Day: September 13, 2011

How much does Employee Background Verification cost?

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This is the number ONE question which we get from all our potential customers. This blog post will try to answer this question in the best possible way.

The cost of the employee background verification depends primarily on:
• Types of the checks selected
• Number of each such check
• Vendor selected

Let us go through each of these to understand them better.

Types of checks selected
Employee background verification is NOT a ‘one size fits all’ solution. It is more like a buffet from which you pick and choose relevant checks. (The prices given below are NOT that of JantaKhoj specifically but of the broader industry.)

Address checks: These include a physical visit to verify the residence (either permanent or current) and depending upon the vendor and the location, the pricing can vary from Rs 150 to 500 for every address to be verified.

Employment checks: These include cross checking the employment history (including designation, tenure, salary, performance, behavioural aspects) with current and/or earlier employers. The pricing can vary from Rs 200 to Rs 400 for every employment to be verified.

Reference checks: These cover getting the feedback from referees – suggested by employee or chosen independently. The pricing can vary from Rs 100 to Rs 300 for every reference to be checked.

Education checks: These could refer to database based verification or direct verification with the educational institute (board, institute, university). The pricing can vary from Rs 400 to Rs 1000 and beyond, depending upon the mandatory university fees. Some vendors may offer verbal verification (without any documentary proof) which will generally be cheaper.

Criminal checks (Police Station/Office): These are verifications done with local police station or office to ascertain if any criminal references exist against the candidate. The pricing can vary from Rs 400 to Rs 1000 and will typically cover the verification/certification charges levied by police (which vary from state to state).

Caveat: the prices above are for domestic checks. International checks will typically tend to be more expensive.

To keep the blog short, I will skip other specific checks like criminal database checks, drug screening, credit history, Social Media Scan.

Number of each check selected
Depending upon your specific requirements, you may opt for multiple checks of each type – for example, checking last three employers, checking all residences in last three years, checking all educational credentials from Class X up to Doctorate level. Typically you will be paying the price per check mentioned above multiplied by the number of checks, except in cases where the vendor may be able to offer a bundled price.

Vendor selected
Background verifications market is a competitive one and you can select your vendor right from the local single person shop to regional biggies on to national leaders. Typically the prices will tend to go higher as you move from local to regional to national level players. Caveat: this is a generalization and you will definitely find exceptions.

I hope that by now you have a better idea of what you may end up paying for employee background verifications. Do share your comments and feedback.