Should we conduct a referance check?

When I worked in Human Resources, I previously worked for a company that did reference checks. It essentially worked like we asked for three references and would call them and get statements. We didn’t do any verification to prove that the person on the other end was the person they said they were. As far as I knew the number, they gave me for their former boss could have been a friend or family member. The references were generally good until one day.

This individual has three references and the first two were fine. However, the third reference wasn’t good at all. The individual who answered the phone seemed slightly annoyed to be getting the call and said that if the job was too technical the person wouldn’t be able to do it. They struggled in their previous role because it was too technical without giving much detail of what that meant.  I was confused about what to do because this individual had already been offered the job and were we going to rescind the offer over one out of three people not having the best things to say? In the end, we saved it to the employee’s file like all the other references and moved on.  I’m glad the individual was still able to get hired but it did leave me wondering what then the point of the reference checks was anyway.

Many employers still do reference checks as part of the hiring process. Reference checks can provide valuable information about a candidate's work history, performance, and potential fit for the company. However, the importance and weight given to reference checks can vary from employer to employer and may depend on the job and the company's recruitment process.

Some employers may rely heavily on reference checks and consider them a crucial part of the hiring process, while others may place less emphasis on them. Some employers may choose to only check references for final candidates, while others may check references for all applicants.

It's worth noting that the use of reference checks may vary depending on the industry and the specific job. Some industries and jobs may place a greater emphasis on reference checks than others. Additionally, the COVID-19 pandemic may have led to some employers relying more on other forms of assessment, such as virtual interviews and online assessments, rather than reference checks.’’

There are several potential problems with employer reference checks that can arise:

1.    Inaccurate or biased information: The information provided in a reference check may not be accurate or may be biased. For example, the reference may not have all the relevant information about the candidate's performance or may have a personal bias against the candidate.

2.    Legal issues: There are strict laws governing what information an employer can and cannot disclose about a former employee. If an employer inadvertently discloses confidential or protected information, it could lead to legal issues.

3.    Time and resources: Conducting reference checks can be time-consuming and resource-intensive, particularly if the employer is checking references for a large number of candidates.

4.    Difficult to contact references: It can be difficult to get in touch with the references provided by a candidate, particularly if they are no longer with the company or are not available to speak on the phone.

5.    Limited information: Even if the employer can get in touch with the references, the information provided may be limited. The reference may not want to disclose too much information or may not have all the relevant information about the candidate's performance.

Personally, we wouldn’t recommend our clients utilize reference checks, but we understand they still had an important role in some hiring processes. Before adding it to your hiring process I would recommend you ask yourself what you will do if you get a bad reference, refusal to answer and if there is any information that could make someone ineligible to hire.