How to spot lying on application forms

Gagandeep Prasad and Caroline Buckley consider the issue of applicants being economical with the truth when applying for jobs.

The number of people who lied on application forms to obtain credit, insurance and other products increased by 24% last year, research by CIFAS, the UK's fraud prevention service, has revealed. The number of fraud claims increased from 62,000 in 2004 to 77,000 in 2007.

What does this mean for employers? They need to become more alert to the possibility that a job applicant is lying on an application form or CV and they need to be thorough when carrying out pre-employment checks.

If an employer fails to carry out basic checks, it could employ someone who is not suitable for the job and may be liable for any loss as a result. Failure to check could also put the health and safety of employees or members of the public at risk, eg if someone lies about experience which they do not have, if the work involves children or vulnerable adults or if it's within the financial services industry.

Employers also have a legal responsibility to check someone has permission to work in the UK and are potentially liable if they are found not to have carried out proper checks. With the recent changes in the immigration legislation, this is a high risk area.

Employers should make sure they have a policy or procedure for checking the validity of information provided on application forms and that those responsible for doing so know and understand what they need to do. The policy should set out what type of information needs to be checked, how it should be carried out and what to do if there is any doubt about the truth of information provided.

Employers should ensure staff involved in recruitment decisions receive regular training updates to keep them alert to the risks and aware of procedure.

Data protection

Any checks should be carried out in line with Part 1 of the Employment Practices Data Protection Code which deals with recruitment and selection. This sets out benchmarks for verification in the context of checking the accuracy of details which are supplied by applicants. Employers should consider carefully the stage at which it carries out the checks, ideally just on the successful applicant and that it only carries out necessary checks.

Employers need to check the information provided on the form or CV is true by following up references and checking qualifications and work history. In certain occupations additional checks might need to be made.

References

An offer of employment should always be made conditional on receipt of satisfactory references. The employer should satisfy itself that the company providing the reference exists if there is any doubt about this.

Be aware that many employers adopt a standard policy when providing references to departing employees. However when recruiting, seek to confirm the dates of employment, job title and type of work the individual carried out. Often this information is included in standard references.

Verify information

As well as checking references, check other facts provided on the application form or CV, such as academic qualifications. Consider asking to see original certificates, evidence of training or licences. Make sure that there are no discrepancies in terms of dates provided or any other information and that there are no unexplained gaps or breaks in employment which might give cause for concern.

Criminal records

Certain jobs require that Criminal Records Bureau checks are carried out before the individual can start work. These jobs include anyone working with children and vulnerable adults. The Safeguarding Vulnerable Groups Act 2006 is due to come into force this year. It will provide a new system for vetting and barring individuals who work with children and vulnerable adults. The Act also imposes an obligation on certain employers to recruit only those employees who have been through the new centralised vetting system and this should speed up the process for carrying out these checks. Training in relation to these new obligations will be of key importance.

Employers should be aware that it is not possible to carry out criminal records checks for all occupations and individuals are not obliged to disclose 'spent' convictions except for certain occupations.

Permission to work in the UK

It is very important to check that the potential employee has permission to work in the UK prior to starting work. If the employer fails to carry out these checks it commits a civil offence and is potentially liable for a fine of up to £10,000. The employer has a statutory defence if it checks certain original documents and it is crucial that those responsible for recruitment are aware of their obligations and what documentation is acceptable.

Credit checks

Although pre-employment credit checks are not prohibited, these are only likely to be appropriate for a role which will involve the employee handling cash or accounts.

If you only do five things...

1. Do not take statements at face value. Highlight any gaps in work history and ensure that these are adequately explained and explore any discrepancies.
2. Always make any offer of employment subject to receiving satisfactory references and ensure all references are checked.
3. Do not rely on information which may be unreliable.
4. Ensure that evidence of entitlement to work in the UK is provided and make offers of employment conditional upon the appropriate immigration status.
5. Those responsible for recruitment must be aware of and understand the requirements of the Data Protection Code of Practice.

Gagandeep Prasad, solicitor, and Caroline Buckley, professional support lawyer, at Charles Russell