Easy Steps to Work Background Screening into Your Company’s Budget

Easy Steps to Work Background Screening into Your Company’s Budget

One very important thing to think about is budgeting in background screening for new employees.

There are many things to consider when trying to work out a corporate budget:  Size of the company, growth potential, possible downsizing or merging, and more. One very important thing to think about is budgeting in background screening for new employees.  These screenings give you peace of mind knowing that you’re hiring the right people. Here are a few things to consider when working out a background screening budget for your company.

To start, ask these questions:

  • Is your company expected to grow or downsize?
  • Is there an existing background screening policy to better predict costs?
  • Are existing screening policies expected to change due to new federal, state, or industry regulations?
  • Has your company already calculated the risk of existing background screening or hiring policies and/ or already been taken to court over their policies or non-compliance?
  • Will you be hiring any international employees (typically cost more to screen)?

Calculate Turnover Rate

A company can replace up to 20% of its work force in a year.  You should budget for a 20% replacement, or more if your company is expecting to grow.

  1. Add up the number employee replacements, voluntary or involuntary, in the previous 12 months.
  2. For the turnover rate, divide the number of employee replacements by the total number of employees.
  3. To get the percentage of workforce turnover, multiply the turnover rate by 100.

Keep Background Screening Costs Low

Even if the background screening budget isn’t what you expected, there are still ways to keep these costs low.

  • Waterfall approach- Start out by running instant screenings. If those disqualify aby candidates, then you’ve saved time and money by not running a full screening.
  • Screen based on the position- Every position should have the minimum background screening, but some require more. Candidates who will be driving, making financial decisions, or providing security should have more in-depth screenings.
  • Volume discounts- If your employee turnover rate is particularly high, or if you will be doing a lot of hiring, some screening providers may offer a discount for purchasing a large volume of background screenings.

BACKGROUND SCREENING TO GIVE YOU THE BEST APPLICANTS

AIR Pre-Employment Screening Services is ready to provide you with quality tenant screening for all of your properties, including driving record screening, criminal records searching, drug testing, identity verification, and even screening personal and professional references. We have over 20 years of experience in our field and we pride ourselves on providing excellent customer service, incomparable accuracy, and quick reporting. For more information on our services, contact P.J. Davis at pjdavis@air-prehire.com, call 410-654-5665, or visit our website at http://www.air-prehire.com/. For more hiring tips and articles like this, follow us on FacebookTwitterPinterest, and Google+.

 

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