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Insight Risk Management & Employment Screening Services HOME SERVICES WE OFFER VOLUNTEER SCREENING I CONTACT US | IMPORTANTI VHAT IS NEGLIGENT HIRING LIABILITY? OME WHAT IS NEGLIGENT HIRING LIABILITY? According to an article published by SHRM (Society for Human Resource Management), Negligent Hiring is "the failure of the employer to investigate a job applicant's work experience, character, criminal history and other relevant data prior to the hiring of an employee."Negligent hiring liability holds employers responsible both for what they do know and what they should have known about their employees. It can even hold employers responsible for employees' actions off the job. Courts have repeatedly affirmed that employers have a duty to exercise reasonable care in hiring individuals who, because of the nature of their employment, may pose a threat to the public. NE HIRI Negligent hiring is particularly implicated in the background check portion of an employer's hiring process. There are specific state and federal regulations that require employers to do background checks in connection with hiring which vary by the industry. Moreover, there are cases in which courts have found an employer breached its duty when it failed to adequately inquire about an employee's criminal history. However, an employer is not negligent when it conducts a reasonable background investigation and where the wrong committed was not foreseeable based on the nature of any previous criminal conduct by the employee. Law requires injured third parties to prove the following elements to prove negligent hiring: (a) a duty owed by 1 retaining the employee; (b) breach of that duty; (c) the breach of that duty must be the cause-in-fact of the inj fall within the scope of the employer's duty; and (e) damages sustained by the third party. There are certain state and federal statutes and regulations that govern whether an employer is required to con connection with hiring. Employers should make sure they are in compliance with these statutes and regulations. consider the nature of the work that they do and the probability that a third person would be injured at the han this analysis shows that there is a chance that third persons could be injured at the hands of an employer's empl want to consider doing more research during the hiring process to minimize the risk of a negligent hiring claim. COSTS OF NEGLIGENT HIRING LIABILITY According to the article, Avoiding Negligent Hiring Lawsuits (HR Management Magazine), "Average settlements in approaching one million dollars. Our Society today, more than ever, is highly litigious. Your organization can, and criminal or violent acts of its employees. The costs are too great to put your organization at risk by hiring em documenting proper due diligence in your hiring decisions. Juries in such cases will assume that if you could someone dangerous or unfit for a job, you should have known