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VOE definition: What is a Verification of Employment (VOE)?


The Team at CallMiner

November 20, 2019

Confident businessman smiling with arms crossed
Confident businessman smiling with arms crossed

Ensuring your company deals with and employs only the best candidates can prove to be a very tricky feat.

Although there are many honest applicants to positions and potential commitments, there are, unfortunately, some applicants who are less than trustworthy. The information many people provide on their resumes has become more and more inaccurate as competition for jobs, loans, and other opportunities grows.

Roughly 85% of employers have come across resumes with fictitious details added in, and the current trend suggests more people will be resorting to such tactics in the coming years.

Luckily, employers and various entities that need to fact check an individual’s prior work history can call upon an arsenal of tactics, including Verification of Employment (VOE), to do so effectively. Read on to discover a bit more about this employment fact-checking process and how it can be of use.

What “Verification of Employment” Means

Verification of Employment stands as the process by which financial entities and hiring companies go about reviewing an individual’s current employment status as well as their recent history of employment.

How Verification of Employment Works

Entities and Employers Must First Ask for Permission to Begin

Employers who receive letters or other forms of communication requesting information regarding previous or current employees are generally not required to respond unless these are presented to them by government entities.

If an employer decides to respond to non-governmental requests, they may choose to request written permission from the employee in question before proceeding.

Industries that are strictly regulated by governing bodies may request such information due to legal obligations, in which case previous employers may also be legally obliged to respond. Exact laws pertaining to VOE tend to differ by state and territory.

Information is Requested from Previous Employers

This step is increasingly automated to save the researching parties time and energy; however, some may choose to handle this part of the employment verification process manually through written communication and phone calls.

Previous employers included on a given resume are contacted and asked for details surrounding an individual’s alleged employment and experience within their organization.

Although previous employers are not required by federal law to respond to all inquiries of this kind unless the government itself makes them, they often do return the information requested. Leveraging a call center risk and compliance solution, such as CallMiner, aids companies in ensuring that agents conducting verification of employment calls comply with all applicable laws and regulations.

What Information is Gathered?

Entities gathering information related to verification of employment can ask for a variety of details from previous employers to prove the authenticity of an individual’s submission.

The following options are the most commonly requested:

  • Titles – A candidate’s actual title or role in a company can help determine what supporting skills they may have developed on the job over the years. This information allows businesses to assess aptitude for senior positions and managerial duties within their organization.
  • Job Timelines – Discovering the length of time on average that a potential recruit has spent with previous employers and companies gives you a better idea of their stance on company loyalty and commitment to their roles. Armed with this information, businesses can determine whether an individual is worth the initial investment onboarding and related training processes represent. For financial agencies, this information may help to determine the stability of an individual’s income and the average amount they can be expected to earn over time.
  • Salaries and Responsibilities – Factoring in an individual’s previous wages and general workplace responsibilities can help to provide a clearer picture of their expectations regarding the roles they are applying for. If an applicant has enough experience working at a similar pay grade and has handled the kinds of tasks they would need to take on in their desired role, then they could prove to be the perfect recruit for the job. Salary details also help financial entities make more informed decisions pertaining to the granting of mortgages and other loans.
  • Termination Causes – A person’s previous positions at other companies could have ended for a varuety of reasons. In most cases, the reasons are understandable and not particularly damaging to either themselves or the organizations they worked for. However, if a candidate was fired for disruptive or particularly uncooperative behavior, they may not be worth the risk they represent for new employers.

Utilizing Verification of Employment to help guarantee all new hires you bring into your organization are ideal can vastly improve your recruiting process and even positively impact your overall retention rate. By looking into each applicant’s recent history to ensure the veracity of their claims, you can set your growing team up for success right from the start.

Of course, entities outside of the recruiting arena may find the VOE process extremely helpful in deciding what degree of risk a potential business partner, loan recipient, etc. represents for their organization.

How does Verification of Employment help your business grow safely?

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