January 2020

International career opportunities are growing dramatically. According to PwC’s “Talent Mobility 2020” report, annual international assignments will increase by 50 percent between today and 2020-having already grown 25 percent over the last ten years. The business world is changing rapidly and this has transformed the way the global workforce is sourced, organised and managed. Knowledge, trade, technology, capital and goods are more globally connected than ever before.

This has led to a modern concept of global talent management which comes with its own challenges. Companies and executives both share the perception that international assignments are career boosters and therefore coveted. They contribute to a global mindset and help establish global leadership competencies. In the Indian context, it is clear to me that corporate executives with international work experience have a definite edge over those who have remained in the home country.

So, with mobility on the rise, the challenge for the background screening industry is going to be to offer foolproof global checks. Some sectors-and here I can straightaway mention financial services, IT and even some SMEs-will greatly benefit from the ability of verification companies to deliver robust global tracking solutions.

As the world moves towards enhanced global mobility, organisations will demand global verification checks that are both quick as well as reliable and, of course, adhere to global laws and regulations. Consider a scenario in which Company ABC is impressed with the background and experience of Mr. Sharma and is keen to hire him for a leadership position.

Mr. Sharma worked across geographies; US, China, Brazil and Singapore, apart from his work experience in India. So, while conducting a swift screening of Mr. Sharma, which laws should the background verifier follow?

-Those of the country in which Mr. Sharma’s employer is and has been? -Those of the country in which the prospective employee is currently based? -Or those of the country where you are doing his verification?

Mr. Sharma’s education too is in not just one country and he has spent extended periods of time in different geographies. What rights do you as Mr. Sharma’s prospective employer have? What rights does Mr. Sharma have? And who will guide you through this complicated process? Well, that’s a conundrum but the answer is rather simple: it’s your background screening partner who will provide the answers and be your friend, philosopher and guide. The complexities of accurately verifying background information are many and that is why you need professionals well acquainted with global laws to diligently sift through the whole process and give you foolproof solutions.

Quality background screeners must have thorough knowledge of understanding of local regulations but beyond that they will also need to have an understanding of cultural challenges. Only then can they aspire to provide global tracking solutions to their clients covering, apart from prospective candidates, franchise partners, suppliers, logistics solutions providers and vendors.

Delay in providing effective and reliable background check has the potential to impair business outcomes. Equally, or perhaps more damningly, a less than thorough global tracking solution can deal a severe blow to corporate reputation, hence its integrity must remain non-negotiable, in spite of the complexities and costs of such screening processes.

“Appointment letters become a starting point for industrial disputes in many cases”. In extreme cases, the companies’ even try to deny that the worker was appointed by them said a senior labour ministry official.’’ According to The Hindu,’ appointment letters will be made mandatory soon for companies with more than 10 workers’. Companies in the manufacturing, construction, plantation, mining and a few more sectors will have to issue a letter of appointment at the time of hiring. It shall be a good way to build relationship and commitment beyond verbal job assurances. The unorganized sector shall be greatly benefited from this much needed step.

As it is, employment verification is a pre-requisite to exhaustive background verification. To start with, previous employments can be checked with last authorized appointment letters, to confirm last held positions. Granting appointment letters at all levels will not only remain as an evidence of employment but also ease out verification of past employment credentials. The letters will help bridge gaps between the employer and the employee, clearly stating the entitlements.

Centre of Indian Trade Unions President A.K. Padmanabhan said only a handful of labour laws such as the Sales Promotion Employees (Conditions of Service) Act, 1976 specifically talk about the need to issue an appointment letters. The letter includes critical data like designation, tenure, benefits etc. “Appointment letter is the only authoritative proof that a person is employed and all the statutory benefits including Employees’ State Insurance, provident fund are passed on to her or him,” Mr. Padmanabhan said. There have been instances where employees are removed, amidst on-going contacts leaving no evidence of employment.

Any kind of employment or work engagement including contingent and temporary contracts require to be well-documented to be presented, when needed during verification processes. To avoid any administrative and compliance hassles, employers avoid handing out formal letters. But then the letter can pave way for the next best job for the candidate.