Identity Verification

Employment Verification & Background Verification Process – What’s new

Employment Verification

What is the Background Verification process?​

Background verification involves gathering details about a candidate’s work history, criminal record, academic qualifications, and proof of residence. This step is critical in the lengthy and intricate process of hiring and onboarding. It means that applicants might experience a delay as employers thoroughly review their employment backgrounds. The transition from completing background checks to reaching a “good to hire” decision usually spans 3-5 days.

The landscape of remote work became standard in 2020, leading to an increase in online degrees. This shift resulted in numerous fake degrees from obscure international universities and certificate programs posing as full-time degrees.

As reported by EconomicTimes, the telecommunications sector witnessed the highest discrepancy rates in employee background checks in the first quarter of 2021. With the rise of remote supervision, companies are now more compelled to rigorously screen their employees.

Candidates might wonder why the verification process takes time, especially when they have nothing to hide. Yet, these checks typically require 3-5 days. For businesses, it’s a crucial step that shouldn’t be overlooked.

What all does background verification process include?

Human Resources may work in tandem with background verification agencies to authenticate a candidate’s credentials. This procedure usually spans three to ten days. However, companies might conduct an in-depth background investigation under special circumstances or when there are doubts. The process includes six primary aspects:

  1. Identity Verification: Identity Verification involves confirming a person’s identity through unique attributes and characteristics. In a digital and remote working context, identity theft is more common than one might think.
  2. Address Verification: This is to ascertain whether the applicant is a legitimate resident of the country and lives at the stated address. Efficient address verification helps mitigate fraud and safeguard the company.
  3. Court Record Check: Part of the comprehensive background check is examining court records. This reveals any relevant legal history of the candidate.
  4. Police Record Check: An essential part of the process, a police record check taps into local, regional, and national databases. It provides employers with critical information beyond just criminal records.
  5. Education Verification: Verifying educational qualifications is crucial due to the increase in fraudulent claims. This step ensures that the candidate possesses the necessary formal education.
  6. Employment Verification: This goes beyond a single step and includes the pre-employment screening process. It involves verifying the candidate’s job title, dates of employment, salary history, and job responsibilities. After passing the interview stages, an employer will usually perform a background check as a precautionary measure to ensure that all information provided is accurate and honest.

Importance of Background Verification

Investing in the selection and management of talent is crucial for ensuring that your organization not only fills positions effectively but also enhances overall workplace productivity. However, verifying the authenticity of a candidate’s claims on their résumé is essential. This is where conducting thorough background checks comes into play. Such checks are key to making informed hiring decisions, which in turn are beneficial for the business in the long run, elevating employee morale, and creating a secure work environment. This approach helps in steering clear of detrimental hires, allowing the team to concentrate on business growth and operational efficiency, and saves the time and resources that would otherwise be lost on unsuitable hires.

Recruiting the Ideal Candidates

Recruiting the right individuals is multifaceted. Primarily, it impacts the company’s productivity. Secondly, it enhances the organization’s reputation externally. Anyone dedicated to maintaining the utmost integrity is a significant asset to the company. This, however, can only be assured through a detailed background verification process.

Addressing “Negligent Hiring Lawsuits”

The legal term “negligent hiring” describes an employer’s responsibility for incidents caused by an employee, where the employer was or should have been aware of the potential risk posed by the employee. Employers who conduct comprehensive background checks are better positioned legally to defend themselves and may even prevent such situations from arising.

Reducing Losses from Theft, Fraud, and Workplace Violence

Issues such as employee theft, workplace violence, fraud, and forgery pose significant threats to a company’s professionalism and reputation. For example, cases of workplace violence escalated by 54% from 371 in 2014 to 570 in 2017, as reported by Legal Service India. While some of these issues might seem unavoidable, they can be substantially reduced through meticulous background verification of each employee.

Challenges of Background Verification

The pandemic of COVID-19 has dramatically altered our lives, presenting unique and unforeseeable challenges. It compels companies to adopt innovative approaches daily to enhance efficiency and minimize errors.

Screening Delays: The slowdown in processing by screening agencies, government entities, educational institutions, and labs forces companies to onboard employees prior to completing thorough background verifications. This poses risks to the company’s security and reputation. For example, a new employee with access to sensitive information may have a dubious history, discovered only after a comprehensive background check.

Remote Hiring Challenges: With the increase in remote working and hiring, crucial aspects are often overlooked. The lack of in-person interactions makes it challenging to assess a candidate’s credibility, slowing down the screening, interviewing, and documentation processes.

Verification Difficulties: The pandemic increases the risk for company staff conducting physical verification checks, potentially exposing them to the virus. Furthermore, people frequently changing residences adds to the complexity of address verification.

Criminal Record Checks: These are delayed mainly due to closures and limited staff availability. Such checks are essential for maintaining company security. The situation is compounded by some courts being closed or having restricted access to records.

Employment and Education Verification: The pandemic-induced closure of many companies has made it difficult to verify candidates’ employment histories. Additionally, remote operation of educational institutions hampers the verification of educational qualifications, leading to recruitment delays.

Police Clearance Issues: Obtaining police clearances faces significant delays, which can cause candidates to miss job opportunities. These delays are often due to inadequate technological infrastructure or logistical issues, compounded by the lack of centralized information repositories.

How background verification is done?


Background verification typically begins with companies contacting a candidate’s previous employer to verify the information provided. This includes checking the candidate’s details against records from their last company.

The process also involves examining public databases for any criminal records. Educational qualifications, such as degrees and certificates, are also verified.

Additionally, the verification process includes confirming the candidate’s residential address, which may involve physical inspection.

In India, however, there is no standardized approach to background verification, leading to some uncertainty in the process. Generally, larger private companies outsource this task to third-party agencies like IDcentral. In contrast, small and medium-sized businesses often rely on their HR teams to conduct these checks. Government organizations and Public Sector Units (PSUs) typically perform thorough background checks before extending a job offer.

Government Efforts in Background Verification to Prevent Fraud

The government is actively employing new methods to prevent fraudulent activities. Here’s an overview of the latest tools aiding companies in conducting thorough background checks:

  1. Aadhaar Verification: Leveraging biometric capabilities, Aadhaar has become a primary source for background verifications, offering comprehensive access to an individual’s information.
  2. National Academics Depository (NAD): This government initiative digitally archives educational records. It collaborates with numerous educational boards and institutions across India, providing authentic certification services.
  3. National Skills Registry (NSR): This is India’s largest database of working professionals, assisting companies in verifying the credentials of registered employees.

Beware, even if you don’t have a negative record yet.

Social Media Screening in Background Checks

Companies now extensively review social media profiles to gauge interests, activities, and affiliations, forming impressions based on your social media activities, like Tweets or LinkedIn posts.

Background checks target:

  • Inappropriate images, videos, or content.
  • Discriminatory remarks about race, gender, religion, etc.
  • Criminal activities.
  • Fabricated qualifications.
  • Defamatory or negative comments.
  • Misleading information about past employment.

Remember, a controversial photo on Facebook or a heated political tweet can influence hiring decisions. Today’s employers often reject candidates for online activities that don’t align with their values.

Legality of Background Checks in India

Background verifications are legal in India, though the process is somewhat vague due to the absence of specific governing rules.

  • Typically, employers should get consent for background checks, but many proceed without it.
  • Companies with ISO 27001 certification must conduct background screenings.
  • They are not permitted to access your medical, financial, or biometric data without your consent.
  • However, there are no legal restrictions on examining your social media presence.

Industry specific background verification requirement

According to Harvard Business Review, employee-related risks, known as ‘preventable risks’, originate from within an organization. These risks can be managed or eliminated through effective due diligence.

Every industry faces unique employee-related risks, such as unauthorized or unethical actions, which can affect operational efficiency. Mitigating these risks starts at the recruitment stage with tailored background checks.

Background checks are not one-size-fits-all. Different industries require specific checks based on the roles they hire for, making industry-specific verifications crucial for informed hiring decisions.

Banking and Financial Services Industry

In this sector, pre-employment criminal record checks are essential due to the sensitive nature of the financial and personal data handled by employees.

Healthcare Industry

The high demand for genuine healthcare professionals necessitates thorough background verifications to ensure they are well-trained and certified for patient care.

Pharmaceutical Industry

Like healthcare, the pharmaceutical industry requires employees who are genuine and qualified, as employers are liable for their actions. Background checks are vital, especially for roles involving significant responsibility.

Technology Industry

This diverse industry, encompassing sectors like automotive and AI, requires background checks due to the need for highly qualified candidates and the sensitivity of information involved.

Retail Industry

With extensive hiring, retail companies need to perform background checks to align employee goals with company values, particularly focusing on criminal history related to theft.

Education Industry

Educational institutions must ensure a safe environment for students, making background checks for faculty, including employment verification & certification Verification, crucial for hiring honest and qualified individuals.


What does BGV mean in the context of remote work? And how has technology transformed the BGV sector?

Inadequacies and obsolescence of traditional verification methods have led 32% of companies to adopt technological tools as a modern alternative for verification, according to EY. This underscores the role of digital transformation in reshaping employee background checks in today’s work environment.

Recent technological advances, especially in AI/ML, have empowered background verification firms to refine the BGV process, ensuring compliance with data privacy laws.

How does technology facilitate the automation of employee verification?

In an era where finding and retaining top talent is both dynamic and challenging, technology-driven solutions for Employment, Education, Address, Criminal, and Identity verifications are crafted for immediate verification and onboarding of employees. This approach significantly aids in risk mitigation specific to HR and accelerates business decision-making.

Our comprehensive onboarding documentation platform allows for a one-time upload of all documents and information, enabling continuous cross-referencing for various purposes by different stakeholders. Companies are increasingly accepting digitally signed documents, and the bulk of manual paperwork in employee verification has transitioned to a completely online format.

Background Check APIs

Insights into Background Check API Utilization

A Background Check API is an essential web service that simplifies and optimizes the pre-employment screening process for organizations. It allows seamless integration of background check capabilities into existing systems. This API facilitates the initiation and receipt of background check reports, monitors their progress, and handles the results within the organization’s software environment.

Advantages of Implementing a Background Check API

Adopting a Background Check API offers several advantages, including:

  • Increased Efficiency: Streamlines the background check procedure, reducing manual tasks and speeding up the process.
  • Enhanced Accuracy: Decreases the likelihood of errors through centralized data gathering and verification.
  • Customization Options: Adjusts the background check process to meet the specific needs and standards of your organization.
  • Scalability: Supports the growth of your background screening needs without additional complexity.

Selecting an Apt Background Check API Provider

The choice of the right API provider is vital for successful integration. Consider these key aspects when choosing a Background Check API provider:

  • Reputation: Opt for a provider with a solid reputation and positive feedback from customers.
  • Regulatory Compliance: Confirm that the provider complies with industry norms and possesses the required certifications.
  • Data Security: Check for stringent data security practices and protection protocols.
  • Customer Support: Select a provider offering timely and informed support for any issues or questions.

Essential Attributes of an Effective Background Check API

Look for these essential attributes in a top-notch Background Check API:

  1. In-Depth Reporting: Gain access to a comprehensive suite of background check services, such as identity verification, criminal records, employment history, and educational verification.
  2. Instantaneous Updates: Receive real-time notifications about the status of background checks, helping you to make informed decisions quickly.
  3. Seamless Integration: Ensure the API can be smoothly incorporated into your existing systems, regardless of the technology or programming language.
  4. Data Security: The API should strictly comply with data privacy laws to protect the confidentiality and security of sensitive information.

Guidelines for Integrating a Background Check API

Follow this detailed guide to incorporate a Background Check API into your system effectively:

  1. Identify Your Needs: Clearly specify the types of background checks your organization requires, including the exact data you need.
  2. Choose a Reliable Provider: Select a Background Check API provider that aligns with your needs for compliance, data security, and customer support.
  3. Acquire API Credentials: Register to receive an API key or token from your provider, which will allow secure access and the ability to make requests.
  4. Examine the API Documentation: Carefully review the provider’s documentation to understand the API’s endpoints, request options, and response formats. Learn the best practices for effective API usage.
  5. Implement and Test: Begin integrating the API into your system. Test each function to ensure it operates correctly and provides the necessary data.
  6. Continuous Monitoring and Improvement: Regularly check the integration’s performance and make necessary adjustments to improve its efficiency.
  7. Maintain Legal Compliance: Consistently review and update your background check procedures to comply with legal standards and industry regulations.


Delving into Various Background Check Verification APIs

This segment will cover a range of background check verification APIs, starting with an overview of the PAN card verification API.

PAN Card Verification API

A PAN (Permanent Account Number) card is a unique identifier issued to Indian taxpayers. The PAN card verification API allows entities to confirm the authenticity of an individual’s PAN card details, like their name, PAN number, and date of birth, by interfacing with the government’s database. This API is vital for confirming the accuracy and currentness of PAN data, crucial for preventing financial deception and aiding in the Know Your Customer (KYC) process.

Aadhaar Verification API

The Aadhaar Verification API offers a dependable and secure means for organizations to validate an individual’s identity through their Aadhaar number. This API supports biometric (such as fingerprint or face match) or demographic (like name, date of birth, or address) verification, adding an extra layer of security in confirming an individual’s identity.

Driver’s License Verification API

The Driver’s License Verification API is a tailored service enabling organizations to check an individual’s driver’s license details by accessing the government database. This API is crucial for verifying vital information such as the driver’s name, date of birth, license number, and the validity of the license. It is particularly important in sectors where driving qualifications are key, including transportation, logistics, and on-demand services.

Integrating a Background Check API

Integrating a Background Check API involves embedding a sophisticated Background Check system into an existing organizational framework or software. This integration allows companies to efficiently request, monitor, and manage detailed background check reports directly within their own platforms. It streamlines the pre-employment vetting process, significantly improving the effectiveness, accuracy, and adherence to regulatory standards.

Adhering to Compliance and Security Standards

The implementation of a Background Check API necessitates rigorous compliance with legal and security norms. Here are key steps to ensure adherence:

  • Abide by Legal Requirements: Be knowledgeable about and compliant with the local, national, and international laws governing background checks.
  • Secure Sensitive Data: Employ stringent security protocols to protect personal data, including encryption, controlled access, and periodic security evaluations.
  • Secure Consent: Legally, obtain written permission from applicants before starting a background check.
  • Keep Abreast of Changes: Regularly update your knowledge on legal changes and industry best practices to maintain compliance and secure confidential information.


Common Questions and Answers about Employment Background Checks

What Does Employment Background Verification Entail?

Background verification is a process employed by organizations to confirm the integrity of a potential employee’s records. This often involves checking the candidate’s employment history, financial records, and criminal background once they are considered for a position. This verification step assists employers in confirming the candidate’s legitimacy, thereby enhancing their prospects of being hired.

What are the Six Key Types of Background Checks for New Employees?

The six primary and crucial types of background checks for new employees include:

    • Employment History: This is checked to avoid hiring individuals who may bring liabilities from past employers.
    • Criminal Record: Ensuring the candidate does not negatively impact the company’s reputation or pose a safety risk.
    • Credit Score: Assessing the candidate’s financial stability and history of financial fraud or embezzlement, if any.
    • Reference Checks: Verifying the candidate’s authenticity and character through known associates.
    • Social Media Screening: Confirming the candidate’s appropriate social background.
    • Drug Testing: Ensuring the candidate is free from illegal substances.

What is the Background Verification Process?

The background verification process involves the employer or HR team reviewing various records of a candidate as a final screening step before employment. This includes examining professional, criminal, and personal records to ascertain the candidate’s background and authenticity.

What Could Cause a Candidate to Fail a Background Check?

Several factors can lead to a failed background check, such as:

    • Mismatched qualifications (related to job experience or education)
    • Criminal history
    • Poor credit score or financial instability
    • Inaccurate employment history
    • Positive drug test

Can Employment Be Denied Based on a Background Check?

Yes, an employer can deny employment based on the results of a background check. However, this requires comprehensive documentation of the legal reasons preventing the hiring of a candidate who fails specific background check criteria. Additionally, employers must issue an adverse action notice stating the candidate’s failure to meet background verification requirements, thus disqualifying them from joining the organization.

How Long Does a Background Verification Typically Take?

The duration of a background check can vary depending on several factors such as the depth of the check, the responsiveness of past employers or institutions, and the efficiency of the checking process. Typically, a basic background check might take anywhere from a few days to two weeks. More extensive checks, like those involving international records or detailed financial histories, could take longer.

Is Consent Required from the Candidate for a Background Check?

Yes, consent is typically required from the candidate before conducting a background check. Employers must inform the candidate that a background check will be part of the hiring process and obtain written consent. This practice ensures compliance with privacy laws and regulations like the Fair Credit Reporting Act (FCRA) in the United States.

What Types of Information Are Off-Limits in a Background Check?

Certain types of information are generally considered off-limits during background checks, in accordance with legal regulations. This includes:

    • Sealed juvenile records
    • Medical history (except in specific job-related circumstances)
    • Genetic information

However, the exact restrictions can vary based on local and federal laws.

Can a Candidate Dispute the Results of a Background Check?

Yes, if a candidate believes that their background check contains errors or incorrect information, they have the right to dispute the findings. The employer is then required to provide information on how to challenge the results and must hold the job position until the dispute is resolved, especially under FCRA guidelines.

Are Background Checks Required for All Types of Jobs?

While background checks are common for many types of jobs, they are not universally required. The necessity for a background check often depends on the nature of the job, industry regulations, and company policy. For instance, jobs involving sensitive information, financial responsibilities, or working with vulnerable populations typically require thorough background checks.

What Impact Does a Background Check Have on Hiring Decisions?

Background checks can significantly impact hiring decisions. They provide employers with critical information about a candidate’s past behavior and reliability, which can be indicative of their future performance. However, employers must use this information responsibly and in compliance with anti-discrimination laws to ensure fair hiring practices.


Tap into tech to pick the best team! Adding a Background Check API to your system can make checking out new hires faster, more accurate, and easier to handle, no matter how big your company grows. Just find the right API partner, focus on the must-have features, and stick to the rules and security stuff. It’ll make your background checks a breeze!


IDcentral’s Background Verification API Solution

Experience streamlined and efficient background verification with IDcentral’s Background Verification API. Our BGV solution automates and simplifies the entire process, offering seamless integration with your current systems, customizable checks, and real-time reporting. Ensure thorough, accurate, and compliant background checks while saving time and reducing costs. Ready to revolutionize your hiring process with AI? Request a live demo to learn more and take the first step towards smarter, faster background verification solutions.

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