Employment references - what value are they?

HI,

We issue approx 300 new contracts a month and generally request 2 references per new hire.  However, the response rate is only 19%, many references are factual only stating only the dates of employment.  6% of the 19% that responded were poor references. We have a 6 month probationary period where poor performers / attitude issues can be weeded out.

When considering how we could automate the reference process, we began to question the value of obtainng references versus the administrative chore it entails.  As I understand it, there is no legal reason in our business why we would have to obtain employment references. 

Interested to hear your views please.  Sounds couter intuitive but ..

Do you think references are necessary / provide valuable information?

Would you conisder not requesting references at all?

Is the administrative element justified when considering the value of the information gleaned?

Parents
  • Even tombstone references will provide verification of a person's history and confirmation of their bona fides. Also, some insurance policies require employers to obtain references on employees in order to indemnify them against the consequences of identity fraud or false qualifications.

    As Claire points out, if you find the administrative burden too much, you can always outsource, but I could never recommend not taking references.
Reply
  • Even tombstone references will provide verification of a person's history and confirmation of their bona fides. Also, some insurance policies require employers to obtain references on employees in order to indemnify them against the consequences of identity fraud or false qualifications.

    As Claire points out, if you find the administrative burden too much, you can always outsource, but I could never recommend not taking references.
Children
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