What are reference checks?

Reference checks are the procedures involved in verifying the employment and a candidate’s performance history. It involves contacting references, provided by the candidate, and asking for specific insight into their level of experience and professionalism.

It’s good practice to first seek a candidate’s consent before speaking to their references. This gives the candidate time to contact their references and tell them to expect a call or e-mail.

Brainstorming and creating a list of questions ahead of time prepares you with all the topics you want to cover. It is also advisable to call three work-related references per candidate to get more varied information from multiple sources.

What references can reveal about a candidate

The primary purpose of conducting employment verification is to confirm whether the information on the candidate’s resume is true. It can also reveal more helpful information about the candidate’s soft and hard skills.

Hearing about a particular candidate’s career history from their former employer or coworker gives you a clue about what salary to offer them. While some employers don’t provide the exact information or figures, most offer a general range. As a small business, knowing the range of a candidate’s salary expectations helps you make better hiring decisions.

References also provide an excellent picture of the environments the candidate works best in, and how they perform in various situations and under different styles of leadership. If you’re a startup, hire someone who can thrive in different environments because your business will undergo changes as it grows.

How do you conduct a reference check?

The recommended way to do a reference check is via phone call or e-mail. In most cases, you need to book appointments for verbal confirmation or wait a few days for an e-mail response.

Another common way to gather information about a candidate’s previous work history is to ask them for proof of employment letters. You can request that these come from their past or present employers. These should include:

• A company letterhead
• Stamp and signature of the reference
• A valid e-mail address for further correspondence

The letters vary in terms of specific contents, but details such as job title(s) held and the total period of employment are always present in a proof of employment letter.

Types of questions to ask references

Reference checks help identify the strengths and weaknesses of job candidates. Here are seven relevant questions to ask when conducting reference checks:

1. What was your relationship with the candidate?

You will know how to approach the rest of the reference check depending on their answer to this question. A candidate can provide a range of references, including educators, coworkers, and supervisors from different periods of their career. If the contact was a direct superior, you can ask them questions about the candidate’s attendance and reliability. If the reference worked under the candidate, you can focus on their leadership qualities.

2. What are the candidate’s strengths and weaknesses?

A typical interview involves asking the candidate about their strengths and weaknesses, and you can ask their references the same question. You can also ask how important these strengths and weaknesses were to the company culture. The answers you get from both perspectives tell you where the candidate excels. It also reveals how they handle challenges, and ultimately, whether they’re a suitable match for your company.

3. What were the candidate’s best moments in your organization?

This question sheds light on whether the candidate went above and beyond their usual responsibilities to reach their previous company’s goals. The role of an employee is to contribute to the success of an organization, and they should show a strong work ethic to achieve the assigned targets.

The answer can help you determine if the candidate is ready to take initiative. The level and frequency of accomplishments a candidate achieved in their past jobs is a good measure of whether you can rely on them.

4. What was a significant challenge the candidate overcame?

Every role poses a challenge or obstacle to overcome at some point. How employees face those moments says a lot about their skills and professionalism. With this in mind, ask the reference for an example of a professional obstacle the candidate overcame. How the prospective employee handled the situation tells you a lot about their problem-solving skills and determination.

5. How would you describe this candidate’s reliability and dependability?

The ideal candidate is someone who can deliver quick, accurate and high-quality work on time. The reference should be able to outline the candidate’s reliability and confirm you can depend on them. Ask the reference if they can provide a real-world example of a time the candidate exhibited their reliability.

6. Given the chance, would you work with the candidate again?

Asking such a question helps you establish the candidate’s reputation. A good reference can vouch for the candidate and confidently say they would re-employ the candidate in the future. Look for a candidate that other organizations don’t want to lose.

7. Is there anything else about this candidate that you’d like to share?

Asking this question helps you learn other traits about the candidate. The previous employer or colleague can highlight other skills and traits that the candidate may not have included on their resume. For example, they can highlight the candidate’s non-industry experience and skills such as volunteering, extracurricular activities, and other impressive skills and personality traits.

Frequently asked questions

Is a reference check different from a background check?

Yes, the two have distinct differences. A reference check looks at the candidate’s work history, skills, academic background, and professional accomplishments. Background checks look into a candidate’s criminal and driving records, credit history, and drug test results.

How long do I need to send an offer after conducting a reference check?

Checking references is usually the last step of any hiring process. There is no set rule for how long you have to wait before sending a job offer. However, most employers take about three business days after checking their last reference to extend an offer to a candidate. You may take longer depending on your thoroughness and requirements.

Is it possible to reject an application after a reference check?

Yes. You can reject an application, even if the candidate’s reference gave them a glowing recommendation. Perhaps another reference mentioned some information that made you believe they aren’t well-suited to the job. This is one reason it’s good practice to get three different reference’s opinions. You may choose to shortlist two or more candidates and select the most suitable based on their reference checks.