According to one study conducted by the Society of Human Resource Management, nearly half of all applicants have inaccurate information on their resumes and nearly a third flat out lie about their experience or education. How do you filter out these types and what should you look for when evaluating who to hire? Many employers are turning to social media for background screening purposes. But be wary because there are several risks and laws associated with using social media for background checks. Social media can be an excellent way to further qualify candidates and verify information, but you must follow best practices and stay up-to-date with the latest laws and regulations. The following slideshare will: - Help you determine whether or not you should hire a firm to conduct background checks. - Explain the laws behind using social media for hiring. - Offer some best practices and tips for using social media in conjunction with traditional background checks. Read more: http://www.business.com/background-checks/navigating-the-risks-and-rewards-of-using-social-media-for-background-checks/

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Navigating the Risks and Rewards of Using Social Media for Background Checks

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Table of Contents
Should you hire a firm to conduct background checks? ............................................................................................................ 3
Social media goes beyond the resume ............................................................................................................................................. 4
The laws behind using social media for hiring ............................................................................................................................... 4
Best practices for using social media in conjunction with background checks ................................................................ 5
The bottom line ........................................................................................................................................................................................... 6

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In a recent survey, it was found that 77 percent of companies used social networking sites to recruit candidates, up from 56 percent in 2011 and 34 percent in 2008.
-SHRM survey
Introduction
Using social media to screen job applicants is on the rise.
According to a recent study conducted by the Society of Human Resource Management1, nearly half of all applicants have inaccurate information on their resumes and a third flat-out lie about their experience or education. As a business owner, how do you filter out these types and what should you look for when evaluating who to hire?
Along with using a traditional background screening company, social media can help you verify basic statements and employment qualifications found on a typical resume. According to HireRight’s 2014 Annual Employment Screening Benchmarking Report, 20% of employees are using social media for background screening purposes. But be wary because there are various risks and laws associated with using social media. When using these platforms to further qualify candidates, follow best practices and make sure you stay up to date with the latest laws and regulations around it. Here are a few items you can use social media, some guidelines, and other best practices.
Should you hire a firm to conduct background checks?
You can perform applicant background checks yourself, or you may choose to contact a firm that specializes in background checks. According to a study2, 80% of companies have used an outside firm to conduct applicant background checks. These firms offer a variety of packages according to need, and a social media check has now become a standard addition to these packages. Public profiles on social media platforms can be used to cross-reference employment information such as name, place of residence, employers, and education.
Social media can also reveal personal information such as gender, orientation, religious opinions, political views, race, or age, but you cannot make a hiring decision based on anything other than candidate qualifications. The best defense against a potential lawsuit is a clearly written policy against such hiring practices. For good measure, companies should also have a statement on their job postings or websites that they are an equal opportunity employer.
Whether you are doing the investigation or you have hired a firm to do it for you, NEVER make an employment decision based solely on the information found on social media profiles. You are leaving yourself open to serious liability if you do.
1 http://www.statisticbrain.com/resume-falsification-statistics/
2 http://www.statisticbrain.com/resume-falsification-statistics/

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54% of recruiters had a negative reaction to grammar and spelling mistakes, compared to 47% of recruiters negative reaction to alcohol references.
-Jobvite Social Recruiting Survey
Social media goes beyond the resume
You want to know whom you are hiring, you want to make sure they are qualified, and you want as much information as possible about everything related to their ability to succeed in the job you are offering. To thoroughly vet candidate qualifications, here are a few things companies can use social media to check for:
Identify the skills of the applicant
If the applicant has written blogs or articles and posted them on a public social profile, the hiring firm can look at the work directly and confirm skills and knowledge of the applicant.
Verification of employment history
Although a typical resume covers the history of the applicant, from academics to professional experiences, this information no longer lives in a vacuum. Social profiles can provide verification of stated employment history.
Confirm references
A social media check can include cross-referencing resume items such as references with a candidate’s social profiles, stated qualifications, and connections to current and past colleagues, as well as skill endorsements and organizations served. If any of the information you find is unclear, it can be confirmed using traditional methods.
Social media screening and the traditional background check processes
Recruiting firms can use publicly available data on social media channels to evaluate candidates on a surface level, but it cannot supplement the traditional methods of background screening. Verifying public records – including federal, state and even criminal records – is one traditional method recruiting firms use to get details about the applicant. Companies should have a set of defined policies that will guide recruitment teams screening applicants using social media, as well as traditional methods. This dual approach in screening candidates will help avoid legal risks.
The laws behind using social media for hiring
As social media platforms are playing an increasingly crucial role in the background check process, employers may unknowingly expose themselves to risk by breaching the Data Protection Act. To avoid any kind of potential legal issue, businesses must understand the federal and state laws before conducting such checks.

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57 percent do not have any kind of policy: formal or informal - on using social networking sites to screen candidates.
-SHRM survey
Are hiring firms supposed to use the data available on social tools?
Organizations should be aware of the Federal Fair Credit Reporting Act (FCRA), a federal law that sets the standards for background checks and applies whenever a background check process is executed. According to the FCRA, a background check is a consumer report, and the employer must notify the applicant, in writing, and get written consent before getting this consumer report. In the case that an employer decides not to hire an applicant, then it is mandatory for the company to share the pre-adverse action disclosure, which includes a copy of the report and a copy of the applicant’s rights.
The Personal Information Protection Act applies to the collection, storage, and disclosure of an applicant’s personal information. There are also some guidelines published by the privacy commissioner to make employers’ decisions on background checks clearer. It starts with a very simple notice that all information gathered about the applicant is subject to privacy laws.
There should be consistency in screening candidates; the same process should be applied for the same job openings. There should be a clear link between the requirement of a job and the background check process used. Inconsistency in using social media for the background check might lead to legal issues. Many states have already passed and some are considering laws that stop an employer from asking an applicant to hand over social profile credentials. For more details on state laws for social media password protection, visit Social Media Password Protection and Privacy.
Best practices for using social media in conjunction with background checks
Social media platforms may be a great tool for quick and easy verification of employment information, but it is a fact that every tool comes with the bad as well as the good. Here are some of the dos and don'ts of using social media tools in conjunction with a traditional background check.
Do’s:
• Ensure that the applicant is made aware of the social media screening process in advance.
• Procure a written consent from the applicant regarding the
methods of performing background check processes.
• Hire a third-party background check company to research applicants. This may cut costs, and will reduce the executive hiring burden.
• Document the guidelines and define policies for managing and interpreting the information collected from social media.
• Conduct a social media check at the end of the hiring process, along with traditional background check elements.
• Any background check using social media platforms should scrutinize only public profile information.

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51 percent of employers who research job candidates on social media said they’ve found content that caused them to not hire a candidate, up from 43 percent in 2013 and 34 percent in 2012.
-CareerBuilder
20% of the responded in a survey reported it takes less time to hire when using social recruiting.
-Jobvite Social Recruiting Survey
Don’ts:
• Don’t make the final decision regarding the recruitment of
an applicant solely dependent on information from social
sites; undertake a comprehensive investigation before taking
any action.
• Never ask applicants for usernames or passwords. It is an
illegal act in most states.
• Never ignore the legalities related to background checks; the
Personal Information Protection Act is of particular
importance to recruiters.
• Don’t have managers execute background checks – use a
third party or the HR department.
• Never preserve a background screening report for longer
than is mentioned in the Data Protection Act.
• Don’t use social media platforms inconsistently; i.e., don’t use different patterns for different employees or prospects. Inconsistency might lead to legal problems and discrimination.
The bottom line
Although traditional methods of performing a background check may be strong enough to screen applicants, social tools can play an important supporting role in this process. By ensuring that the risks and requirements are handled properly, and policies are defined, social media can help you hire your next all-star employee.