Giant Blog

Background screening in the era of talent scarcity

Written by Holly Spiers | Oct 14, 2022 9:30:00 AM

During a time of surging inflation and after a flood of pandemic-driven layoffs and furloughs, anyone would think workers would be readily available for jobs. But they’re not. In fact, organisations across the globe are faced with talent shortages. A recent survey conducted by KPMG UK highlighted that 70% of employers are faced with the challenge of hiring and retaining valuable resources. In recent times, the challenge to hire the right person for the job is growing increasingly tough. More HR professionals report difficulty recruiting for full-time regular positions in the last 12 months. In this environment, everyone wants to hire fast, and in some cases, the recruiters may choose to skip the background verification to speed up the recruitment process. However, in theory, background checks are designed to support your recruitment process.

“We have now achieved a robust screening process without impacting on the need to hire new employees speedily and match the needs of the business”

UK talent crisis

The employers are battling a quitter talent market. A study by SHRM revealed nearly 4 million workers resigned every month during 2021. In the UK, the pandemic and Brexit have reduced the number of overseas workers coming to the UK. That’s led to major shortages in industries from retail to information technology and even agriculture. The labour market economist at the Chartered Institute of Personnel and Development revealed during the early stage of the pandemic there were four unemployed people for every vacancy in the UK however, now the ratio is one for one.

There is a scarcity of candidates and a gush of vacancies. The competition in the job market is raging. Employers must be very careful when hiring. Any misstep can make them lose a valuable resource. In the candidate-driven job market, any hiring measure that is time-consuming, invasive, or laborious can have a serious impact on the employer’s ability to hire.

Background checks in the era of talent scarcity

The persistent talent shortage is making it difficult for employers to hire. Some businesses have opted to reduce hiring restrictions. According to research, 49% of the hirers are relaxing their restrictive hiring policies based on background screening. In the recent past, any negative discovery was enough to dismiss a candidate, however, some businesses now give the benefit of the doubt to the candidate and cannot afford to pass up the opportunity to acquire talent.

Many businesses have decided to re-evaluate the importance of background screening, but it is a crucial part of the hiring process that cannot be skipped. Conducting the basic screening only or ignoring background checks altogether can be a serious risk for your business. Background screening of all potential employees is necessary and acts as a risk-mitigating tool. For companies to be compliant and achieve maximum efficiency, confirming the credibility and past conduct of employees is essential.

A bad hire results in a loss of time, resources, and effort. With every bad hire comes a new cost of hiring a replacement. This can ultimately impact the company’s productivity and create a hindrance in achieving the company’s goals. Another risk of bad hiring is non-compliance with the company being exposed to the unwanted risk of fraud, theft, and defamation because of such hiring.

As employers look to hire and onboard more candidates, it’s not the time to skip background checks.

Instead of eliminating the background checks, it’s time to rethink background strategy and look for smart adjustments to facilitate more candidate and employee experiences.

Background checks are considered a preventive measure to ensure the integrity of the organisation and the safety of the employees. In today’s climate, the recruitment process takes place on online mediums. It can be difficult to make a hiring decision without meeting the candidate. There are candidates who may exaggerate certain skills and job experience to land themselves a job. However, background screening can support your hiring decision by verifying candidate details.

Along with this, employers need to understand the importance of a positive onboarding experience. The onboarding process is a strategic plan for any organisation to avoid employee turnover. A good onboarding strategy is more than paperwork, it is about embracing the new employees into the existing teams and delivering them all the necessary things even before their first day. When it comes to employee screening and onboarding your workers, you need a fast and flexible solution, so you do not lose talent, therefore companies outsource to Giant.

At the end of the day, your goal is to stand out as a preferred employer in today’s tight labour market. By making relevant changes to your background screening plan, your company can identify better ways to attract and retain talent. At Giant Screening, we are agile, expert, and always exploring the next generation of background checks. Get in touch today to discuss the many ways we can help you advance your business with our background checks.