The background check industry has come a long way since its inception in the late 1800s. With the growth of technology, it has never been easier or faster to perform a background check on a potential employee, tenant, or business partner. From social media screening to artificial intelligence (AI) algorithms, there are many tools available to help companies make informed decisions when it comes to background screening. In this article, we will explore the latest trends and developments in the background check industry, how they can impact businesses, and what they mean for the future of background checks.

Social Media Screening

The use of social media screening has exploded in recent years. Employers now have the ability to check a potential employee’s social media profiles to get a glimpse of their personal life outside of work. This includes their interests, hobbies, political affiliations and even looking for any red flags. It is now estimated that 70% of employers use social media screening to make hiring decisions.

While it may seem like a great way to get a better picture of a candidate, this trend has also raised concerns about discrimination and privacy. It is unclear how these checks affect the diversity of job candidates, and there are no clear guidelines as to what information is and isn’t fair game on social media profiles. It’s important for employers to approach social media screening with caution and develop clear policies on what information they’re looking for and how they will use it.

AI and Blockchain

As the technology becomes more sophisticated, AI and blockchain have started to play a larger role in background checks. With AI, companies can analyze large amounts of data more quickly and accurately. They can also identify patterns and predict future behaviors like drug or alcohol use, absenteeism, or future litigation. This form of technology can be sensitive and relies on constant adjustments to minimize discrimination and focus on relevant data. Blockchain technology is used as an alternative to traditional databases, providing an immutable and chronically stored background check record.

However, while AI algorithms are becoming more sophisticated than ever, there is still no substitute for human judgement. As with social media screening, there are also concerns over accuracy and transparency with AI and blockchain. Companies should ensure that they are using these technologies responsibly and ethically, and have clear policies in place to prevent discrimination and protect the privacy of candidates.

International Screening

With a global economy comes a greater need for international background checks. Many businesses are now operating overseas and need to comply with local regulations and cultural norms. The process may involve verifying an international candidate’s education, employment history, and criminal record.

However, international screening can be complex, time-consuming, and expensive. Different countries have different legal systems, and it may be difficult to find accurate information on a candidate. This has led to the emergence of international background check providers. They have access to country and region-specific data while also being familiar with the country's background check laws.

Smartphones, Wearables, and Other Personal Technology

Smartphones, wearables, and other personal tech have also become an important element of background checks. Companies may ask candidates to give them access to their device or to complete a cognitive assessment test through their device. With these tools, companies can collect data about a candidate’s health, habits, and capabilities.

However, there are concerns about these checks too. There is no clear guidance on what type of information is fair game, and companies run the risk of violating privacy laws and regulations. It is recommended for companies to have clear guidelines on what personal information they are collecting and how it is being used.

Cryptocurrencies

Cryptocurrencies like Bitcoin are often used in illicit activities such as money laundering and illegal drug trade. It has become an important trend in screening for businesses making a counter to fraud. Companies are increasingly screening potential employees to ensure they have not made any illicit transactions with their cryptocurrencies.

Despite these trends, there is still much to be discovered in the background check industry, with an abundance of innovative technologies and practices emerging every day. The challenge for companies will be to keep up with the latest trends while also ensuring they are acting legally and ethically. As the industry continues to evolve, the importance of comprehensive background screening will only increase, ensuring that businesses can make informed decisions they can be confident in.