What Can Former Employers Really Tell You About Candidates?

The process of contacting a job candidate's former employers, supervisors, or colleagues to verify work history and performance. Helps employers make informed hiring decisions and reduce the risk of bad hires.
Jimmy Law

Reference checks are the process of contacting a job candidate's former employers, supervisors, or colleagues to verify work history and gather information about their past performance, skills, and work habits. This verification step helps validate what candidates told you during interviews and can reveal concerns that didn't surface through other selection methods.

For hourly positions where turnover is costly and bad hires disrupt operations, reference checks provide an additional data point before making final offers. According to SHRM background screening research, 87% of employers conduct reference checks, and 45% report discovering information during reference checks that changed their hiring decision.

Why Reference Checks Matter

Reference checks verify employment history and catch resume fraud. Candidates sometimes exaggerate job titles, inflate responsibilities, or extend employment dates to hide gaps. A quick verification call confirms whether someone actually held the position they claim and worked the dates listed. According to recent SHRM data, approximately 53% of job applications contain some form of inaccuracy or false information.

References reveal information candidates won't volunteer. Most people present their best selves during interviews, emphasizing strengths and minimizing weaknesses. Former supervisors can share patterns of behavior, work habits, or performance issues that help you predict whether the candidate will succeed in your environment.

References from industry peers validate specialized skills. If you're hiring a sous chef who claims expertise in specific cuisines, a reference from their former executive chef can confirm those skills. For certified positions, references verify that credentials are current and were earned legitimately.

Reference feedback sometimes contradicts interview impressions. A candidate who interviewed beautifully might have references revealing chronic attendance problems or difficulty accepting feedback. This dissonance prompts deeper investigation before making an offer you'll regret.

What You Can Legally Ask

Federal law doesn't restrict what you can ask former employers, though state laws vary on what information former employers can legally share. Many former employers limit their responses to confirming dates of employment and job title due to lawsuit concerns, but it's legal for you to ask more detailed questions.

Safe, productive reference questions focus on factual, job-related information. Ask about dates of employment and position held, attendance and punctuality patterns, strengths and areas for development, eligibility for rehire, and reason for leaving. These questions yield useful information while staying within acceptable boundaries.

Performance-based questions provide valuable insights: "How would you rate this person's customer service skills compared to others in similar roles?" "Can you give me an example of a challenging situation they handled well?" "What type of work environment helped them perform best?" "If you had an appropriate opening, would you rehire this person?"

Avoid questions about protected characteristics such as disability or health issues, family status or pregnancy, age or retirement plans, workers' compensation claims, or union activities. Stick to job performance and workplace behavior.

When and How to Conduct Reference Checks

Timing matters for efficiency and courtesy. Conduct reference checks after you've narrowed to finalists but before making a final offer. Checking references on every applicant wastes time. Making an offer before checking references creates awkwardness if negative information surfaces.

Ask candidates for permission to contact references and provide reference contact information. Most applications include a section where candidates authorize reference checks, which protects you from privacy concerns. Get complete contact information including name, title, company, phone number, email, and relationship to the candidate.

Phone references generally yield more information than email or written forms. People speak more candidly in real-time conversation than in writing that creates a permanent record. Email is acceptable for basic employment verification but less effective for gathering detailed performance feedback.

Block 15-20 minutes per reference call. Brief verification calls take five minutes. Detailed reference discussions with talkative former supervisors might run twenty minutes. Schedule reference calls during normal business hours when you're likely to reach people.

Conducting Effective Reference Calls

Introduce yourself and explain your purpose: "Hi, this is Sarah Chen from Oakwood Restaurant. I'm calling regarding Adam Lopez who has applied for a server position with us and listed you as a reference. Do you have a few minutes to answer some questions about her work with you?"

Confirm the basic facts first. Verify employment dates, position held, and reporting relationship. This establishes baseline information and reveals any discrepancies with the candidate's application.

Move into performance questions once you've confirmed the basics. Use open-ended questions that encourage detailed responses rather than yes/no answers. "What were Maria's primary responsibilities?" yields more than "Did she wait tables?" Follow up with "Can you tell me more about that?" when responses are brief.

Listen for what's not said. If you ask about strengths and the reference struggles to identify any, that silence speaks volumes. If you ask about weaknesses and get evasive answers like "I really can't think of any," that suggests reluctance to be honest rather than genuine perfection.

Take detailed notes during reference calls. Document who you spoke with, when, what they said, and your overall impression. These notes support your hiring decision and provide documentation if questions arise later.

Reading Between the Lines

Enthusiastic references suggest strong performance. When former supervisors volunteer positive information you didn't specifically ask about, genuinely seem sorry they lost the employee, or speak at length about the person's contributions, those are strong signals.

Lukewarm references raise concerns. Bland, generic responses like "She was fine" or "He did his job" suggest mediocre performance or problems the reference won't directly state. Minimal enthusiasm despite the candidate listing this person as a reference indicates issues.

Some company policies prevent supervisors from providing references beyond employment verification. While this isn’t automatically a red flag, use contextual clues to see what information might be missing. For example, you can research that company on review sites like Glassdoor or Google and Yelp reviews to see what their own reputation is. If former employees frequently report problematic issues and customers validate that, your candidate may have escaped a toxic situation. 

Consistency across multiple references validates information. If three different references all mention the candidate's exceptional reliability or all note their difficulty handling criticism, that pattern is highly predictive. Isolated comments could be aberrations, but repeated themes represent genuine characteristics.

Red Flags from Reference Checks

Employment date discrepancies between what the candidate claimed and what references verify require explanation. A gap of a few weeks might reflect memory lapse. A gap of months suggests deliberate deception to hide a termination or unemployment period.

Job title or responsibility inflation creates concerns about honesty. If the candidate claimed to be an assistant manager but the reference says they were a shift leader, question what else they've exaggerated. Some inflation reflects different organizations using different titles, but significant disconnects warrant investigation.

"Not eligible for rehire" could be a serious red flag. This designation typically follows termination for cause or resignation in lieu of termination. Probe gently with the reference about circumstances while respecting what they're willing to share, and verify with other sources that the company itself isn’t the root problem. 

Vague or evasive responses to straightforward questions suggest the reference has negative information but is reluctant to state it directly. Multiple references who can't be reached or don't return calls might mean the candidate provided fake references or listed people who don't want to serve as references. Give candidates the opportunity to provide alternative contacts, but persistent inability to verify references through multiple attempts should give you pause.

Professional References Versus Personal References

Professional references from supervisors or colleagues provide more valuable information than personal references from friends or family. Someone's former manager can speak to work performance. Their neighbor cannot.

Request supervisor references whenever possible. Peers can describe collaboration and teamwork, but supervisors better assess overall performance, reliability, and areas for development.

Recent references matter more than old ones. Someone's performance five years ago has limited relevance compared to that from the past two years.

Some candidates, particularly those new to the workforce or in entry-level positions, may lack professional references. For these candidates, teachers, coaches, volunteer coordinators, or others who can speak to work ethic and reliability substitute for employment references.

Documenting and Using Reference Information

Create a standard reference check form to ensure you gather consistent information from all candidates' references. Include spaces for the reference's contact information, relationship to candidate, employment verification details, performance assessment, and your overall impression.

Summarize key points from all references in your candidate evaluation. Did references confirm the strengths you observed in interviews? Did they raise concerns you hadn't identified? How do this candidate's references compare to other finalists' references?

Share relevant reference information with interview team members when making final hiring decisions. If references revealed consistent patterns of tardiness, that should factor into discussion about which candidate to select.

Maintain reference check documentation with other hiring records. These notes demonstrate you conducted due diligence and support your hiring decision if later questioned. Retain according to your record retention policies, typically at least one year.

When Reference Checks Reveal Concerns

Negative reference information requires careful handling. Give candidates an opportunity to address concerns before automatically disqualifying them. Perhaps there's a reasonable explanation, or the situation has been resolved through growth and experience.

Consider the source and severity of concerns. A single lukewarm reference among otherwise glowing ones might reflect a poor fit with that particular supervisor. Multiple references citing the same issues represent genuine patterns worthy of serious weight.

Balance reference feedback against all other selection data. Someone with mediocre references but who demonstrated exceptional skills in your practical assessment might still be worth hiring with a clear development plan.

Document your decision-making process when reference checks influence hiring decisions. If you rejected a candidate partly based on reference feedback, note what specific information contributed to that decision and why you determined it was job-related.

Reference checks work best as part of a comprehensive hiring process including clear job descriptions, structured interviews using proven techniques, skills-based hiring approaches that verify actual capabilities, and thorough evaluation of KSAs. Communication tools that help you coordinate with references across time zones and schedules make this verification step more efficient.

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