Are Reference Checks Useful When Hiring?

Every time we reach that point of asking for references for our final shortlisted candidate, this question keeps coming up. Are reference checks truly useful to the hiring process? And if yes, what is the best way to get them? 

Let’s see some reasons why reference checks are an important part of the hiring process:

1. Verification of Information:

   This includes verifying employment history, job titles, and dates of employment.

2. Insight into Work Performance:

   Speaking with previous employers or colleagues can provide valuable insights into a candidate’s work habits, skills, and overall job performance.

3. Cultural Fit:

   References can offer perspectives on how well the candidate fits into team dynamics and the company culture.

4. Assessment of Soft Skills:

   Reference checks can provide information about the candidate’s interpersonal skills, such as communication, teamwork, and leadership abilities, often critical to success in a role but are not always easy to assess through interviews alone.

5. Identification of Red Flags:

   Reference checks can uncover potential red flags that may not have been apparent during the interview process. This could include issues with reliability, integrity, or behavior in the workplace.

6. Confirmation of Achievements:

   Employers can confirm the candidate’s stated achievements and contributions in previous roles, which can help gauge their potential impact on your organization.

7. Regulatory and Compliance Requirements:

   In some industries, conducting reference checks is a regulatory requirement to ensure that candidates meet certain standards or have the necessary credentials.

Now that we have realised the benefits of reference checks, let us see how we can ensure that we will get the most “honest” or “objective” feedback for our candidates.

1. Be Consistent:

   Apply the same reference check process for all candidates to ensure fairness and consistency.

2. Ask Specific Questions:

   Prepare a list of specific questions that focus on the candidate’s qualifications, work performance, and behaviour. Avoid generic questions that may not yield useful information. When getting opposite views from reference providers dig deeper to find the reason, don’t leave it unexplored.

3. Put the reference in the right candidate’s career stage at that time:

   Have always in mind the career stage of the candidate at the time of the co-operation with the refence provider. Especially when getting feedback about areas of improvement.

4. Listen for Tone and Subtext:

   Pay attention not only to what references say but also to how they say it. Hesitations or vague answers can sometimes be as telling as direct responses.

5. Respect Confidentiality:

   Be mindful of the candidate’s current employment situation and ensure that reference checks do not jeopardize their current job if they have not yet resigned.

6. Document the Feedback:

   Keep detailed notes of your reference check conversations. This documentation can be valuable if there are questions or concerns later in the hiring process.

7. Verify the Legitimacy of References:

   Ensure that the references provided are genuine and have actually worked with the candidate. Be wary of references that seem dubious or too good to be true.

In summary, reference checks are a useful tool in the hiring process. They provide additional information that can help you make a more informed decision and increase the likelihood of hiring a candidate who will be successful in the role. 

Article written by Nikos Floros, CFR Global Executive Search Greece
Photo source: Freepik