References (not always) Available Upon Request
By Mark Rouse
Any properly conducted hiring process includes reference checks on the potential employee. But a good set of references is getting harder and harder to obtain.
Many corporations have implemented a “no-references” policy regarding former employees or suppliers and people are often reluctant to give references on an individual basis – especially if there is anything negative that might be said. In response, hiring managers are turning to other sources of information on candidates like Google, FaceBook, MySpace, and sometimes even police checks.
Here are some reference check considerations for today's hiring environment …
References aren't always positive
As Recruiters we are obligated, in our case contractually, to conduct formal reference checks on the candidates we recommend to our clients. And to be thorough, we often discretely check references from our own network in addition to the references provided by the candidate.
Contrary to popular opinion, we neither get, nor expect to get, consistently positive references from either source. In part this is due to the diligence with which we conduct our references. But it’s also because there’s no such thing as the perfect employee; someone with no room for improvement.
The function of the reference is therefore twofold: to uncover if there is anything that will decidedly prevent the person from succeeding at the new role; and to inform our clients where they need to bolster competency within the team surrounding the new hire.
Have a corporate reference policy
Because past performance is a strong indicator of future behavior, previous employers are obviously a good source of information - however many employers have now implemented a “no-references” policy.
These policies are put in place to mitigate risk; not only the risk of giving a negative reference but also the risk of giving a positive one (i.e. in the event a candidate who receives a positive reference from one company subsequently fails to perform or, at the extreme end of the spectrum, does something illegal or damaging to the new company). It is human nature to want to help a former colleague land a new job, but it’s also important to keep positive comments accurate and without exaggeration.
However, companies are more likely to get in trouble not from what they choose to say, but by applying a policy unevenly. Whatever the policy on references is, if it is not applied equally to everyone there may be a case for discrimination. Many companies are responding to this by centralizing all requests for references to HR. Unfortunately, this can result in information that is one level removed from those with whom a candidate worked most closely.
Is it illegal to provide negative references?
There is a common belief that providing a negative reference is illegal, or that it exposes the person or company providing the reference to litigation. This is not true, however any negative statement made dishonestly, or without proof of accuracy may be considered defamatory. And if defamation results in economic harm – like not being able to earn a living – then litigation could result.
That said you can certainly identify specific areas where a former employee was not meeting performance expectations and/or asked to improve in a standard Performance Evaluation. However you should avoid generic criticism like “Clients didn’t like him.” Whether your comments are positive or negative, choose what you say carefully, be specific, be accurate, and be honest.
Alternate sources of information: Google, Facebook, and more...
In response to these changing conditions, hiring managers are now turning to other sources of information to bolster their diligence on prospective candidates. It started predictably enough with Google™. A person’s employment and personal history, once online, are subject to easy search and investigation. This is a mixed blessing for everyone as it is quite difficult if not impossible to remove information from cyberspace. Whether dealing with a job posting site, a blog or pretty much anything in the online space, it’s important to understand once something is posted online, it’s there, cached by search engines and internet archives all over the world. It’s easy to predict that hiring managers would take advantage of online information sources.
While most social media sites like Facebook are unreadable by search engines, they are nonetheless providing their own type of informal reference information. This is a particularly sticky issue, because those posting their personal information on Facebook consider it just that; personal information. Many people use these sites as a tool for self-expression and to document what’s happening in their lives. Stories about wild weekend activities or posting of pictures in less-than-business attire and situations tend to be the norm. Not necessarily things one would include on a resume or want employers to see.
Conversely, many companies feel that using social networking sites as an informal reference check is fair game since the profile pages are public domain. Facebook’s Privacy Policy very clearly states that the posting of any information or images is at your own risk. Facebook provides privacy settings to restrict or allow public viewing of your profile to the extent of your choice. If someone has allowed their Facebook page to be viewable by anyone, they should anticipate that employers may look them up.
It isn’t an easy issue to address but two things are clear: people should be careful what they post and with their privacy settings; and employers should be careful with how they source and use information.
A simple guideline for social media users is this: if you wouldn’t include activities, associations and photos that you are posting with your resume, then either don’t post them or activate your privacy settings to restrict who sees them. Otherwise you have to assume that potential employers can and will see how you spend your off hours.
The guidelines for employers are a little more complex. First, you should read the “Privacy” and “Terms of Use” sections of any web site you are using to gather information. This will help you stay on the legal side of privacy legislation. Second, most social media site profiles will allow you to determine gender, ethnicity, and even approximate age. Keep clearly in mind that discriminatory hiring practices are illegal regardless of the source of information. And third, keep in mind that your potential new employee may view this type of referencing as an offensive invasion of privacy.
A police check? On me?
Perhaps the most serious reference check is the police check. This is quite simply a check to see if a candidate has been charged and/or convicted of a crime. For many companies, this check has become mandatory for any employee with access to sensitive information or financial authority. Police checks are now fairly common, but candidates are still shocked, and sometimes insulted, when asked to sign a release so a company may obtain one for them.
It pays to approach this request carefully and explain that this is only policy and is not a personal reproach. Police checks are now standard practice for anyone working with kids, even at a volunteer level. Boy Scouts for example require a police check for all their leaders. In the end, candidates with a clear record won’t have any problems. And those with a record of criminal activity most likely have more serious things to worry about than being offended by your request.
Also keep in mind that with more and more talented employees coming from outside Canada, a police check in Canada only covers past activities within Canada.
Challenging yes - but don't skip the references!
Any properly conducted hiring process includes reference checks. And although there's more information available about almost everyone than ever before, proper reference checks are getting ever more difficult to obtain. That said, don't skip this step. A good set of reference checks is critical when considering a new hire - and will inform not only your hiring decision but also how best to manage your new employee when they come on board. With proper research, an Internet connection and some respectful caution, it's still possible to obtain all the information you'll need.
A final word of advice: if you are hiring, always try to do at least 1-2 references yourself. The learning that comes from asking the right questions, probing, and listening diligently to the replies will be invaluable.
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As Director of IQ Partners’ Marketing Services Practice, Mark Rouse works in partnership with some of the brightest minds in the marketing communications and advertising industries.
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