2011 Employment Trends- Are You Ready?

This week, the American Staffing Association published an article with the results of a survey recently completed by CareerBuilder which noted that more employers plan to add full time regular employees in 2011 than in 2010.

As all signs continue to point toward a slow, steady economic recovery, it is encouraging news for those looking for employment that more than half of employers are reporting that they are in a better financial position today than they were a year ago.  However, in a move that shows confidence in the economic recovery is still cautious, more than one-third of the hiring managers surveyed reported that their employee ranks would grow through the addition of temporary or contract workers, vs. hiring full time employees.  In addition, almost 40% plan to transition temporary or contract staff to full time positions.

People outside the background screening industry would likely assume this news would drive an automatic increase in business for screening firms like CARCO.  Unfortunately, this is not necessarily so, and often, to the detriment of the employers making these hiring decisions.  Employers often forgo the screening of temporary or contract workers, assuming their staffing firms have screened them, or that the expense to screen someone in which you are not fully vested is unnecessary.  And more likely than not, when these unscreened employees transition from temporary to full-time, it is an afterthought to screen them before extending the full time offer—they have not created a problem to date, they must be fine, right?

Wrong.  It is the role of the employer to protect their company and other employees—and this starts with the proper screening of any person who will work within your facility or have access to your employees and other clients’ assets, whether temporary or full time.

With the shift in the economy over the last five years, the number of positions being filled by temporary and contract workers has steadily increased, yet the use of screening services has declined, in all likelihood as a cost-cutting measure.  To understand the kind of consequences that can come with such a decision, visit http://www.carcogroup.com/resource-center-cms.php?product_id_sku=RC02 to read our White Paper The Importance of Accurately Screening Your Temp Workers.

So tell us—are you one of the fortunate employers who will be hiring in 2011?  And if so, will you be hiring full time staff, or starting more cautiously with temporary workers?  And more important—who, if anyone—will you be screening?

CARCO’s New White Paper – 2011 Hiring Trends

The economy is slowly making a turnaround from where it was in the last couple of years. Corporations – big and small – are not laying as many employees off and are, in fact, starting to hire again. The opportunity for new employment is a sign of what will hopefully be optimistic times. And yet when it comes to hiring new employees, corporations should be aware of certain pitfalls. For instance, running a credit check on a potential hire seems like a reasonable practice, but is it always justified by the position? Can hiring policies and practices be applied nationally – or are there specific state laws that need to be considered? These are but two of the many questions highlighting the importance of a corporation being well-versed in both state and federal law and all applicable regulations when it comes to hiring. Failure to have this awareness may lead to costly lawsuits, and even loss of goodwill and reputation. Corporations planning to hire should not let the burgeoning economic optimism lull them into a false sense of security. When it comes to navigating the ever changing myriad of state and federal requirements governing hiring, security can only be found by partnering with a firm that specializes in background screening.

CARCO has put together a white paper on what we believe are important trends that will continue to evolve the business of background screening in 2011. These topics include pending legislation, the role of social media in screening, the impact the increase in international applicants has on background screening, the on-boarding convergence, and the value of working with an accredited background screening company.

Click here and look under Latest News to dowload this free, informative white paper http://www.carcogroup.com

Reminder -Effective 1/3/2011 – State of Illinois Restricts Employers From Using Credit Reports for Employment Purposes

House Bill 4658 is the Employee Credit Privacy Act, under which Illinois’ employers may not use a person’s credit history to determine employment, recruiting, discharge or compensation.

The law forbids employers from inquiring about an applicant or employee’s credit history or obtaining a copy of their credit report. The law does not affect an employer’s ability to conduct a thorough background investigation that does not contain a credit history or report.

Employers who violate the new law can be subject to civil liability for damages or injunctive relief.

Under the new law, employers may access credit checks under limited circumstances, including positions that involve: bonding or security per state or federal law; unsupervised access to more than $2,500; signatory power over businesses assets of more than $100; management and control of the business; access to personal, financial or confidential information, trade secrets, or state or national security information.