Theft from a previous employer

System

We just hired an employee whom we had heard stole some money from her previous employer, sometime between her filling out an application here and starting with us. At this point we don't have any proof that she stole any money. Can we go back to her previous employer and ask them? We are a financial institution and she needs to be bondable to work here. Can we ask her about the rumor that we are hearing? Can we fire her if she did steal from her previous employer?

Paul in Cannon Beach

How did you hear about her alleged former theft? Can you provide us that information? Was there a conviction? I would steer clear of acting on unsubstatiated allegations.

It is always possible that someone might have reasons to ruin her reputation. Don't be an unwitting accomplice. You should be as wary as a long tailed cat in a room full of rocking chairs as Don D might say.

[email]paulknoch@hotmail.com[/email]

Mel in CO

I don't think that you can take any action against this employee at the present time since all you are working with right now are rumors and not hard facts. How did you even find out that the employee even possibly stole money from the previous employer – do you have a friend that works at the other employer’s or is this something that is trickling down the grapevine? You could possibly contact the other employer to see if there is evidence that she stole money but I would be surprised if the employer told you anything over the phone. I am unsure what steps are involved in becoming "bondable" (i.e. background checks, etc.?) however I would tread very lightly right now because you don't have any proof and I would be leery of how you even found out that this possibly happened. I would also keep this situation very confidential at the present time. What if this is a vicious rumor started by someone that didn’t like her at her other position? If other employee’s (in her new position) know about this situation, they will look at her differently and treat her differently. I will be interested in others views on this situation.

Pork

You can first go to your application is there anything there that ask for convictions? but wait, you can't do that because you said between filling out the application and hiring. You have now hired a possible criminal and your position requires the handling of money. You can bet that this HR is on the line with my friendly retained attorney and seeking his counsel. Keep this information you have received close hold for now but inform the concerned Department heads and caution anyone else in your department to keep lips zipped until you can converse with your attorney. I bet he/she will advise you to check out the rumor with your connections in HR the other company; given that you get nothing there, then you must confront the individual to let her know of the rumors and the possible results (outcome)of your investigation. Ask the individual to tell you more about the situation of her departure from her previous employer. Now you will have first hand information on which to base your decision and plan of action. Given it is true and she has confessed, I would use my probationary/orientation 60 day period of time and call it quits. If she professes it is all a lie, then put her on notice that your company will continue to check out the information and you'll get back to her. Follow your attorney's advise! Good Luck Pork

Theresa Gegen TX

Like any other allegation of employee misconduct, it should be investigated. If it turns out the the "rumor" is true, that is probably enough reason for termination (even if the person was not charged or convicted).

Gather the facts, whoever gave you the information in the first place should be interviewed, and the talk to the former employer. Finally, talk to the employee and get her side of the story.

Once the facts are in then you make a determination. Since you are a financial institution, you can't ignore this, even if it is just a rumor at this point.

Good Luck.

PS. If you have to rely on an outside source to check the criminal background or do any part of the investigation, be sure to comply with the Fair Credit Reporting Act. (which requires consent and notice).