How to conduct an effective employee reference check

Candidates are encouraged to speak highly of themselves throughout the recruitment process. Reference checks are the best way to verify that what they’ve said is true.

Reference checks are a valuable step to implement in your hiring process to confirm that your candidate is the right fit for the job. They allow you to confirm all the good things the candidate has told you during interviews and identify any potential weaknesses the candidate may not have shared.

They’re also a great opportunity to get an outsider’s perspective on the candidate’s performance and personality; ensuring they are the right candidate for your business. Here’s our guide to conducting employment reference checks.

Prepare questions to ask the referees

To ensure you get the most out of your reference check, prepare your questions for the referee before contacting them. When creating questions, consider the referee’s position and relationship with your candidate, and use these to tailor questions to them. Keep in mind that, by law, candidates are entitled to view their reference check if they request it. Make sure you’re only asking what you need to ask.

If you have any concerns about the candidate or need further clarification on something, the referee may be able to help you. Be sure to ask them about anything you need reassurance on, but ensure that you’re asking open-ended questions and always avoid using leading questions.

Start the reference check by asking simple questions confirming the candidate’s employment dates with the referee’s company, their job title, and their responsibilities. This will then open up the conversation so that you can ask more in-depth questions surrounding:

• The candidate’s strengths and weaknesses
• Reason for leaving the referee’s company
• Attendance at work
• Areas the candidate excelled in
• Any incidents at work
• The best way to manage the candidate
• The candidate’s relationships with co-workers

Inform your candidate that you will be completing a reference check.

In Australia, it’s a legal requirement to ask your applicant for consent before a reference check is undertaken. Start the process by obtaining consent from your candidate and ask them to supply or confirm the details for their referees.

Ask the candidate to provide references who have directly supervised or managed them. If this is not possible, they can provide alternate references, such as co-workers, teachers, or family friends. For each reference, you’ll need to confirm their:

• Full name
• Job title (for professional references)
• Relationship with the candidate
• Email address
• Phone number

While you’re obtaining these details from your candidate, ask them to inform their references that they will be contacted shortly. If the references have already been made aware that you’re going to reach out, you’ll catch them a lot easier. They’ll be expecting you to contact them and have time to think of anything they need to say about the candidate before the check.

Once you’ve obtained your candidate’s consent, you can begin your reference check!

Call the referee

Whilst some people choose to conduct reference checks by email, we recommend doing them over the phone as it allows for a more detailed conversation about your candidate, and you can use the referee’s responses to your questions to prompt further questions or dig deeper.

Your referee should have already been notified that you’ll be reaching out, so most of the time they’ll be able to chat when you first ring. However, if they don’t answer or can’t talk at that moment, send them an email to organise a time where they can. Don’t default to doing the check by email. Be prepared to be flexible, as you are asking the referee to take time out of their day for you!

Conduct the reference check

Start the reference check by introducing yourself, your position, and your company. Next, explain that you are conducting a reference check for your candidate and ask the referee to confirm that they are happy to continue.

You can then start with your first question! From here, you don’t need to stick strictly to your list of questions. In fact, it’s best to have a conversational reference check where you can ask further questions based on the referee’s answers! It’s still important to refer to it throughout the check, however, to ensure that you do not forget anything.

During the reference check, compare the referee’s answers with the answers your candidate provided to similar questions during interviews. For example, if you ask the referee what the candidate’s weaknesses are, see how this aligns with the candidate’s self-identified weaknesses during their interviews.

If the reference suggests any areas for improvement during the reference check, note these down, but be careful not to automatically treat any constructive criticism as a red flag in the candidate. With the right support, people change!

To finish the reference check, explain the job that you are considering the candidate for, and ask the referee if they think the candidate would be well-suited to this position or not.

If you’d prefer to have someone else take care of the reference check for you, reach out to a specialist recruiter! We take care of all compliance checks, including reference checks at Fuse. Fill out the form on this page to find out more.