NHLA member Predictive Leadership Solutions is providing this guest blog today that includes information from various sources. It addresses the importance of employment background checks.
The Cost of Hiring the Wrong Person
“What some companies may not realize is the hidden costs of not conducting a thorough employment background check. According to one staffing agency the cost of hiring a candidate with a $40,000 annual salary is $14,000-roughly 30 percent of the salary on recruiting activities! Multiply this by the number of bad hires a company makes! This does not include the possible damages by poor performance of an employee. The hidden dangers of hiring a “bad employee” can also lead to liability issues such as sexual harassment complaints.”
I would also suggest criminal activities by bad hires, involving the business and your guests would be extremely bad for the reputation of the business and the overall sustainability of the business.

“Shocking as it may seem about 47% of all applicants knowingly falsify their resumes or applications! Approximately 1/3 of all employees regularly steal from their employers! In retail, internal theft causes 85% more shortage than shoplifting! Between 1971 and 1988, internal theft increased from $16 billion to over $200 billion! Twenty percent of all business failures are caused by internal theft!”
Paraphrased from the Hospitality Times
This is a great article that speaks volumes about doing even a basic background check.