January 2022 Summaries

The 2022 State of the Worker Report reveals a significant shift in workforce dynamics, with nearly 7 in 10 US workers living paycheck to paycheck and 48% having lost an opportunity due to a criminal record. The report emphasizes that businesses must rethink their hiring and retention strategies to support employees' fundamental needs, particularly financial stability. With 64% of workers stressed about their finances and 68% living paycheck-to-paycheck, even high-income earners are affected. To address this, companies should adopt pay strategies that prioritize worker financial health, streamline hiring processes, and remove bias from background checks. The report highlights the need for businesses to become more candidate-centric, moving beyond traditional approaches to build a truly equitable operation.

Today, we are excited to announce that Denise Hemke is joining the Checkr Executive team as our Chief Product Officer. Denise will lead the product vision, roadmap and teams to deliver customer delight and innovation while advancing our mission of building a fairer future.` `Denise brings unique perspective and experience in analytics, product management, and DEI to expedite the future of the Checkr solution. She is a visionary and a strategist who joins Checkr at a critical time to improve product experience and harness growth. Denise has over 21 years of experience in product leadership roles, most recently as the GM of Analytics at Workday, where she scaled monthly report executions to 2B+, launched and matured several new products, and grew the Analytics business to over 1K customers.

When thinking about the future of work, several key factors come into play, including the importance of company culture and diversity, equity, and inclusion (DEI) in the workplace. According to experts, technology is increasingly being used to expedite DEI efforts, with companies leveraging data to find the right talent for hiring gaps. However, there are concerns that a purely data-driven approach can dehumanize the hiring process. Instead, recruiters and hiring managers should focus on building relationships and providing meaningful feedback to candidates. The interview process is also undergoing a transformation, with job requirements being mapped to skills rather than experience or pedigree. Furthermore, companies are looking to develop single-source-of-truth platforms to integrate their hiring data, utilizing API technology to bring disparate systems together for faster and more efficient hiring decisions. Ultimately, the future of work will require organizations that can test, iterate, and innovate in various aspects of the hiring process.

In recent years, numerous studies have shown a strong correlation between diversity in the workforce and business success, with diverse organizations experiencing higher employee performance and reduced turnover rates. Despite this, many organizations still struggle to create inclusive environments, with some employees feeling that their company does not prioritize diversity, equity, and inclusion (DEI). To address this issue, technology companies like Checkr are working to design tools and strategies that promote fair chance hiring and belonging in the workplace. Key lessons learned from experts include the importance of debiasing hiring technology, using software to reduce bias, and focusing on "underwater cultural drivers" of behaviors. Additionally, organizations must consider the business benefits of DEI, including increased productivity and profitability, and be willing to make investments in technology, policies, and systems to ensure long-term success. By adopting fair chance hiring strategies, companies can attract a more diverse talent pool, reduce turnover rates, and improve overall workplace belonging.

Background checks are a common practice in hiring processes, used by 94% of businesses to ensure a safe work environment and give all candidates a fair chance at available opportunities. Employers look for information that is relevant to the role they're trying to fill, including criminal records, employment history, education and credentials verification, driving records, credit checks, and social media presence. However, employers cannot access or use certain data, such as medical records, details of arrested charges, sealed or expunged records, political views, gender, sex, or sexual orientation, marital status, disabilities, or race or ethnicity. To prepare for a background check, candidates can gather their academic transcripts and work history records, review their online presence, and contact previous employers to ensure accuracy in the hiring process. Employers also use trusted third-party solutions to perform pre-employment checks, following laws and regulations that impact how they choose to complete these checks. With most background checks being completed in 24 hours, candidates can stay calm and confident during this process.

2021 was a challenging year for hiring and trust & safety teams due to the COVID-19 pandemic, which led to court closures and backlogs of screenings. The ongoing labor shortage and "Great Resignation" forced business leaders to reinvent structures and adapt to changing employee expectations. HR and compliance professionals had to innovate and optimize processes on the fly. Leveraging background check technology is crucial for scaling businesses, but it requires careful consideration of needs and gaps to find the best partner. Sharing insights with competitors can help everyone scale their workforce in an efficient and safe manner. The flexible workforce has grown exponentially, offering agility and scalability benefits. Companies must prioritize equity and fairness in their hiring processes, removing bias from the evaluation criteria. Embedding empathy into the hiring process is essential for building a diverse and engaged workforce. Ultimately, innovative solutions to business problems are key to success, and companies must be willing to learn from each other and adapt to changing circumstances.

The importance of diversity, equity, and inclusion in the workplace has become a crucial cultural conversation, with research highlighting that companies still have work to do to bring diversity and inclusion into their hiring practices. Many employees are unconvinced of their company's commitment to DEI in action, with 64% believing that their employer's stated priorities and values do not align. The gap between companies' stated commitments and employees' perception is significant, with 31% believing their company's hiring process may be prejudiced against certain populations. Fair chance hiring practices are one solution to advance DEI, as they can broaden and diversify the backgrounds of applicants and help companies acknowledge historical and current bias against certain groups. Employers need to set clear goals and plans for increasing diversity, increase internal communication around their DEI strategies, and allow candidates to provide context around charges and rehabilitation. By implementing fair chance hiring standards, allowing controlled hiring decisions, and auditing the hiring process for unconscious bias, employers can build effective DEI programs that improve productivity, financial performance, and employee satisfaction.

Creating a safe and comfortable environment for fair chance employees is crucial, including having a clear confidentiality policy that respects their privacy. Organized and consistent onboarding practices are also essential to help them integrate into company culture. Regular check-ins with HR or managers can provide continued support as they navigate their new role, while mentoring opportunities can improve acclimation and organizational diversity. Setting up specific HR policies to adapt to unique needs, such as accommodations for parole or probation, is necessary to ensure fair chance employees feel safe and supported. Empowering existing employees through education and transparency about the hiring process can help alleviate concerns and build a loyal workforce that values fair chance talent.