Hiring the right candidate is one of the most critical decisions an organization can make. Ensuring this decision is informed and accurate requires a reliable employment history check (EHC). This process validates a candidate’s professional background, reducing risks and enhancing organizational trust.
Traditional EHCs often involve manually verifying roles, responsibilities, and reasons for leaving—a process that can be both time-consuming and subjective. With OnGrid, EHC is revolutionized using Universal Account Number (UAN) and Provident Fund (PF) data, offering a streamlined, accurate, and cost-effective alternative.
This blog will cover
- What an employment history check is
- Why employment history checks are essential
- How UAN-based EHC works with OnGrid
- Challenges addressed by OnGrid’s EHC
- Best practices for implementing UAN-based EHC
What is an Employment History Check?
An employment history check is a process by which an organization verifies the job-related details provided by a candidate during the hiring process. This includes verifying:
- Company Name: Verified employers based on official records from the Employees’ Provident Fund Organization (EPFO).
- Dates of Employment: Joining and exit dates for each company linked to the candidate’s UAN.
While candidates typically provide this information in resumes or applications, an employment history check ensures the accuracy of these claims. This is vital because misrepresentations in resumes are common and can lead to hiring decisions based on false information.
Why Employment History Checks Are Important
1. Preventing Misrepresentation and Fraud
Employment history checks protect organizations from hiring candidates who falsify work details. Studies show that nearly 60% of resumes contain inaccuracies. By using UAN and PF data, organizations can verify claims with official, verifiable records.
2. Ensuring Accuracy and Alignment
PF contributions tied to a candidate’s UAN provide irrefutable proof of employment, confirming critical details like:
- Employer names
- Employment dates
- Tenures
This accuracy is especially crucial for roles requiring specific levels of experience.
3. Mitigating Hiring Risks
A bad hire can disrupt team morale, waste resources, and damage client relationships. OnGrid’s automated EHC identifies potential issues, such as dual employment or missing exit dates, helping avoid these risks.
4. Enhancing Efficiency and Reducing Costs
Traditional manual verifications are labor-intensive and prone to human error. OnGrid’s automated process fetches data directly from EPFO, offering faster, more efficient, and highly reliable results.
How UAN-Based Employment History Checks Work with OnGrid
OnGrid has simplified the employment verification process into four steps:
Input UAN and Candidate Consent
- Begin the verification by entering the candidate’s UAN into OnGrid’s system
- Ensure explicit candidate consent to maintain compliance and transparency
Data Fetch
OnGrid’s system retrieves PF deposit records from EPFO, revealing a candidate’s employment history, including:
- Employer names
- Joining and exit dates
Analysis
The fetched data is analyzed to detect:
- Overlapping employment periods
- Missing exit dates
- Instances of dual employment
Results Compilation
The results are shared with the employer, highlighting potential red flags or discrepancies for further review.
Challenges Addressed by OnGrid’s EHC
1. Dual Employment
OnGrid identifies instances where multiple employers have made overlapping PF contributions for the same period, indicating dual employment. This is critical for roles requiring exclusivity.
2. Missing Data
For cases where exit dates are unavailable, OnGrid analyzes PF deposit patterns to confirm employment details or detect anomalies.
3. Candidate Reluctance
Using official records ensures candidates understand the security and transparency of the process, reducing pushback and improving cooperation.
Benefits of UAN-Based Employment History Checks
Organizations leveraging UAN-based EHC with OnGrid gain:
- Accuracy: Verified PF data eliminates guesswork
- Efficiency: Automation ensures faster and error-free processing
- Transparency: Official EPFO records leave no room for ambiguity
- Cost-Effectiveness: Automated processes save time and resources
Best Practices for UAN-Based EHC
1. Obtain Candidate Consent
Always ensure that candidates are informed and provide explicit consent for their UAN data to be accessed. This builds trust and compliance.
2. Focus on Relevant Details
Avoid unnecessary complexities by verifying only critical data points like company names, employment dates, and tenure.
3. Leverage Automation
Utilize tools like OnGrid’s automated EHC system to reduce manual efforts and ensure scalability.
4. Address Exceptions Proactively
Handle discrepancies, such as dual employment or missing data, through additional checks to ensure accurate and fair conclusions.
Conclusion
Employment history checks are a vital part of the hiring process, ensuring that organizations make informed decisions while safeguarding against fraud or misrepresentation. OnGrid’s UAN-based EHC provides an innovative, automated, and transparent solution, allowing employers to verify essential details efficiently and cost-effectively.
By focusing on critical data points and leveraging technology, organizations can protect themselves from hiring risks, save time and resources, and build a trustworthy workforce.
With OnGrid’s advanced solutions, employment history verification is no longer a challenge—it’s a step toward building stronger, more reliable teams.
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