Making the Best Hire Lawfully & Effectively

Making the Best HireLawfully & Effectively Alan Holz 651-621-8536 alanholz@otcpas.com

Interviewing & Hiring • Conducting Lawful Pre-Employment Interviews • Interviewing skills and techniques • Red Flags • Types of interview questions • Behavioral Interviewing • EARS • References and background checks • Social Networking

Lawful or Unlawful? 1. How old are you? 2. What schools have you attended and when? 3. Are you married? 4. Do you wish to be addressed as Ms. Miss or Mrs.? 5. What does your spouse do for a living? 6. Do you have children at home? 7. Would you be available for overtime work on Saturdays and Sundays? 8. You have an interesting first name. Where are you from? 9. How long have you lived in Walker?

Lawful or Unlawful? • Have you ever been arrested? 11. Have you ever been convicted of a crime? 12. Do you own a car? 13. I see you were in the military. What type of discharge did you receive? 14. What clubs, lodges do you belong to? 15. Have you ever filed for worker’s comp?

Lawful or Unlawful? 16. Can you lift 30 pounds, Jane? 17. Have you had any prior work injuries? 18. What happened that put you in a wheelchair? 19. Are you a U.S. citizen? 20. How many sick days did you take last year?

Lawful or Unlawful? 21. Are there any languages you speak or write fluently? 22. Do you have any relatives that work here? 23. I’d really like a reference from your pastor. Can you arrange that?

MN Law Prohibiting Discrimination • Minnesota Human Rights Act Prohibits employment discrimination on the basis or race, color, creed, religion, national origin, age, sex, marital status, disability, sexual orientation, status with regard to public assistance, membership or activity in a local commission.

Federal Laws Regarding Discrimination • 1st, 5th and 14th Amendments • Civil Rights Act of 1866 and 1871 • Title VII of the Civil Rights Act of 1964 • The Equal Pay Act of 1963 • The Age Discrimination in Employment Act of 1967 • The Rehabilitation Act of 1973 • The Vietnam-Era Veteran’s Readjustment and Assistance Act of 1974

Federal Laws, cont. • The Immigration and Reform and Control Act of 1986 • The Americans with Disabilities Act of 1990 • Executive Orders 11246 & 11141

Interviewing • First, do your homework: • Review job description (education,skills, experience required), resume, application • Use pre-planned, structured interview process and questions • Ask the same questions of all applicants • Plan or incorporate some behavioral interview questions

Phone Screening(also emailed screening questions) • Advantages: reduce time to fill openings screen out the obviously unqualified reduces number of candidates to physically interview able to rank and determine interview order

Phone screening, cont. • Disadvantages: time consuming requires timely call backs more difficult to get a “feel” for the applicant too short a period of time open to EEO/legal liability

Red Flags • For follow-up during the interview: (Ensure all applicants complete an application for employment) • Lotza’ jobs over a few years (job-hopper?) • Unexplained Gaps in Employment • Inconsistent dates and locations • Jobs in numerous geographical locations • Credentials that look too good to be true • Inflated job titles compared to responsibilities • Exaggerated experience • Lack of logical career progression • Typos, misspellings, grammatical errors

1st Things 1st • Determine performance criteria • Job Description or • List key, critical, essential skills

Customer Service Representative • Skills needed and/or desired? • Energy • Verbal Communication Skills • Sales skills • Tolerance for Stress • Ability to listen and understand • Knows what constitutes great customer service • Team Player • Technical Skills (Computer skills, Products, Services,) • Work ethic

Interviews Use an interview guide to: a. Ensure consistency b. Improve the flow of the interview c. Assist in gathering the right information d. Evaluate candidates later on in the process e. Serve as documentation for the interview (same applies to phone screening interviews)

Select Appropriate Environment • Select private room, allow no interruptions, forward phone • Establish rapport, put applicant at ease • Outline the process and time frame • Always treat candidates with respect • Explain note-taking • Indicate time for questions will come at the end of the interview • Listen, listen and listen some more • Remember the 80/20 Rule!

Getting Applicants to Talk • Use Basic Courtesy • Make them comfortable • Start off slowly • Be a good listener • Use Silence • Ask good questions

Traditional Interview Questions • Are necessary to clarify specifics about education and experience • What type of position are you looking for? • Are you looking for part-time or full-time employment? • What prompted your interest in our position? • What influenced your decision to attend the University of MN? • How did you decide on your major? • What was your GPA? • What’s your availability for employment? • Are you eligible to work in the U.S? • What do you know about our Company and/or the position for which you are applying? • What skills do you bring to the job? • Why did you leave your last position? • What does “lack of opportunity” mean? • How would your manager describe your performance? • Do you have a list of potential references? • What are you looking for in your next career opportunity? • What do you wish to avoid in your next job? • What do you like, dislike or what are your strengths/weaknesses. • What computer software programs are you familiar with? • What are your salary requirements? • What questions do you have for me?

Past Behavior is the Best Predictor of Future Behavior • Behavioral Interviewing • Behavioral questions encourage applicants to provide descriptive and specific answers (and discourage hypothetical, theoretical responses, statements of opinions or feelings or general responses).

Why Behavioral Interviewing? • What are your strengths? • The applicant will tell you what he/she thinks you want to hear. • I love multi-tasking • I’m a great salesperson • I am detail-oriented • I am conscientious and dependable • I am good with numbers • I get high marks as a good supervisor/manager • I am a team player • I’m a people person

Behavioral Interviews • Ask for specific examples or actual events • Use open-ended questions • Stay on one topic at a time • Make sure the questions are job-related Don’t ask leading questions, closed questions, illegal questions or “what if” questions

Behavioral Questions • Start with: • Tell me about a time…. • Describe a time when…. • Describe a situation…. • Give me an example…. • How did you…. • Could you tell me…. • What is your way of dealing with….Give me an example • How have you….Give me an example

Behavioral Questions • Tell me about a time you had a particularly difficult problem to solve. What was the problem, how did you solve it, or what was the result? • Tell me about a time when you had to take care of an upset customer? What was the situation, the issue. What did you do and what was the result? • Describe a time when you went the extra mile for a customer? (Situation, Action, Result?). • How have you “broken the ice” in a first conversation with a customer? • What do you like about being in Customer Service? What’s the most difficult part of being a CSR? Give me an example……… • Tell me about a time you had to say “no” to a customer?

Behavioral Questions, cont. • Tell me about the biggest risk you ever took? • Describe the biggest challenge you ever faced? • Tell me about the most creative thing you’ve ever done? • Tell me about the most frustrating thing you ever had to deal with? • What’s the last, best business book you have read and what did you learn or applied that learning? • What was the most difficult decision you have made in the last year? What made it difficult? Options considered? Results?

Behavioral Questions • What kinds of decisions do you make rapidly and which ones to you take more time on? • Tell me about a new policy (procedure, program) you recently implemented. • Cite an example where you had to delegate authority? How did it work out? • How do you keep your staff informed of what’s going on in the organization? • What situations do you find most frustrating? How have you dealt with them?

Behavioral Questions, cont. • Give me an example of doing more than what was required in your job at ______. • What are your career goals in the next 3-5 years? What have you done to accomplish them? • What was one of the worst communication problems you have experienced? Give an example. • We all have ways of showing our consideration for others? What are some of the things you have actually done?

Behavioral Questions, cont. • Describe a recent problem in which you included your subordinates in arriving at a solution? • Describe a problem you worked on as a team member ? How did you contribute? • Could you share with us recent accomplishment of which you were particularly proud?

Evaluating Interview Responses • Behavioral questions tell you what the applicant has actually done! (Past behavior=Future behavior). How do you know if you got a specific, descriptive answer?

Listen for EAR or STAR • STAR=Situation or Task, Action & Result • EAR=Example, Action, Result Example: Specific and tied to a specific incident Action: Answer demonstrates behavior, what they did in the situation Result: Answer provides an outcome of their action, describe what happened. Need all 3 of the above to evaluate. If not provided, question the applicant further.

EARS Examples? • It was my job to schedule and prepare monthly summaries. • I enjoy sales. We were always on the go making sales presentations and always found people liked our product/service. • I was responsible for ensuring the annual report was prepared on time. • I got yelled at for conducting an unofficial survey of my co-workers to get their opinion of management.

EARS? • I handled employee complaints and really nipped those in the bud. • Right after I chose the topic for my term paper, I checked the library and found out there wasn’t much to go on. So I did the best I could on the topic. I got a “D” on the paper. • I had 3 reports due at the same time. So I stayed up several nights and got them done.

EARS? • I was responsible for keeping the department’s budget records. • When I saw him shoplifting, I made sure he had the merchandise and then I confronted him with the accusation.

Probing for Additional Information • Question: What are your strengths? Answer: I think I am a very hard-working person. • Your next question?

Probing… • Question: Give me an example of when you had to show good leadership? Answer: I had to show real leadership when I worked in customer service. • Your next question?

Probing… • Question: What things in your job give you a sense of accomplishment? Answer: I like working with customers to solve their problems. • Your next question?

Probing for EARS • Question: Describe for me your most recent group effort? Answer: Just last month I served on a committee to help schedule our company’s move to a new building. • Your next question?

References and Background Checks • Why do ‘em? • Avoid harm and legal liability harm to others (harassment, violence) negligent hiring legal defense • Increased willingness of applicants to misrepresent their education and experience (particularly in the current economic downturn) • Are they worth the time and effort? (Yes as a legal defense, questionable for hiring decisions unless done well)

References • Verify Qualifications • Verify Work History • Confirm Job Duties 4. Reason for Termination 5. Verify Salary History (at least salary at termination) • Obtain some sense of temperament, work ethic, interpersonal skills

References • References vs. Background Checks • Background Checks: • DMV • Criminal Records • Credit • All governed by FCRA

References • Former employers • Former managers/supervisors • Former co-workers • Coaches, Pastors, Neighbors, Friends….

Background ChecksFCRA • Consumer Reports • Any communication of any information by a consumer-reporting agency (info. e.g. Credit standing, character, reputation, personal characteristics). Applies to criminal background checks. INVESTIGATIVE CONSUMER REPORTS Information as to applicant’s general character, reputation, thru personal interviews with neighbors, friends, and acquaintances.

FCRA, cont. • Before receiving, employers must: 1. disclose in writing to applicants that a consumer report will be requested 2. Obtain candidate’s consent 3. receipt due no later than 3-days after report is requested. 4. include that applicants are entitled to request information about the nature and scope of the investigation 5. Include a summary of applicant’s rights under FCRA

FCRA, cont. • Before taking adverse action based on a consumer report (including criminal) background checks: 1. Provide a copy of the consumer report 2. Provide a summary of consumer rights 3. Wait 5 days before taking adverse action

SOCIAL NETWORKING • My Space • Facebook • Linked-In • Twitter • ……and more!

My Space, Facebook, Linked-In • Thanks to the market for broadband services, you are hiring several new CSR’s. You have a pile of resume’s on your desk and fire up your computer to search for profiles of some of your candidates. Can you do this? • 1. No, its an invasion of privacy • 2. Yes, but only for staff being considered for management positions • 3. Yes, the internet is just another resource

Case Study • While researching on the net you access some information about current employees including a blog about how to grow marijuana. Lo and behold, the individual works for you and his photo has something hanging out of his mouth that certainly looks like a marijuana cigarette Can you fire him? • 1. No, you can’t fire for off-duty conduct • 2. Yes, you can fire him. • 3. Maybe, depends on where you live (MN, WI or ND).

Case Study • You are now really into this internet stuff and see a blog titled “Take This Job and Shove It” and you recognize it’s one of your CSR’s writing it. She is not particularly complimentary about your company and encourages other employees to vent also. You think if she is so miserable working for you, she might as well get the opportunity to work elsewhere. So, can you terminate her?

Case Study • 1. Yes, MN is an at-will employment state that does not prohibit termination based on conduct • 2. No, she is protected under the lst Amendment’s free speech guarantee • 3. No, her expectation of privacy is a result of her using a pseudonym, not her real name.

Case Study • Further research into her activity reveals she has posted blogs about the Company during work hours and from her company-provided computer. Her files are password protected. Can you access and read? • 1. No, password protected and thus she has a legitimate expectation of privacy • 2. Yes, the files are on your equipment, were made on paid time. • 3. Yes, but only if you have a policy about monitoring employee’s phone, files, and computer systems.

Making the Best Hire Lawfully & Effectively