There are right ways and wrong ways for employers to give (or not give) employment references. The wrong ways can potentially put the employer on the hook for defamation or privacy right violations. Here are a few tips for how employers can manage employment references the right way.
1
Be Honest and Objective
When making representations about former employees to others, all communications should be truthful and in good faith.
2
Verify The Source of The Referral Request and The Reason for It
Clients should make sure the people they give a reference to have legitimate business reasons to request the information. If requests are received by telephone, legitimacy may be difficult to determine. Clients should consider instituting a policy that replies will be made only to written reference requests. Callers should be informed of this policy and given an address where they can send reference requests.
3
Maintain Confidentiality
Information obtained from the applicant’s references, such as that obtained from an application or interviews, should be kept confidential. This information should be shared only with people directly involved in the hiring process. If responses to reference requests contain defamatory statements, restricted access will help avoid a claim of unreasonable publication.
4
Limit The Number of People Who Can Make a Statement on The Employer’s Behalf
Employers should limit the individuals in the company who may give employment references. For example, information-giving could be limited to a human resources officer or direct supervisor who would only provide information documented in the employee’s records.
5
Be Consistent with The Reason for The Separation
Employers’ statements must be consistent with the justification given to the former employee at the time of termination. Employers should not inform a prospective employer that the former employee’s departure was for a reason different than the reason given to the employee at termination.
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