[Resources] It’s Busy Season … Not Bad Hiring Season

It’s one of those situations that PCOs generally consider a “good problem” — those times of year when pest control services are so popular that they have trouble finding workers to keep up with the demand. During these times the temptation is there to relax hiring standards in order to fill open positions. When this happens, the end result often is a bad hire — an employee that can hurt your company’s reputation and bottom-line profits. The following fictionalized case study is just one example of how a company can be negatively impacted by bad hires.

Numbers Not Adding up. Ron Berry, owner of Berry’s Pest Control, had a problem. Business was booming, but profits remained flat. Then he got the call from an anonymous customer claiming that some of his technicians were doing side jobs.

When Berry asked for more information, the caller hung up. Berry did an inventory and discovered he was losing $900 per week in supplies alone to employee theft.

He made each of his 12 employees complete theft investigation questionnaires. Analysis of the questionnaires indicated three technicians were stealing. Berry terminated all three based on petty theft admissions and rules violations.

A New Plan. After terminating the employment of the three workers, Berry began to wonder how he might prevent future theft problems. Berry decided to focus his hiring process on these areas.

Applicant Screening. Job applicant screening is the key. Preventing employee theft is just one benefit. Reduced turnover, better job performance, less absenteeism and improved customer service are other benefits.

Berry knew first-hand the ramifications of not properly screening interviewees. One of Berry’s hiring failures was Archie, a technician recommended for employment by one of Berry’s good friends. Berry meant to check Archie’s background, but got busy and forgot. Instead, he gave Archie a quick interview and put him to work. Archie was one of the technicians caught moonlighting with Berry’s equipment and supplies.

Hire the Best Job Candidates Quickly. Qualified job seekers don’t stay unemployed long. If you can make conditional job offers to top candidates during their first visit, you will hire more of the best. To do that, you need to learn as much as you can about your applicants during that first visit.
There are two basic sources of information about job applicants: 1) the applicant himself — use the right tools and he will provide much of the information you need; 2) documents — do a criminal record check, review driving records, credit reports and references.

This information is less readily obtainable, but equally valuable.

Seven Steps for Better Hiring. Here are seven steps to help you hire better.

Step 1: Have each applicant complete a thorough employment application. All employment applications are not created equal! Most applications are too brief, failing to ask many critical questions. A comprehensive application is worth its weight in gold.

Step 2: Give the applicant an “answer truthfully” speech. Job applicants are more likely to answer your questions truthfully if you tell them why they should. Instead of saying, “Here, fill out this application,” try something like this: “Shawn, I’d like you to fill out this employment application. Please take your time. Make sure your answers are true, correct and complete. We will check all your answers for accuracy. Answering all questions truthfully will increase your chances of getting hired. We’re not looking to hire perfect people, just employees who tell the truth.” Will this speech persuade every applicant to answer every question truthfully? Of course not. But applicants will give you more truthful answers with this speech than without it.

Step 3: Have the applicant take a good pre-employment honesty test. Expect dishonest people to apply. A good pre-employment honesty test can tell you how likely an applicant is to steal from your company — and much more. You can administer the test during the applicant’s initial visit, score it on the Internet in minutes and use the follow-up questions it provides during the interview. The best pre-employment honesty tests include:

• Three types of questions about theft, i.e., theft admissions, theft attitudes and behavior in hypothetical theft situations.
• Questions about other important areas such as work attitudes, work history, customer service attitudes, current alcohol and drug use, and undetected crimes.
• Validity scales to identify applicants trying to “beat the test” by answering falsely to make themselves look like saints.
• A post-test interview worksheet in addition to test scores. The worksheet is a print-out of “wrong” or questionable answers with suggested follow-up questions included. The follow-up questions help evaluate the seriousness of the applicant’s admissions.

Step 4: Interview the applicant. Steps 1, 2 and 3 will “wash out” many undesirable applicants. Next, interview those still in the running. But before the interview, review both his application and pre-employment honesty test results, making notes about any of his answers you want to follow-up on.

Begin the interview by briefly introducing yourself and your company. Candidly explain the negatives as well as the positives of the job you are seeking to fill. Make sure he is still interested after hearing the job’s negatives. This step decreases your turnover.

Next, talk with him about his previous jobs — those he liked and those he didn’t. Get clear and logical explanations why he left each job in the past five years, making sure he explains any gaps between jobs. These gaps often conceal unfavorable short-term job experiences or incarcerations. (See related article on page 76.)

Step 5: Conduct a do-it-yourself credit check. With the applicant’s consent, conduct an Internet search under “Free Credit Report.” Print two copies of the applicant’s credit report — one for him and one for you. Compare his starting pay with his debts and reasonable living expenses. This comparison will tell whether he can afford to work for you. Employees whose installment debt plus expenses exceed their income have a monthly shortfall to make up. Some will steal to make up the difference.

Step 6: Conduct quick and easy criminal record checks. Tell the applicant that he can expedite the hiring process if he stops by the nearest police station to obtain a copy of his own criminal record and then bring it to you. Few applicants who have criminal convictions will return. They will seek employment elsewhere instead.

The drawbacks of criminal record checks: According to experts, criminal record checks fail to identify at least 30 percent of applicants with criminal records. Most employees who steal are not caught. Most employees caught stealing are not prosecuted. Many employees who are prosecuted are not convicted. Thus, few employees who steal from their employers end up with criminal records for employee theft.

The advantages of criminal record checks: If record checks miss 30 percent of applicants with criminal records, then they do identify 70 percent of applicants who have criminal records. A 70 percent batting average is still pretty good. Keep in mind, too, that criminal record checks are far more likely to reveal scofflaws — persons who ignore or disregard the law — than convicted felons. Scofflaws often have multiple misdemeanor convictions. For example, one applicant was cited five times for littering and three times for speeding last year. He would probably scoff at your company’s rules.

Step 7: Check the applicant’s references — both previous employers and personal. Previous Employers: Many human resource departments will provide only minimal information about former employees. If possible, call the applicant’s previous supervisors. Former supervisors typically feel willing to help former employees who did a good job. Most supervisors can be coaxed into giving a reference. (See related article on page 80.)

Personal References. Here are a few questions found on employment applications that often yield better references than those the applicant lists on his application:

• “Have you ever worked for our company before?” If so, find out the name of a former co-worker or supervisor you can talk with about the applicant.
• “Do you have any friends, relatives or acquaintances who work for our company?” Current employees who know the applicant can be very helpful, too.
• “Have you ever been convicted of a criminal offense as an adult?” If so, a probation or parole officer might provide some background.
  Some frustrated reference checkers claim that personal references will never say anything negative about the applicant. Not so! Asking personal references the same questions you ask work references can yield intriguing results. For example:
  Reference Checker: “Mr. Smith? Sal Morgan listed you as a personal reference on his application to work for us here at Bye Bye Bug.”
  Mr. Smith: “Yeah, I’ve known him since he was a child.”
  Checker: “I don’t have his application in front of me. Where’s he working now?”
  Mr. Smith: “Nowhere since they laid him off from XYZ Pest & Termite.”
  Checker: “Why did they lay him off?”
  Mr. Smith: “Said he was smoking pot during work. But it was on his own time — his lunch hour.”
  Checker: “Is he on probation or parole now?”
  Mr. Smith: “No, he finished that last year.”
  Checker: “What was the charge?”
  Mr. Smith: “You’d better ask him that one.”
  Checker: “Thank you, Mr. Smith.”

Conclusion. Establish a mandatory applicant screening procedure, starting with a comprehensive employment application and a pre-employment honesty test. Make sure all steps in the hiring process are followed on every applicant. Hiring the best will make your life easier and profits increase.  

Bassett also is author of the Shortage Questionnaire, the Specific Loss Questionnaire, the Ultimate Employment Application and the VAQ Pre-employment Honesty Test. He can be reached at 513/421-9604 or via his Web site, www.TheftStopper.com.

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Trying to figure out how to get an applicant to open up and tell the truth about previous employment? Try this approach: Ask about previous jobs, beginning with the most recent, and working backwards. Question him as if he had written nothing in his work history section. Here’s an example of a typical dialogue:

Interviewer: “Please tell me about your most recent job.”
Tim: “Well, I didn’t list it. I only worked there three weeks — XYZ Pest & Termite.”
Interviewer: “Why did you leave?”
Tim: “They said I was coming to work late.”
Interviewer: “How often?
Tim: “Just once or twice a week.”
Interviewer: “Before that, where did you work?”
Tim: “The one I put on my application.”
Interviewer: “Which one was that?”
Tim: “Uh, Pest Arrester, I think.”
Interviewer: “When did you work there?”
Tim: “Same dates I listed.”
Interviewer: “And those dates were….?”
Tim: “I can’t remember exact dates right now!”
Interviewer: “You filled this application out 10 minutes ago. You remembered then....?”
Tim: “You’re trying to intimidate me!”
Interviewer: “No need to get upset.”
Tim: “I’m not getting upset! Don’t try to mess me over!”
Interviewer: “Okay, Tim. Thanks for coming in today.”

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Here’s one technique for coaxing a former supervisor into giving a reference:

Reference Checker: “Mr. Edwards? Alice Johnson has applied to work for us here at Coast to Coast Exterminators. Alice said she worked for you from February 2003 through June 2004. Is that correct?”
Supervisor: “Yeah, that’s about right.”
Checker: “Was her performance good, fair or poor?”
Supervisor: “The lawyers say I can’t answer that one.”
Checker: “She was that bad, huh?”
Supervisor: “No! Alice did a real good job!”
Checker: “Thank you sir. I appreciate your time.”

The reference checker confirmed that Alice was a good employee. When the reference checker asks, “She was that bad, huh?” and gets stone silence from the respondent, that’s a bad reference. Just be patient and listen carefully.