November 1st, 2019 | Ken Schnee, General Manager, Hospitality

Risky Business: What a Bad Background Check Can Cost

The cornerstone of the hospitality industry is its people. Your employees are the face of your brand, and because they interact throughout the day with customers, you need to ensure that they will represent the company in the best possible way. Providing your customers with the level of service they have come to expect starts well before an employee is in front of them – it starts with a quality background check.

According to the World Travel and Tourism Council, tourism plays a major role in the global economy employing roughly one in 10 people. That’s a lot of employees and a lot of opportunities for risk. To counteract that risk, a background check that is customized for the hospitality industry can help create a safe and comfortable environment for both employees and guests. It’s also important to conduct a background check that goes beyond the bare minimum. More thorough checks can include a Social Security Number trace, DOJ National Sex Offender Public Website  check, and national, state, and county level criminal searches.

Toss Up Between Saving Time Or Money? You Can Save On Both!

While conducting comprehensive pre-hire checks is imperative for your business, should it be something you take on yourself? Cost is certainly something to consider, however, before you think a thorough background check is too expensive, think about the impact a negative workplace incident could have on your business. For this reason, more and more companies like yours are seeing the benefits of outsourcing this function while they concentrate on their core strengths. The biggest challenges companies face when conducting background checks internally are:

• Simplifying the candidate experience
• Cost of conducting a quality and accurate search
• Allocating enough staff to manage the process as well as receive consistent results

With these challenges, the idea of cutting corners can be tempting, especially with rising operating costs across the industry. However, background checks are not where you want to skimp. Lack of due diligence can leave you open to threats of theft, litigation, and damage to your brand’s reputation. The costs and losses associated with these threats can vary, with even small infractions adding up. A poor quality check can leave you exposed, and when a single employee can place the safety of other staff, guests, and the brand at risk – can you really afford not to protect your company from exposure?

To learn more about what makes a good background check and why quality matters, join us for our webinar Risky Business: What a Bad Background Check Can Cost on November 5 at 10AM ET.

Our speakers: Angela Preston, SVP and Counsel for Corporate Ethics and Compliance, and Chris Cassimus, VP of Product, Sterling.

Your key takeaways include:

• The full range of basic to in-depth background checks
• Areas of risk– from workplace safety to reputation
• How a quality background check can provide a foundation of trust and safety and may help mitigate risk

Click here to register today!

Sterling is not a law firm. This publication is for informational purposes only and nothing contained in it should be construed as legal advice. We expressly disclaim any warranty or responsibility for damages arising out this information. We encourage you to consult with legal counsel regarding your specific needs. We do not undertake any duty to update previously posted materials.