What to be aware of when completing a reference check
As an employer, there will undoubtedly come a time that you will be asked to provide a reference check for a previous employee to their potential new employer. If you have a standout employee with plenty of praise for them, then providing their reference check may seem like a doddle, but if you have an employee that parted on bad terms the reference check can be less than straightforward.
Why you should be careful completing a reference check
You have a duty of care to provide a truthful reference check to potential employers – but this may come at a price. Be aware that you run the risk of being sued for defamation if a negative reference that was given cannot be verified. A new employer can also claim against you if an employee who you gave a great reference for turns out to be less than satisfactory.
What can you do to protect yourself?
• You are under no obligation to provide a reference check for employees. If you wish to refrain from providing reference checks you may include a policy in your staff handbook stating this.
• If you are willing to provide reference checks you may adopt a policy to keep it brief and only divulge factual information, including:
- Dates of employment
- Job title
- Relationship to the candidate
- Final Salary
• If you are happy to provide a full reference check for an employee and answer behavioral questions regarding their work ethic, attitude, timekeeping etc. ensure that all the information you provide is factual and true.
When you adopt a reference check policy that best fits your business, the key then is to be consistent. What you do for one employee you must do for all. Inconsistency could leave you wide open to a discrimination claim from a disgruntled employee. Be sure to include the policy in your staff handbook and make all employees aware of it.
Also, see…Top Tips for Reference Check Questions
