Imagine someone accessing your personal information without your full knowledge. For many, that's the unsettling reality of traditional background checks. While these checks play a role in the hiring process, the fact that they often occur behind closed doors raises serious concerns about transparency and the potential for misuse of your data.
So how do you protect yourself from this reality? In this article, we'll explore why transparency matters, what laws safeguard your rights, what information is typically used, and what you can do if you have concerns.
The Problem With Screening "Behind Closed Doors”
Traditionally, background checks have often operated in a way that leaves candidates in the dark. You might fill out a job application, and then, without much further explanation, your information is sent off for verification.
Typically, what happens is that candidates receive vague notices about background checks, with little detail about what information is being collected, from what sources, and how it will be used. This lack of transparency means you probably don’t have a clear understanding of who has access to your data or how it’s being shared, leaving you feeling disempowered in relation to your own information. You may not even receive a copy of your background check report or understand how it has influenced the hiring decision.
The traditional method of background checks can lead to several problems:
Potential for Errors: Inaccurate or outdated information in background check reports can unfairly disqualify candidates. Without transparency, it's harder for you to catch and correct these errors.
Risk of Misuse: Even with good intentions, employers might unintentionally misuse background check information, leading to biased or unfair hiring decisions.
Erosion of Trust: When the process feels opaque, it can damage trust between candidates and employers, creating a negative experience for everyone involved.
The Role of Lenders in Student Data Usage
Beyond employment verification, certain credential verification firms also play a significant role in student lending. These organizations partner with financial institutions to track student enrollment status, graduation dates, and even periods of inactivity. For lenders, access to this data is crucial, as it allows them to trigger loan repayments the moment a student leaves school, regardless of whether they have graduated or not.
This means that a student could be required to begin repaying their loans if they take a break from their studies or graduate without securing employment immediately. The issue lies in the lack of transparency surrounding these data-sharing agreements, with many students and graduates unaware that their academic records are being used in this way.
These data exchanges tend to prioritize financial institutions over the students themselves, creating a system where personal educational data is used for financial gain, rather than benefiting the students it pertains to.
Types of Information Used in Verification
Below are some common types of information that employers may verify.
Education Verification
Employers may verify your degrees, diplomas, and dates of attendance at educational institutions. Verification methods can vary, as some companies contact schools directly, while others use third-party databases that act as gatekeepers of student records.
Employment Verification
Employers may verify your previous employment history, including dates of employment and job titles. Verification may involve contacting former employers or checking payroll records. Again, direct contact with previous employers can provide more clarity and context.
Criminal Records
Employers are generally limited in how they can use criminal record information. The focus is usually on convictions, not arrests. Accuracy is crucial in criminal record checks, as errors can have devastating consequences.
Other Information
Depending on the job, employers may also verify licenses, certifications, or professional credentials.
Employers may not conduct all of these verifications, but you have the right to know what specific information they will check.
Know Your Rights
Fortunately, there are laws and regulations in place to protect your rights during the background check process. In the United States, the laws governing screening are addressed under the Fair Credit Reporting Act (FCRA). This federal law is designed to ensure accuracy, fairness, and privacy in the information used in "consumer reports," which often include background checks.
The FCRA provides you with several important rights, including:
Notice and Consent: Employers generally must notify you that they intend to conduct a background check and obtain your written consent.
Access to Reports: You have the right to request and receive a copy of your background check report.
Right to Dispute: If you find errors in your report, you have the right to dispute them and have them corrected.
If you are applying for jobs in the European Union, then GDPR (General Data Protection Regulation) applies. These regulations emphasize principles like data minimization (collecting only data absolutely necessary), purpose limitation (data can only be used for the specified purpose it was collected for), and data security (your data must be kept safe).
Many countries have their own data protection laws as well. When applying for a job internationally, be sure to look up the specific local regulations that may apply.
Addressing Concerns and Seeking Help
It's important to be proactive in protecting your rights and addressing any concerns you may have. If you come across an employer that is not being forthright about their background check process or you feel pressured to provide information you’re uncomfortable with, know that you have the right to ask questions and raise concerns.
You can address common concerns by asking your employer questions like:
"What type of background check will be conducted?" (e.g., education, employment, criminal records)
"What information will be verified as part of the background check?"
"Who will be conducting the background check?" (e.g., a third-party company, an internal HR team)
"How long will the background check process take?"
"Will this background check be conducted before or after a job offer?"
"Can I see a copy of the notice and consent form before signing it?"
"Will I be provided with a copy of the background check report?"
"How will my information be stored, and what security measures are in place to protect it?"
"Will you be using any automated decision-making or AI tools as part of the background check process?"
"What is the process for disputing any inaccuracies in the background check report?"
If you still are not comfortable with their answers, government agencies like the Federal Trade Commission in the U.S. can provide information and enforce regulations on these employers. Additionally, legal aid organizations may offer assistance if you need legal advice. Be sure to document your concerns and gather any relevant evidence.
Conclusion
Protecting your information during background checks and verification is crucial. By understanding your rights, being aware of potential issues like the lack of transparency, and knowing how to seek help, you can empower yourself in the job search process.
Fortunately, alternative solutions are emerging that give individuals control over their own credentials, ensuring a faster and more transparent verification process. Digital credentialing platforms, for example, allow graduates to manage their own records and share them securely with employers without unnecessary intermediaries.
These solutions help place individuals at the center of their own education verification processes, enabling them to take control of their information and streamline job placements. Remember, you have a right to fairness and transparency, and you should advocate for yourself to ensure your information is handled responsibly.
Chris Harper, CEO and Co-founder of ZippedScript, is a visionary entrepreneur with over a decade of leadership experience. Chris's entrepreneurial journey has been defined by innovation, ambition, and resilience. From launching his first business in his teens to leading ZippedScript's game-changing education verification platform, he has consistently turned bold ideas into thriving ventures.
ZippedScript verifies higher education claims globally and instantly. ZippedScript is changing the game in the background check industry by digitizing the education verification process, enabling employers to hire faster, and helping talented graduates from around the world get their dream jobs.
