You've completed advertising the position, shortlisted candidates, and conducted interviews. Now, you've identified your top choice, but before extending an offer, the final step is to conduct a reference check.

Some employers question the usefulness of reference checks, citing their complexity and the time they require, especially when they’re eager to finalize the hiring process. However, thoroughly verifying a candidate’s background can prevent future issues and save time in the long run.

, “Reference checks primarily confirm employment dates, roles, and responsibilities, but they also serve a broader purpose. In most cases, you'll get positive signals, but if something raises concerns, that’s when you might reconsider your decision.”

Why Speaking to a Manager Is Ideal

A supervisor or manager can offer a more comprehensive perspective than a colleague. “Managers can accurately assess a candidate's performance, strengths, and areas for growth, whereas colleagues or contacts from different departments might not have that level of insight.” 

Similarly, personal references like friends or family aren’t usually as helpful for workplace behavior validation. “We focus on professional behavior in the workplace rather than personal character,” . “For entry-level or recent graduates, character references might be acceptable if they lack prior work experience.”

If a candidate is employed but hasn't disclosed their job search, reaching out to a former manager rather than a current employer to avoid jeopardizing their current role. “References generally come from prior employers, not current ones,”.

Handling No-Reference Policies

Some organizations restrict providing references for current or former employees. In such cases, a simple reference letter confirming employment dates and duties might suffice. Alternatively, if a former manager is available, reaching out to them could be an option.

Can Candidates Access Reference Check Notes?

 “If a prospective employer has collected personal information during a reference check, the candidate might have the right to access those notes.” While the Privacy Act 1988 doesn’t require employers to provide employment records, under the Australian Privacy Principles, a candidate may be entitled to view reference notes.

Legal Considerations for Employers

Employers must tell the truth when providing references, as they are legally responsible for accurate information. Jewell emphasizes, “Employers need to ensure what they say is truthful to avoid legal risks.”

Best Practices for Conducting Reference Checks

- Use phone conversations: Advocate for phone calls over emails or texts, as they allow for more nuanced exchanges. “Sometimes, what isn't said is just as important as what is,”. 

- Notify candidates beforehand: Always inform candidates that you’ll be contacting their referees. This courtesy helps referees be prepared and more open during the call. 

- Ask targeted questions: Focus on specific, open-ended questions about the candidate’s performance and development areas. For example, “Did you notice any areas where they could improve?” 

- Verify referees’ identities: Request a work phone number or email to confirm you’re speaking with the right person.

While the hiring process can be time-consuming and costly, conducting thorough reference checks can uncover potential red flags or provide reassurance that you’ve selected the right candidate.

*Note: The information provided here is general and does not substitute for legal advice. For tailored guidance, consult appropriate legal or professional advisors. Source seek.com.au

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