminal history, even if you were never actually convicted of the crime.