An Applicant Management System Helps Curtail Criminal Activity Pt.2

In part 1 of this series I discussed the value of an applicant management system not only for keeping hiring paperwork organized but also the value of the other parts of the hiring process. For example we looked at how retail shortage is climbing but despite this many employers are ending pre-employment background checks and drug screening. We established that there is evidence to suggest that those with prior convictions hired into retail positions have a greater tendency to steal than those without records. In part 2, I intend to delve into the issues surrounding substance abuse and why it is a concern that fewer retailers would be relying on this as part of their process for screening applicants.

If you missed the previous article you may not be clued into what I am referencing with respect to an applicant management system. Quite simply it is a program that has brought together all of pieces of a hiring process into one location. Many employers have their hiring process spread out amongst different functions. One computer has the application and an assessment tool. Paperwork is signed giving permission for the company to request a vendor to complete a criminal background check. Another waiver form is signed that allows the company to send the applicant to a contracted lab to complete a drug screening. Additional paperwork for the I-9 is signed verifying the candidate is eligible to work in the U.S. Let us not forget the forms for direct deposit, acknowledgement of receiving the company handbook and any other miscellaneous paperwork that has to be complete. All of this then goes into a file folder and stashed in a file cabinet. Then there is no guarantee the applicant will remember to bring back all of the papers they are to return with or the vendor mails documents and they get lost. Bill Bregar is the CEO of Loss Prevention Inc. and he is familiar with the headaches posed by mishandled files. That is the reason behind his company offering the applicant management system that will keep everything digitalized, up to and including electronic signatures for waivers for criminal background checks and drug screening. 

I have always been in favor of pre-employment drug testing. As long as I have been in Loss Prevention I have felt that hiring those who use illegal drugs, drink on the job or show up hungover pose safety and security risks. In spite of the years of experience I have I recognize that there are people who will not be swayed by opinion. With that in mind here is some information from a U.S. government website. According to the National Institute On Drug Abuse:

• Employers with successful drug-free workplace programs report improvements in morale and productivity and decreases in absenteeism, accidents, downtime, turnover and THEFT (emphasis added by this author).

• Employers with long-standing programs report better health status among employees and family members and reduced healthcare costs.

NIDA.”Drug Testing.” National Institute on Drug Abuse, 4 May. 2017

With this information it would seem that an employer, especially a retail owner would be more inclined to enforce pre-employment screening to prevent theft (and accidents) rather than shrink from it (no pun intended).

So why are there indications that there may be a trend of moving away from drug screening? According to an article in the money section of time.com, “Why More Employers Are Skipping Drug Tests”, by Rebecca Greenfield and Jennifer Kaplan/ Bloomberg March 7, 2018, the writers give two reasons that shed light on the issue. “Drug testing restricts the job pool, and in the current labor market, that’s having an impact on productivity and growth.” They go on a little further in the story, “Failed tests reached an all-time high in 2017, according to data from Quest Diagnostics Inc. That’s likely to get worse as more people partake in state-legalized cannabis.” For retailers I ask the question, is it in your interest to discontinue screening applicants for illegal drugs because the applicant pool is smaller in an improving economy? The increased risk of theft and fraud, not to mention safety risks and ensuing medical costs should dictate a resounding, “NO”.

The increase in retail shortage is cause for employers to put MORE emphasis on background checks and drug screening, not less. The use of an applicant management system improves the efficiency and ease of the process. Don’t allow concern over applicant availability outweigh your concerns over operating a profitable and safe business. You owe that to your current employees and yourself.

Drug screening is important and we can help you with it. Call 1.770.426.0547 and let’s talk. 

An Applicant Management System Helps Curtail Criminal Activity Pt.1

In 2017 retail shrinkage increased to an average of 1.44% from a rate of 1.38% in 2016 according to the National Retail Federation’s 2017 National Retail Security Survey (pg. 8). Shoplifting accounted for 36.5% of shortage and employee theft about 30% (a decrease from the 2016 rate of 35.8%) (pg. 8). Before I am ready to hoot and holler over the decrease in reported internal theft, I note that “administrative and paperwork” related shrink climbed from 16.8% in 2016 to 21.3% in 2017. I am a bit skeptical of the numbers since the decrease in internal theft is almost the same as the increase in administrative shortage. Even if the numbers are true it is disconcerting to think nearly a third of all store losses are due to dishonest employees. When a third of losses are caused by dishonest workers the question has to be asked, “Who are stores hiring?” The CEO and founder of Loss Prevention Systems Inc., Bill Bregar has apparently asked this question because his company has introduced an applicant management system as well as pre-employment screening and drug screening. It is the goal of Loss Prevention Systems Inc. to help stores reduce shrinkage. By assisting stores in their hiring practices, employee related criminal activity can be eliminated.
     

The applicant management system is a one-stop shop for tracking job applicants and potential candidates a store owner or manager may be interested in. Paper applications are a messy method for keeping records on candidates for new job postings. Papers get lost, placed in the wrong folders or left out on desks which can have security implications and are simply cumbersome to handle. An applicant management system is an online database that provides employers with the ability to conduct the handling of candidate profiles in a single location. For example, it can allow an employer to set up questions that will help weed out unqualified people from the job pool by their responses. Forms for applicants to sign such as an agreement to drug screening and background checks can be electronically signed and submitted. Email correspondence can be completed with specific candidates through the system. Having been involved with job searches and the requisite paperwork I know that there a numerous headaches that can be avoided with such a system in place.
     

I do not think it is coincidental that a number of categories listed in the survey under “Employee Integrity Screening” including drug screening and criminal conviction checks dropped in overall use by retail. According to those retailers that were surveyed:

• The use of criminal conviction checks dropped by 4.1%

• Businesses conducting drug screenings (laboratory) were lower by 15.1%

• Driving history checks went down by 13.1%

• Those using pre-employment honesty testing was lower by .5%It was interesting that categories of screenings that actually went up were:

• Verifications of employment history by 11.6%

• Education verifications increased by 7.9%It makes no sense to me that businesses would choose to decrease criminal background checks and drug screening of job candidates.
     

In an article “Should You Hire Someone With A Criminal Record?“ in Kellogg Insight, there was a cause for concern for retailers found by the authors of the study the article was based on. In a section of the article, “Trouble in Sales”, the writer notes, “The researchers saw no difference in customer service jobs. But when they examined sales positions, they found that employees with criminal records had a 28% higher risk of being terminated for misconduct than coworkers without records.”  https://insight.kellogg.northwestern.edu/article/should-you-hire-someone-with-a-criminal-record   With the heightened risk of employee theft from those who have criminal backgrounds it would behoove retail owners to do MORE pre-employment screening not less. 
     

In part 2 of this article we will continue the discussion on the importance of using an applicant management system to not only stay organized but to ensure the best people are hired. Criminal history and drug use does play a role in the increase in shortage and profitability of stores. Managers and owners must understand the impact it has on the store as well as the reasons some retailers are moving away from drug testing and pre-employment screening. In the meantime, know that having the right people on staff makes a big difference in store productivity and sales.

Get more information on an applicant management system, contact us or call 1.770.426.0547 today.

EMPLOYEE BACKGROUND CHECKS ARE A CRITICAL PIECE OF ANY COMPANY’S HIRING PROCESS, PERIOD

It should be mandatory to conduct a pre-employment screening to improve profitability and reduce employee turnover. As a Loss Prevention manager, you see daily situations that prove why employee background checks are worth the time and expense! I catch an estimated 120 shoplifters per year. The majority of them have jobs, and many of those jobs are in retail. Do you think they are only stealing from others stores and not their own jobs? Of course not. 40 percent of the shoplifters had at least 1 prior arrest history with convictions. But yet they are getting jobs left and right without anyone knowing. You would not trust a stranger in your house with your property? Of course not. But we invest so much time in our own stores, and 1 person can wipe us out by stealing, draining profits right under our noses. This causes everyone’s hard work and sales to turn directly into shrink for the company. Applicants do not always tell “all”. They will always say they are honest and trustworthy because they want the job. Instead of just trusting, why not know? Employee background checks are cost effective and will give you that peace of mind. Prevention of a bad situation is way less expensive than fixing a bad hiring decision. I’ve watched this many times with my own eyes, closing out our high dollar employee theft investigations each year. 
         

I was once working at a retail location and had an employee who everyone knew and appreciated. The employee had a vibrant personality and everyone really respected her. She was well liked by everyone, including the management team. One Friday evening, I was scanning CCTV looking for shoplifters. It was a slow night and not many people were in the store. I barely saw in the corner of my camera view, the associate really looking through our fragrance bottles. I wouldn’t normally think anything of it, because associates here love to shop on their breaks. However, something was different! The amazing associate that everyone adored, just selected 4 bottles of our very high end fragrance. I decided to do a surveillance to see what was going on. It ran through my head that they could possibly be on clearance, but I could only find out by continuing to watch. Next, she grabs a shirt off of the sales floor, and quickly covers all the bottles of fragrance. Now my stomach turned completely. The vibrant associate was behaving just like s shoplifter!  She went to a fitting room with the items, returning with nothing but the shirt and now a shopping bag that she did not have before. I could see the fragrance through the bag, and verified it was not left behind in the fitting room. At the end of the night, she left our store with the stolen merchandise. I apprehended her and had many questions for her to answer. She explained she had been stealing items for the past 2 years, around once a week. I asked her why? Her best explanation was “no one would think anything of me”, and “I thought it was easy”. A well liked employee everyone trusts may not be who they say they are. When we reviewed her file to terminate her in the system, I noticed she did not have an employee background check completed. I didn’t understand why we would not have completed one. Human Resources explained to me that they do not complete a pre-employment screening on the people they hire during the holidays. The well liked employee who has been robbing us blind was a convicted criminal with several prior thefts. 
         

I completed an interview on the employee right before we prosecuted her. She admitted to stealing close to $14,000 from us in the short 2 years she worked there. Although we were happy to prosecute and get a thief out of our building, it shows how much money can walk out of your store in a short period of time. We could have stopped this from happening by a quick pre-employment screening before hand. This was just from 1 person, which makes you think about all of the other people we hired during the holidays??? Employee background checks are inexpensive and give you peace of mind knowing what type of person you are hiring. This can ensure that you are not hiring a person who is dangerous, untrustworthy, or just not a suitable fit for your business!

For more information about Employee Background Checks, contact us or call 1.770.426.0547.                                                        

Don’t Feel Regret Over A Hiring Mistake – Use Pre-Employment Screening

As an employer, have you ever been in a position where you had an employee who you wished you could turn back the clock on and have them undergo a pre-employment screening? This was a situation I was faced with when I had a member of my team cause me continual headaches. I was a Loss Prevention Manager and had several staff members working for me at any given time. I had an opening to fill and I wanted to give a team member from another department a second chance. The backstory is this particular employee was considered a problem performer and the manager of the department always complained about his work and attendance but never addressed the problem. After several months of listening to the same griping but no corrective action I offered to take the worker onto my team. I said he would either perform and I would develop him or if need be I would follow the proper corrective action steps and fire him. The department manager was more than happy to be rid of his problem and the employee agreed to try something new in L.P. I was cautiously optimistic I could turn him around. This brings me back to the point where I wished I could be sure a thorough drug screening and background investigation had been done before this guy was hired. 
     

Drug screening and background investigation may be terms some of you have heard about but are not completely educated on. Drug screening is a process normally done in the controlled environment of a lab to make sure that collected samples are not tampered with. Mouth swabs, urine tests or blood testing are the most common forms of measurement and can be used for looking for a variety of illegal drugs in a person’s system. Employers may use the results of these tests to disqualify an applicant from consideration for a job. A background investigation is a look into an applicant’s personal history. Investigations may be tailored to an employer’s specific search criteria and may include criminal history checks, education and work history, credit history and prior places of residence. The information obtained by a professional investigator can reveal if an applicant has lied on their application or attempted to cover up their past. Some people move frequently to avoid creditors or law enforcement officials. Other people will lie about the level of education they have obtained or where they attended school in order to try to get a job. The key to a successful pre-employment screening is having a company that has experience in the field to conduct those screenings.
     

The problem I faced with my new employee was that I suspected he was coming to work under the influence of something but I never had enough evidence to require him to take a random drug test. If he was not under the influence, he could possibly have been using substances the night before and had the residual effects in his system. This employee had been hired during our seasonal employment phase and the speed with which we rushed these candidates through I did not believe a proper screening of every person could be completed (Hint: give yourself plenty of time leading up to holidays for seasonal hiring). I had started documenting conversations about my employee’s attendance and performance. I had at least one corrective action form on file for him. Then over the course of two days my problem performer no-call/no showed and a third time would be an automatic termination of employment. On the third day I received a call from the employee’s girlfriend telling me he was in jail and couldn’t call in. I stood by our policy that the employee had to call in unless they were in the hospital or incapacitated. On day four the employee called and gave me a song and dance about how he had been a passenger in a friend’s car and the friend was stopped and marijuana was found so they both went to jail. Of course the employee was totally innocent and had no knowledge of the drugs. Regardless, three no call/no shows and I was rid of my problem. I believe in trying to give people a chance to improve but this guy blew it. Had a proper background check and drug screening been done before he was hired I don’t believe he would have been working for the store in the first place.
     

Employers, save a lot of time and effort use Loss Prevention Systems Inc. for pre-employment screening that includes testing for drugs and a background investigation. Screen out problem performers before they can get a foot in your door.

Pre-employment screening is important and we can help you with it. Call 1.770.426.0547 and let’s talk.
     

Prevent Violence In The Workplace With Pre-Employment Screening

Violence in the workplace seems to be a growing concern so it is important to take steps to make the job site as safe as possible and it may include pre-employment drug screening. Having worked in the U.S. Air Force as a Law Enforcement Specialist and in Retail Loss Prevention as an associate and a manager for about 17 years I have been witness to violence in the workplace. I have encountered criminals who were under the influence of drugs and/or alcohol. I have had to contend with employees who were suspected to be under the influence of alcohol, drugs and even prescription narcotics. I have partnered with human resources on incidents in which an employee was involved in an accident with equipment (fortunately no one was injured in that situation). Retail can be difficult enough with encounters between staff and customers that may get heated; add alcohol or drugs to the mix and it can get explosive. While retailers can’t control the state in which customers enter the building they can control their staff members to a certain extent.  Drug testing is one way that an owner or manager can minimize the chance that the people they hire will not be under the influence while working in a business.
     

Pre-employment drug screening is completed during the interview/hiring process of a prospective worker. The applicant completes all of the usual paperwork and if they become a top candidate for a job the employer can require a drug testing. This is usually done through a third-party and at a testing site that specializes in obtaining a sample from the candidate and securing it so it can’t be tampered with by anyone. The sample is tested and results shared with the employer. When results show there are drugs in the system of the candidate the employer can choose not to hire the person. This process of eliminating job seekers who present a potential risk through their drug activities can save an owner a lot of grief in the future. Loss Prevention Systems Inc. (LPSI) CEO, Bill Bregar determined that the risk posed by intoxicated employees to customers, co-workers and themselves is significant enough that he wanted to help retailers reduce their risk-exposure by offering drug testing through his company. Profitable stores require a combination of increased sales, theft reduction and reduction in accidents. Providing pre-employment drug screening is another tool LPSI has added to its’ arsenal to help business owners become successful.
     

If you don’t think there is a need to check out your job candidates before hiring them through pre-employment drug screening (not to mention background checks also offered by LPSI) here are a couple of news stories I would like you to read:

• From darientimes.com, Jan 3, 2018, by Kevin Webb, “Darien Whole Foods employee charged with assaulting disabled coworker and customer”. According to the story the employee was accused of assaulting two other employees. Police reported he was combative, acting erratically and screaming incoherently. He later admitted he had been using marijuana laced with PCP.

• From the bostonglobe.com, Jan. 2, 2018 by Travis Andersen, “Construction worker charged with assaulting colleague at Copley job site”, “A 56 year-old construction worker will head to court on Wednesday to face charges of assaulting a co-worker who might have been intoxicated at a Boston job site in May…”

• Jun 16, 2017 in enterprisepub.com, “Police: Carnival employee hits co-worker with a hatchet”, by Leanna Ellis. The article reports that the victim who was intoxicated was attacked by a co-worker with a hatchet. The co-worker was believed to be intoxicated also. They were fighting over a $5 debt.

Drugs and alcohol don’t have any place within your company. They can lead to verbal abuse, physical and even sexual assaults. Allowing someone to work for you who may have a drug or alcohol addiction is only opening yourself up to problems. 
     

In addition to the potential fighting and assaults that can transpire have you thought about the possible accidents that can happen? I recall an employee who almost fell from a ladder and we had to take him for a drug test. That’s right, you can’t allow someone you suspect of being intoxicated to drive themselves to a testing site or home. If they are under the influence and get in an accident you become liable in the incident. If that employee had been injured we could have been liable in that situation as well.
     

While running post-accident and random drug testing is helpful in trying to minimize your liability in matters involving alcohol and drugs pre-employment drug screening is your best option. Prevent problems before they can poison your establishment. You can save a lot of time, money and headaches in the process.

For more information about pre-employment drug screening contact us or call 1.770.426.0547