By Welton Hong, founder and CEO of Senior Care Marketing Max
If you run a home care agency, background checks on potential employees are crucial — not just for your business but for client safety. The question of who pays for them is important, and there are legal, practical and reputational considerations. Let’s go through your options:
Employer Pays for Background Check
How it works: You cover the cost of running the background check as part of your hiring process.
Pros
- Better candidate experience: Applicants are more likely to apply if they don’t have to pay upfront. This is especially important in home care, where turnover is high and skilled caregivers are in demand. If competing agencies require applicants to cover this cost, this can be a way for you to stand out and attract more candidates.
- Compliance: Many states and cities have laws that require employers to pay for background checks if they use them for employment decisions. Failing to pay could put you at legal risk.
While laws and regulations are often changing, California, Minnesota, Iowa, Kansas, Kentucky, Louisiana Vermont and the District of Columbia all have laws prohibiting employers from requiring job applicants to pay for background checks. So, determine what the current law is in your state before deciding anything.
- Control: You decide which background check provider to use, ensuring consistency, accuracy and proper compliance with employment laws.
- Reputation: Shows you value fairness and professionalism.
Cons
There really is only one con when it comes to covering the cost if performing a background check on applicants: As the homecare agency owner, you will take a financial hit.
The cost to conduct a background check typically costs $30–$100 per applicant, depending on the depth of the check. If you get many applicants, that adds up quickly.
One way to limit this cost is by conducting screening interviews and only performing background checks on individuals you intend to hire, assuming the check comes back without raising any red flags.
If you cover the cost yourself, that process is straightforward. Work with your vendor and take it from there.
A quick query to ChatGPT results in the following options:
- GoodHire (A Checkr Company): Offers over 100 background screening options, including criminal history, professional licenses, and health care sanctions.
- SpringVerify: Specializes in health care background checks, covering misconduct, drug abuse, criminal cases, education, employment and licensing.
- Accurate Background: Provides full-service employment background checks with flexible tools and seamless integration into existing technologies.
- First Advantage: Offers comprehensive pre-employment background checks, including license and credential verification.
- Universal Background Screening: Provides pre-employment background checks, drug testing and verification services for healthcare employers.
- Sterling: Offers advanced background check services for health care, including criminal background checks and healthcare sanctions.
Applicant Pays for Background Check
If you require applicants to cover the background check cost, you will most likely do so through a service you provide or a third-party portal.
Requiring the applicant to pay this expense will reduce your upfront costs and could also result in attracting candidates who are more serious. Moreover, if a candidate has something in their past that will be brought out with a background check, they may disclose it sooner.
Keep in mind, however, that such a policy may put candidates who cannot afford the fee at a disadvantage. Sometimes, as business owners, we get so bogged down on the bottom line that it can be easy to forget that the people we are trying to attract are, in fact, people – and they may not be in the best financial position if they are seeking a job.
A Hybrid / Reimbursement Model
Some home care agency owners seek to take a balanced approach by requiring applicants to pay the cost upfront but then offering to reimburse them if they are, in fact, hired.
That way, an agency owner avoids having to pay for background checks for individuals they do not hire. This approach can also eliminate equity concerns raised by having all applicants pay for such a check. It can also filter out candidates who are not serious or who have criminal records that would cause you to think hard about hiring them anyway.
Still, some candidates may be reluctant to pay the fee, which can have serious implications in a field in which you are competing against other agencies for talent.
Ultimately – unless your state has a formal law on the matter – it is up to you to decide what approach works best, but keep in mind that you’ll set yourself apart if you absorb the cost.
Paying the expense demonstrates a level of professionalism that can attract top candidates. It will get the employer/employee relationship off to a solid start. It enhances your employer brand, ensures compliance and can serve as a differentiator in a tight labor market.
If budget is a concern, however, consider limiting full checks to finalists or negotiating bulk pricing with a background check provider – making sure to follow whatever the laws are in your state, of course.
Beyond background checks, another expense you may need to consider depending on which state you operate in is fingerprint costs. Some states require home care workers to be fingerprinted. That can easily run over $100, which may be another cost to consider covering on your own or passing on to applicants.
No matter what your approach, do not forego getting background checks done – or whatever else your state requires.
Even if someone is coming to you from another agency and recently had a background check, it is imperative to conduct your due diligence and put every candidate through a full screening. Doing anything else puts your personal reputation at risk as well as the reputation of your agency.
Welton Hong is the founder & CEO of Senior Care Marketing Max, which has helped over 600 small businesses grow their revenue through online marketing strategies. Visit Senior Care Marketing Max to learn more.
