International Approach to Pre-Employment Screening
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1 International Approach to Pre-Employment Screening Chuck Papageorgiou Chairman and CEO International Screening Solutions, Inc 2010 NAPBS August Webinar
2 International Screening Solutions, Inc. Wholesale Provider to many large players International Background Screening Services (IBSS) Data Privacy and Compliance Consulting Founded by long term industry insiders Chuck Papageorgiou Chairman/CEO Terry Corley President/CCO Privately Owned Founders and Key Managers Growing at 100% rate for the last three years Member of NAPBS Chairing two subcommittees in International Standards SHRM Presentation
3 Challenges in Employment Screening Inconsistency in screening processes Myth/Hype vs Reality and Legality Automated vs Manual Multiple approaches Push back from multiple sources Local Hiring Managers Legal Department Candidates Fear of losing top talent Cultural Aversion Lengthy screening process High Cost long Turn-Around Times (TAT) Changing employment and privacy laws SHRM Presentation
4 Today s International Candidate US Domiciled hire in US (Exec/Gen Labor) Born - United Kingdom - UK Citizen/US Res University Degree - UK and US Worked for two MNC Australia (7) - New Zealand (2) Lived in two countries US Expat hire United Arab Emirates (Engineer) Born in US - US Citizen University Degrees - US Worked in same MNC US - Belgium - Saudi Arabia Lived in three countries Foreign National Expat Hire (PM) Born Germany German Citizen University Degrees Germany Worked for three MNC Austria (3) - Italy (4) Lived in 3 countries Local National Hire in India (Software Developer) Born India Indian National University Degree India Worked for 3 India based companies Lived in one country
5 European Environment Aug 2010: New Law to Stop Companies from Checking Facebook Pages in Germany UK - ICO uncovers secret construction worker database Builder blacklist in clear violation of Data Protection Act New Law On Personal Data Protection In Ukraine - the Law prohibits disseminating personal data for any purpose other than for purpose of the original collection of such data. June 2010: German Regulator Calls for Termination of U.S. Safe Harbor
6 Latin American Environment Mexico: (July 6, 2010) New Mexican Data Protection Law: Strict Requirements and Severe Penalties Parana State Court, Brazil: Judge orders Google to set up a filter to randomize results with the plaintiff's name, enabling variety of news Starting in January 2010, new law in Chile guarantees the right to modify and delete non-updated and/or wrong personal information by personal data subjects, for free. Chilean Supreme Decree (executive decision) 950, 1928, guarantees a virtual monopoly to the Chamber of Commerce of Santiago (CCS) for processing personal data related to credit reports. However, by the 90s, there are three other main companies providing credit reports in the country, two of them were American.
7 Asian Pacific Environment Cross-border information flows between economies around the Pacific Rim are dramatically increasing in volume as IT businesses globalize their information processing services via the Internet. April 2010, Malaysia stands up Personal Data Protection Commission April 2010, the Legislative Yuan of Taiwan passed the Personal Data Protection Act (the Act), amending and renaming the Computer- Processed Data Protection Act (the CPDPA). 2009: Recent decisions of the People s Republic Of China courts helping to clarify the circumstances in which civil liability may arise under existing defamation rules when personal data is disclosed without authorization.
8 Strategy for Success Define business principles Why, What, How Who, When, Where, Establish Boundaries Priority Authority Responsibility Establish general guidelines Templates Protect the corporation PII strategies Protect your employees Data Privacy strategies Be Flexible Focus on objectives rather than specific means SHRM Presentation
9 Defined Business Principles Why What How Clear reasons/policy on why screening is relevant Identification, criminal, verifications, sanction lists, media, references, drug tests, assessments, medical Check the box vs Proof Positive In-house SPOC Ad Hoc by Geography PI Who When Where Labor demographics by country Types of positions, geography, contingent workforce, expatriate, local nationals Application - Pre-offer Contingent post-offer Country of Domicile Country of employment SHRM Presentation
10 Clear boundaries Priority Level/Position vs Timing vs Volume Authority HR vs Legal vs Security Local vs Corporate Manager Responsibility HR vs Legal vs Security Work Councils/Trade Unions SHRM Presentation
11 General Guidelines Develop Global Template Document relevant local legal provisions General, personal, workplace, privacy, human rights, consumer reporting and other local employment provisions Document data sources, methodology, local rules & customs associated with each background component Source of criminal & civil data Quality of the data Permissible uses within local employment context SHRM Presentation
12 Sample Global Template Jurisdiction General Statute Legal and Privacy Requirements Permissible Screening Components Specific Forms Required Threshold for Screening Components Compliance Standards Australia Argentina Belgium Brazil Canada Columbia France Germany Italy Japan Mexico Spain Switzerland Turkey United Kingdom 2009 NAPBS June Webinar
13 Protect the Corporation Know your vendors Size, Web Presence or NAPBS membership is NOT enough Protect Personal Identification Information Create inventory of current employee PII data uses Establish Collection/Transfer/Retention Policies Employment application forms From whom/what is data collected, and where? What data is collected? Sensitive? Define HRIS technology Data collection and transfer System Security and third party access and use Establish clear business processes Data transfer contracts with third-parties Conform to local guidelines Safe Harbor Registration with local data protection authorities SHRM Presentation
14 Protect your employees Establish a data privacy strategy that meets both the organization s needs as well as the employee s Bring organization s data privacy policies up to standard required by EU and other local specific privacy models (APEC OECD principals). Transfer data under one of the exemptions permitted under EU Directive/National laws. Transfer data as part of a contractual agreement either through model contracts i.e. Data Transfer Agreements with all data processors (approved by the E.U. Commission). Or through ad-hoc contracts to be approved by relevant national data protection authorities NAPBS August SHRM Webinar Presentation
15 Be flexible Standardize on results and competencies rather than specific methods Strive to standardize tools globally but remember, the critical point is to standardize what is assessed but to be flexible in how it is accessed. International is where US was 20 plus years ago SHRM Presentation
16 Questions Chuck Papageorgiou and Terry Corley International Screening Solutions, Inc
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