Business Line, Business Daily from the HINDU Group of Publications
Sunday Nov 30, 2008
Adith Charlie

‘90% of firms are not doing background screening’. 

Companies see background screening and checking of employees as additional cost and not as an investment in ensuring safety

Mumbai, Nov. 29 Corporates would have to make their ‘know-your employee’ (KYE) norms more stringent following the Mumbai terrorist attack.

Though major IT and financial service firms do a through background checking before they hire employees, others like hospitality sector seldom follow strict norms.

House keepers
Media reports indicated involvement of two employees in the house keeping department of the hotel in the terrorist attack of Taj Mahal Hotel.

However, the statement issued by Mr Raymond Bickson, CEO & Managing Director of the Indian Hotels Company Ltd, which owns the hotel said: “We have had no indications from them (the investigating authorities) that any employee or contractual staff of the hotel have been involved as part of this terrorist attack as is being reported by some media outfits.”

Incurring costs
A spokesperson for the Trident Oberoi said: “The terrorists that attacked The Oberoi Group’s hotels were at no point in employment of the hotels..”

According to experts, companies see background screening and checking of employees as additional cost and not as an investment in ensuring safety.

Realising importance
It is only when such drastic events happen that companies realise the importance of verifying the credentials of their workforce. However, after few days the intent again dies down.

Only at clients’ request
Many major companies in sectors such as financial services, manufacturing and even IT who still do not go in for background checking. In fact, several IT companies go in for such verifications only if their clients request for it.