fair chance hiring

Redefining Applicant Red Flags

adults-agreement-beverage-567633.jpg

By Stephanie Hammerwold

Early in my HR career, I was trained on recognizing a long list of so-called red flags on job applications. These are the kind of thing that could land someone in the reject pile and included things like gaps in employment, criminal record, spending only a year or two in each job (a.k.a. job hopping), certain reasons for leaving a past job and more. The list of red flags was long, and sometimes I could go through a pile of applications and find a reason to rule out everyone.

The reality is that no one’s employment history is perfect. Perhaps it is time that we reevaluate the traditional HR red flags and look more at who a person is now.

How Red Flags Can Become Barriers for Some Applicants

The reality is that there are many reasons someone may have had a bad experience at an employer or a gap in employment—reasons that may have little bearing on their likelihood of success at a new job. Yet so many HR decisions are based on scrutinizing someone’s past to the point where we are going on a fault-finding mission.

Some red flags can become huge barriers. Take criminal record, for example. There are many job seekers with criminal records who struggle to find work because that record follows them around even though they have paid their debt to society. The first HR director I worked for told me that anyone who checks the application box indicating a criminal record should be tossed in the reject pile without being given consideration. The reality of this blanket action was that we were tossing out plenty of good candidates. Since my early days in HR, I have volunteered in a women’s jail and have also started a nonprofit dedicated to working with formerly incarcerated people. In that time, California has become a state where employers cannot ask about criminal background until a conditional offer has been made. But employers can still make a decision to not hire at that point, so it still could be viewed as a red flag.

A recent episode of Invisibilia tackled the issue of whether we end up repeating patterns. The episode focuses on the story of a woman who had a rough childhood that included being in and out of jail. She ultimately ended up turning her life around, went to school and eventually earned a law degree. When she applied to take the Bar, she was denied based on her past. The panel was concerned that because of her past issues, she could relapse in the future even though she had demonstrated stability in the years since she went to school. What the episode found was that humans are complex, and our behavior often cannot be reliably predicted based on past behavior. Yet this idea that we need to scrutinize someone’s past to predict whether they will be a good employee persists in HR and hiring.

When a Red Flag Isn’t a Red Flag

Barriers can also include lengthy gaps in employment or the decision to leave a job because a person was miserable there. Think back on your own work history. Are there times you left a job because you had a horrible boss? Or maybe you decided to take an extended amount of time off work for personal reasons. Are those things that make you a bad employee in your current job? Probably not. So why do we use them as criteria to determine if a candidate would be a good fit?

As I have refined my interview style over the years, I have started to ask less about the traditional red flags (e.g. gaps in employment, reasons for leaving a job) and started focusing my questions more on how candidates worked in their previous jobs.

Let’s look at the example of someone with a gap in employment. There are all kinds of reasons someone may take time off work, and most of those have nothing to do with what kind of employee that person will be. Whether it was taking time off to raise a family, travel the world, care for a sick family member, serve time, sleep in, write a novel, look for a new job, go to school or simply to take a few months to relax between jobs, most reasons for a gap have little bearing on what an employee will do when working for you.

New Ways to Read a Job Application

As I mentioned, I have updated my interview style to focus more on culture fit. Of course I am checking to make sure someone has the required technical skills, but many of my questions ask candidates to provide an example from their work history.

For example, I have been interviewing a lot of senior software engineers lately. I work at an organization with a flat structure. Rather than having middle managers, we expect our seniors to take on an informal leadership roles. This means I want to look for candidates who are more interested in mentoring junior-level employees than they are in taking on a fancy manager title.  So I ask questions that require candidates to give examples of how they did this in the past. I also want to see if their goal is to take on a management role or if it is to contribute to an overall team effort. At my current company, we are looking for people who want the latter.

Rather than seeing work history as a place where we can find fault with a candidate, it is time that we see it  as a vast array of experiences. Whether experiences at a past employer were good or bad or if decisions made were good or bad, these are all things that contribute to who a person is now. What matters more is how a person grew and changed from that experience rather than a mistake made in the past.

What is Fair Chance Hiring?

fair chance.png

This post comes from the Pacific Reentry Career Services blog. Pacific Reentry Career Services is my nonprofit, which helps formerly incarcerated women find meaningful employment. We will be holding Fair Chance Hiring Summits this year to provide a forum for discussing the benefits and challenges of working with the formerly incarcerated, so please sign up for our newsletter to get more information about when the summits are scheduled.

Simply having a criminal record should not be enough to keep someone from being hired. Fair chance hiring refers to policies that help those with a criminal record find jobs they are qualified for. This can include removing the question about criminal convictions from job applications (also called “Ban the Box”), moving questions about criminal record to later in the hiring process and only asking about criminal record when it is relevant to the job.

Pacific Reentry Career is committed to educating employers on the benefits of hiring the reentry population. With that in mind, here are some of the most common questions about fair chance hiring. There are links to useful fair chance hiring resources throughout this article.

How does fair chance hiring benefit employers?
One in three Americans has a criminal record. If employers automatically reject these job seekers, they are missing out on a large number of qualified applicants. Many people with criminal records are qualified and ready to work.

How does fair chance hiring benefit formerly incarcerated job seekers?
Getting a good job with a steady income is a huge step in rebuilding a life following incarceration. It can help reduce recidivism, secure housing and help to reunite families. Often checking yes to the job application question about criminal record can automatically land someone in the reject pile. By moving the question about criminal background to later in the process (or not asking it at all if it is not relevant to the job), formerly incarcerated job seekers can be evaluated based on work history, education and other job qualifications, which gives them a fair shot at landing a good job. Their criminal record no longer becomes an automatic rejection.

Does fair chance hiring mean I should never ask about criminal background?
You can still ask about criminal background if you practice fair chance hiring, but you should evaluate when in the process you look at criminal background. The simplest thing is to remove the question about criminal background from your job application and to ask about it once a conditional offer has been made if it is relevant to the job. This gives job seekers a chance to be evaluated on qualifications without having a criminal record unfairly bias a hiring manager against them. For some jobs, you may want to do away with the question all together.

What is the EEOC guidance on the use of criminal background checks in hiring?
In 2012, the EEOC issued guidance on the use of criminal background checks in hiring. The EEOC’s guidance comes from the fact that certain racial and ethnic groups experience higher rates of incarceration and may therefore face barriers to employment. This may lead to discriminatory hiring practices. The EEOC’s guidance encourages employers to only look into an applicant’s criminal background if it is relevant to the job. This is not law, but it is a good place for employers to start when figuring out how to change their hiring process so it does not create unfair biases against people with records. Click on the link at the beginning of this answer or visit the EEOC’s information page for more information on the guidance.

What if I want to use a background company to review criminal records of potential hires?
There are federal and state laws that govern the use of background check companies. Root & Rebound’s “California Employers’ Fair Chance Hiring Toolkit” offers detailed information on the requirements for California employers. If you are thinking about employing a background check company, it is best to consult with an employment attorney to make sure your process fits within the legal requirements.

Are there ways I can protect my business if I do end up making a bad hire?
Many people with criminal records go on to live productive lives following release from jail or prison. The U.S. Department of Labor established the Federal Bonding program in 1966 to provide fidelity bonds to cover at-risk, hard-to-place job seekers. This includes formerly incarcerated individuals. This program is free for employers and employees and covers the first six months of employment. For more information, visitthe Federal Bonding Program website or contact your local EDD office in California. Keep in mind that only about 1% of these bonds are ever claimed, so those covered by bonds have had a high success rate with employers.

Are there any tax benefits for hiring formerly incarcerated people?
The Work Opportunity Tax Credit (WOTC) is a federal program that provides a tax incentive to employers who hire people from difficult-to-employ groups, which includes the formerly incarcerated. You can learn more about WOTC on the Department of Labor’s website. California offers additional incentives to employers in designated geographical areas. For more information on the California incentive, visit the Franchise Tax Board’s site.

What can I do to show that my business supports fair chance hiring?
Visit the Dave's Killer Bread website to take the Second Chance Pledge to show that you are committed to removing barriers to employment for the formerly incarcerated. Train hiring managers to make fair decisions regarding candidates with criminal records, support community programs that help the formerly incarcerated find employment and spread the word about the benefits of hiring the reentry population.

This article is provided for informational purposes only and should not be construed as legal advice. It is always a good idea to check with an employment attorney before making changes to your hiring process and to ensure that your hiring practices are legal and fit within the requirements of the law for your location.