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Economy & Economic Development  July 2, 2010

Employers take careful look before hiring

Nearly half of all laid-off U.S. workers are now classified as long-term unemployed – out of work for 27 weeks or more. With such a large pool of motivated job seekers, employers can be more selective when they do hire. 

Fort Collins-based Premier Employment Screening Services, which performs comprehensive pre-employment screening for employers in all 50 states, reported that its clients in other parts of the country received 13 percent more applications for each open position in the first quarter of 2010 than in the same period in 2009. Its Colorado clients reported only a 1.8 percent increase year-over-year.

With the cost of hiring and training new employees ranging anywhere from 20 percent to 200 percent of annual compensation, employers are also being more careful to find the right person for the job the first time. The average number of background categories clients asked Premier to verify rose slightly to nearly five in 2010, with education verification rising 40 percent and job verification 22 percent.

“Employers want to know they are hiring the most qualified person as well as the most experienced person,” explained Doug Hay, Premier’s director of marketing.

Employers also want to make sure they hire financially responsible employees. Hay said Premier has seen a 10 percent increase in the number of employers who ask for credit checks on job applicants. He acknowledged that this remains a controversial area.

Other information employers consider before making new hires include driving records, criminal history and results of drug tests.

Nearly half of all laid-off U.S. workers are now classified as long-term unemployed – out of work for 27 weeks or more. With such a large pool of motivated job seekers, employers can be more selective when they do hire. 

Fort Collins-based Premier Employment Screening Services, which performs comprehensive pre-employment screening for employers in all 50 states, reported that its clients in other parts of the country received 13 percent more applications for each open position in the first quarter of 2010 than in the same period in 2009. Its Colorado clients reported only a 1.8 percent increase year-over-year.

With…

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