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HireRight EMEA Technology Spotlight Report
HIRERIGHT EMPLOYMENT SCREENING BENCHMARK REPORT | 20182
3
Executive Summary
2018 has been a turbulent year. The impact of the GDPR on businesses across all industries is still being fully realised, and speculation over uncertain outcomes of Brexit negotiations have never been far from the UK’s headlines. In spite of these factors, the UK technology sector is growing 2.6 times faster than the overall economy, according to Tech Nation’s Report 2018.
This Spotlight Report highlights findings from HireRight’s 2018 EMEA Employment Screening Benchmark Report, focusing on responses to questions regarding recruiting, hiring and background check practices of HR professionals in the technology sector. It also examines their views on Brexit, identifies some of the business challenges that they face and reveals other trends, showing some of the key similarities and differences between companies in the technology space and those in other industries.
Here are five key takeaways from the report:
80% of EMEA technology
companies are screening local
and international employees
pre-hire.
Only 29% of technology
companies in EMEA are
rescreening post-hire, which
is less than half the average
across all industries identified
in our EMEA Benchmark (63%).
Generally, EMEA technology
businesses are less concerned
about Brexit than those in
other sectors; no respondents
stated that they would stop
recruitment in the UK due
to Brexit.
The top business challenges
identified by those in the
technology sector were finding,
retaining and developing
talent, finding and retaining
competitive advantages, and
growing revenue.
All of the respondents from
EMEA technology companies
experienced issues with
candidates misrepresenting
information on their CVs or
job application forms.
We hope that you find this report useful in reviewing how your company fares against peers when it comes to screening and making decisions for the year ahead. Please do contact us if you would like to engage in a deeper discussion on issues affecting employers in our region.
Screening in Technology
The responses from our 2018 EMEA Employment Screening Benchmark Survey show that screening is becoming more widely adopted in the technology industry than in many other sectors. Across all areas of pre-employment screening, technology companies are being more thorough in who they screen, from their local and international employees to their contingent and remote workforce, and which elements of a candidate’s background they screen.
The top checks performed by technology companies in EMEA are employment/reference checks, criminal checks, education verifications and ID checks, mirroring the top four across all EMEA industry sectors.
However, those respondents working in the technology industry appear to be less concerned with professional licence/qualification checks and credit checks than other sectors in the region.
HIRERIGHT EMEA TECHNOLOGY SPOTLIGHT REPORT 4
Top Background Checks Conducted Pre-Hire
Who is Being Screened?
80% average 80%Local employees
International employees
International backgrounds of local employees
Extended workforce
80%
63%
43%
58% average
49% average
35% average
Employment/references
Criminal
Education
ID
Professional license/ qualifications
Credit
84%
72%
72%
69%
34%
41%
5
83% average
EMEA 2018 BENCHMARK
69% average
75% average
67% average
65% average
51% average
EMEA 2018 BENCHMARK
Rescreening & Senior Screening
Despite generally screening more broadly than in other sectors, technology companies seem to have not yet fully adopted a practice of rescreening their employees, potentially leaving the organisation vulnerable to the risk of internal threats. People change, and some may have encountered performance-affecting issues since their initial background check.
71% of technology companies in EMEA do not rescreen at all post-hire. Only 17% of companies rescreen employees when they are promoted and just 8% screen employees periodically, with no change in job role. These figures are significantly below average for the region, where we found that only 37% of businesses did not screen at all post-hire.
Given the sensitivity of intellectual property (IP) in the fast-paced technology space, and the access to data that many employees may have, organisations may wish to consider rescreening a best practice, which can help ensure an ongoing safe work environment.
HIRERIGHT EMEA TECHNOLOGY SPOTLIGHT REPORT 6
Does not screen post-hire
Screens employees who are promoted
Screens employees with no status change
71%
37%
17%
39%
8%
15%
Senior Screening
Respondents from the technology sector also seem to be rolling the dice when it comes to senior hiring, with 41% believing people have been hired for high-profile position as a result of a “gut feeling” and 37% being aware of issues that have arisen as a result of senior executives not being screened during a merger/acquisition.
Your employees may be working on innovative projects that are not yet protected by patents or trademarks, which could be costly to your business if shared with your competitors. Regularly rescreening your staff can help provide you with peace of mind and alleviate concerns you may have regarding your employees’ activities since they were hired. believe people have been hired
for high-profile positions from a “gut feeling”.
41%
know of issues that have arisen as a result of senior executives not being screened during a merger or acquisition.
37%
EMEA 2018 BENCHMARK AVERAGE
7
EMEA 2018 BENCHMARK AVERAGE
EMEA 2018 BENCHMARK AVERAGE
Brexit & Business Challenges
Whilst Brexit is still front of mind for many businesses in the UK and Europe, many EMEA technology companies appear to be less concerned than those in other sectors. They seem less worried about hiring and screening in a post-Brexit Britain, with none of the respondents saying they would stop recruitment in the UK because of Brexit.
Business Challenges
Technology companies appear to have been facing a wide variety of business challenges in 2018, pulling their HR resources in different directions. Finding and/or retaining competitive advantages, growing revenue, customer retention, working globally and innovation are all challenges that are affecting the technology sector more than others.
Conversely, risk management seems to be less of a focus, whilst these other issues are being addressed, with just 16% listing it as a main business challenge, compared to the 24% average across all industries in EMEA.
believe the UK is a less attractive place to hire now (38%)
18%
believe regularity uncertainty is making it harder to screen/recruit UK nationals (33%)
14%
None are looking to stop recruitment in the UK because of Brexit
16%
36%
36%
48%
52%
Innovation
Working globally
Customer retention
Growing revenue
Finding and/or retaining competitive advantages
Finding, retaining and/or developing talent 56%
Risk management
28%
HIRERIGHT EMEA TECHNOLOGY SPOTLIGHT REPORT 8
52% average
EMEA 2018 BENCHMARK
29% average
29% average
16% average
21% average
22% average
24% average
Trends in Technology
More than in other industries, EMEA technology companies appear to have more issues with discrepancies in candidates’ applications. Every respondent from this sector had found issues with individuals misrepresenting information on their CVs or job applications.
Further, 82% of those who screen found issues through screening that they wouldn’t have caught otherwise. Does this mean that technology applicants are more likely to exaggerate on their applications, in an attempt to secure competitive positions, or are they simply the ones being found out?
How else do EMEA technology companies differ from those in different industries?
Investment in 2018The top areas for investment in 2018 were maximising employee engagement (64%), finding qualified job candidates (64%) and improving the candidate experience from application through onboarding (59%). HR and risk professionals in all sectors shared these priorities; however, a higher percentage of those from technology companies saw these as important investments on which to focus in 2018.
85% expect their company to grow in
the next 12 months
70%
76% focusing on a Positive Candidate Experience
48%
40% integrate with an ATS
23%
9
AVERAGE ACROSS ALL INDUSTRIES
We’re Here to Help
Steve Girdler, Managing Director of International Business
+44 207 264 6265
+44 7780 606006
@SteveGirdler
uk.linkedin.com/company/hireright
@HireRight
www.hireright.com/emea
About HireRight
HireRight is a leading global provider of background screening services, helping organisations mitigate employee risk, make informed hiring decisions and meet compliance obligations.
HireRight works in more than 200 countries and territories, and has offices across the globe including the UK, USA and Hong Kong. Almost half of the Fortune 100 and over a quarter of the FTSE 100 use HireRight’s services.
The 2018 EMEA Employment Screening Benchmark Report explores trends and attitudes from EMEA HR and risk decision makers and was completed by 452 participants across the EMEA region. This report represents the findings of the respondents of the survey working within the technology sector.
These materials are provided for general informational purposes. They are not intended to be comprehensive, and should not be construed as legal advice. HireRight’s products and services are provided under HireRight’s terms of business. Please contact HireRight for more information.
HireRight Limited is a limited liability company incorporated in England (registered number 4036193) whose registered office is as Gun Court, 70 Wapping Lane, London, E1W 2RD.
Copyright © 2018 HireRight Ltd. All rights reserved. HireRight and HireRight Venture are trademarks of HireRight Ltd.
HireRight EMEA Technology Spotlight Report
