How to Verify a Former Employer’s Employment Details when the Company is Out of Business

Verifying a former employer's employment details as a recruitment process can be challenging when the company has gone out of business. However, there are several effective strategies to gather reliable information. This article outlines various methods and provides practical tips to ensure the accuracy of the information you collect.

Strategies to Verify Employment Details

When a company has ceased operations, verifying the position of an individual becomes a complex but manageable task. Here are several approaches that you can use:

Contact the Individual Directly

Begin by asking the person directly for their employment details. Request specific information such as their job title, dates of employment, and any responsibilities they held. This step is crucial and often provides the foundational information you need.

Check References

Review the references provided by the individual. Contact these references to confirm the person's employment details. This method can help you cross-reference the information and ensure accuracy.

Look for Documentation

Request any relevant documentation that the individual may have. Common documents include:

Pay stubs: These provide information about wages and employment periods. Tax documents: Such as W-2 forms, which offer a summary of the individual's wages and tax deductions. Offer letters or employment contracts: These documents detail the terms and conditions of employment. Performance reviews: These can provide insight into the individual's performance and the role they played within the company.

Search Online

Utilize online resources to gather information:

LinkedIn: Check the individual's LinkedIn profile for their work history and endorsements from colleagues. Archived Websites (Wayback Machine): View old versions of the company’s website, which may list employees or provide context about the company's structure. Professional Associations: If the industry has professional associations, they may have records or could provide leads on verifying employment.

State Labor Department Records

Some states maintain records of employment that may be accessible to the public. Contact the local labor department for guidance on how to access these records.

Networking

Consider reaching out to individuals who worked at the same company for confirmation. Networking can provide valuable firsthand information.

Using Employment Verification Services

To save time and gather comprehensive information, consider using professional employment verification services like 'The Work Number.' These services work by collecting employment dates from electronic records and paid member downloads, making the verification process more efficient.

Saving and Utilizing Pay Stubs

Within the United States, 'The Work Number' is the largest employment verification service, working with about 90% of US employers. Save your W2s, pay stubs, or tax filings from previous employers. This information can serve as a valuable reference.

Background Check Considerations

Background checks can be costly but are essential for verifying employment history. Companies prefer to keep these costs low. Services like 'HireRight' streamline the process by asking for references or pay stubs first, thus avoiding the 15 hit fee.

When conducting a background check, understand that it is a time-consuming and expensive process. Background checks are not as straightforward as often depicted on television. Court records are not readily available online, and the process involves sending employees to county courthouses to obtain information.

In conclusion, verifying a former employer's employment details when the company is out of business requires a combination of direct interaction, online resources, and professional services. By following these steps, you can gather accurate and reliable information for your hiring process.