What purpose do reference checks serve if candidates only provide glowing references? How can you deal with slow-to-respond referees, or referees that don’t share the truth due to legal implications? Despite these challenges, reference checks are still a crucial part of any recruitment process. Overcome these problems by asking the right questions and taking advantage of technological solutions.
Have you found the perfect candidate with a PhD, twenty years of experience, and speaks three languages… only to discover they lied on their resume? Well, maybe you haven’t to quite such extremes. But according to Riia O’Donnell reporting for HR Dive, more than 85% of candidates embellish their resumes in some way.
“Resume exaggerations can range from fudged employment dates or titles (perhaps designed to bypass a company’s ATS filters) to unearned educational credentials or omitted criminal convictions.”
It makes sense then, that reference checks would be the answer. However, approximately half of hiring managers don’t proceed with checks. Why? Reasons range from assumptions that candidates only supply positive references, to the frustration of delaying your hiring process due to slow-to-respond referees.
The good news is, there are some creative solutions to overcome these challenges, because reference checks are and should be a crucial part of your hiring strategy
Why are reference checks important?
- They confirm your candidate worked at the organisation during the time frame. “Yes, references are still worth your time… Even if the only data you receive is a confirmation of employment dates, that at least tells you that the candidate worked at the company.”
- They can help you identify soft skills. They can also help you identify soft skills to ensure they are a good cultural fit for your organisation. You may have better luck with candidates from smaller to midsize organisations, as they tend to have a closer-knit culture and may be more willing to share information. Information gathered should be quantitive, so ask questions with the qualifier: “Can you tell me about a time when….”
- They can save you time in the long run. While they can be time-consuming, doing your due diligence could potentially save you time and resources in the long run by saving you from a potential hiring mistake.
Reference checks are still a valuable part of the recruitment process. If you’re looking to make the best use of your time and resources, conduct reference checks during the final stages of the hiring process.
How to obtain the truth from candidates and referees
Some referees may decline to provide a reference if it is an unfavourable one, due to legal implications (see caution below), and provide a statement of service instead. A statement of service outlines their previous employee’s start and completion date, and sometimes their position title. It may include their reason for termination or leaving, and the duties they were responsible for, but it does not include details about their performance in the role.
So, how can you obtain the truth from referees?
HR Dive reports, “As litigation-shy HR departments are loathe to provide detail, it can help to simply ask whether the individual is eligible for rehire. ‘If a candidate is not eligible for rehire,’ she said, ‘that would be a major red flag perhaps requiring some deeper digging.’”
On the flip side, it can be also difficult to obtain truthful information from candidates!
Candidates are smart enough to know not to speak poorly of their past employer, even if they were treated poorly or experienced bad conditions, as they may want to maintain professional relationships and avoid appearing bitter.
How can you distinguish these types of candidates from candidates who were released on unfavourable terms?
If candidates state they “weren’t a good fit”, dig deeper. Ask them, “Was it the role that was not a good fit for you, or the organisation?” Their answer may be telling and warrant further investigation. Use your best judgement.
A word of caution about reference checks
Lindy Alexander reporting for Seek Insights provides valuable tips from Kelly Godfrey, Principal Solicitor with Employment Lawyers Australia about the legal implications of reference checks. Godfrey explains that unsuccessful candidates are entitled to obtain referee reports, and referees who provide bad references must have evidence to support their claims.
“If the prospective employer has obtained referee reports for the unsuccessful job applicant, then [under the Privacy Act] the applicant is entitled to access those referee reports … If you decide to provide a reference, good or bad, to reduce the legal risks involved, you should ensure that there is objective evidence to support the statements you make.”
So, advice for referees: it is best not to give negative references. Use quantitative feedback only, instead of behavioural traits, and have examples to back up your statements.
A creative technological solution
Have you considered utilising automation? Certain service providers facilitate anonymous reference checks sent via email. This could potentially save you time, get more results within a faster time frame, and help you obtain more accurate responses.
HR Dive shares insights from Ray Bixler, president and CEO of SkillSurvey. “His company believes the answer is confidentiality. They provide confidential surveys that job applicant send to their referees, which must include a mix of supervisors and co-workers. ‘The reference request comes from the job seeker by email, which makes people more apt to open the email and respond.’ They’re told the former colleague or employee has signed a waiver allowing them to give information truthfully.
“Because the reference information is confidential, people are willing to provide them, Bixler said. And the surveys get at the soft skills problem: [referees] are asked to rank employees on things like professionalism, adaptability or anything else the client employer needs.”
Interestingly, this platform also tests the legitimacy of emails so candidates don’t cheat the system by using friends as references.
While these type of automated checks mean you can’t assess tone or ask follow-up questions due to anonymity, the time savings you could make might make it worthwhile. The majority of referees complete checks within a day and a half!
Reference checks: best practice
It is best to speak with your candidate’s previous manager or supervisor, as they will be able to provide you with the best insights about their performance, communication, and cultural fit.
However, allow flexibility for people not in the workforce long or who have gaps in their employment history (due to being a carer, or medical leave), and consider doing personal reference checks instead. Personal references are those who the candidate has not worked with, but can vouch for their values, characteristics, and personality.
Common courtesy dictates it is a good idea to inform your candidate that you are proceeding with reference checks to ensure they have notified their employer. (If they haven’t informed their current employer they are considering a new position, that could be awkward!)
Ask for quantitative examples to avoid dicey legal implications. For example, “Can you tell me about a time when [candidate] used their time-management skills to overcome a challenging situation?”
Do your due diligence and assess referees’ online presence and LinkedIn, and contact them on their work landline. Ensure they are who they say they are!
Reference checks are a crucial part of any recruitment process. Ask the right questions to gain the best insights from referees and candidates, while keeping the legal challenges in mind. Save time and increase the speed you receive feedback; consider using a technological reference-checking provider to distribute automated reference check email requests that maintain referees’ anonymity. Follow best practices by asking for qualitative examples and conducting due diligence on referees.
Could your reference-checking procedure be improved by any of these strategies? Let us know in the comments.
Source
How to make sure reference checks are worth the effort
Riia O’Donnell
HR Dive
What you need to know about reference checks
Lindy Alexander
Seek Insights