Company:HireRight

From HandWiki
Short description: American employment screening company
HireRight
TypePublic
NYSE: HRT
IndustryPre-employment screening
Founded1995[1]
HeadquartersNashville, Tennessee
Key people
Guy Abramo
ProductsBackground Check
Websitewww.hireright.com

HireRight is a global family of background screening companies based in Nashville, Tennessee.

Acquisitions and mergers

Powerchex

On June 23, 2010, HireRight announced that it had acquired Powerchex, a UK-based pre-employment screening company specialising in the financial services sector in the City of London.[2] Powerchex was a full member of the UK chapter of the National Association of Professional Background Screeners or NAPBS,[3] and was started by Alexandra Kelly in 2005 who is the former managing director and owner of the company.

In October 2010, Powerchex was rebranded as HireRight.[4]

Both Powerchex and Kroll Background Screening (below) are now fully owned subsidiaries of HireRight.

Kroll

On August 3, 2010, HireRight then-parent company Altegrity Risk International announced it had completed the acquisition of Kroll Inc. from Marsh & McLennan Companies in an all-cash transaction valued at US$1.13 billion. In October 2010, Kroll Background Worldwide was rebranded as HireRight.[4]

On March 13, 2018, it was reported that Duff & Phelps Corp. would buy Kroll, Inc. (which did not include background screening portion of the former Kroll business that had been rebranded with HireRight brands).[5] On June 4, 2018, the transaction was completed.[6][7]

General Information Services

On Friday, May 25, 2018, HireRight and General Information Services (GIS) announced their intent and agreement to a merger.[8] The companies announced the closing of the merger on July 12, 2018.[9] The resulting combined group is the largest provider of background screening services in the United States. Following the merger, HireRight rebranded, with both HireRight and GIS using the new branding.[10]

J-Screen and PeopleCheck

On October 12, 2019, HireRight announced the acquisition of J-Screen in Japan and PeopleCheck in Australia.[11]

Legal issues with service

HireRight was the subject of a number of class-action and Fair Credit Reporting Act (FCRA) lawsuits.[12][13] In 2011 the company paid $28 million to plaintiffs who accused HireRight of failing to provide copies of reports to job applicants and failing to resolve disputes.[12] And on August 8, 2012, the US Department of Justice announced HireRight settled charges of violating the FCRA for $2.6M.[12][14]

Companies that use background check services must follow FCRA procedures or face class-action liability with millions of dollars in exposure.[15] According to a Wall Street Journal investigation into hiring practices in the trucking industry, class-action lawsuits were brought against trucking companies over how they use HireRight.[12][16] HireRight customer U.S. Xpress settled in 2013 for $2.75M, and Swift in 2014 for $4.4M over their failure to disclose hiring practices.[17][18][19][20]

See also

References

  1. ↑ "Fact Sheet". https://www.hireright.com/about-us/fact-sheet. Retrieved 11 May 2019. 
  2. ↑ "Third of applicants tell lies to get a job". ERT Weekly. September 1, 2005. http://www.accessmylibrary.com/premium/0286/0286-11432072.html. 
  3. ↑ Powerchex Joins the National Association of professional background Screeners [|permanent dead link|dead link}}]
  4. ↑ 4.0 4.1 "Kroll Background Worldwide And Powerchex Unite Under HireRight Brand". https://www.hireright.com/news/press-release/kroll-background-worldwide-and-powerchex-unite-under-hireright-brand. Retrieved 11 October 2019. 
  5. ↑ Banerji, Gunjan (March 13, 2018). "Duff & Phelps to Buy Corporate-Investigations Firm Kroll". The Wall Street Journal (The New York Times, New York City, United States). https://www.wsj.com/articles/duff-phelps-to-buy-corporate-investigations-firm-kroll-1520973140?mod=WSJ_Markets_LEFTTopStories&tesla=y. 
  6. ↑ "Duff & Phelps Announces New Business Unit After Completing Kroll Acquisition". https://www.duffandphelps.com/about-us/news/duff-and-phelps-announces-new-business-unit-after-completing-kroll-acquisition. 
  7. ↑ "Kroll's History". https://www.kroll.com/en/about-us/history. Retrieved 11 October 2019. 
  8. ↑ "HireRight and GIS to Merge". https://www.hireright.com/news/press-release/hireright-and-gis-to-merge. Retrieved 11 October 2019. 
  9. ↑ "HireRight and GIS Ownership Complete Merger". https://www.hireright.com/news/press-release/hireright-and-gis-ownership-complete-merger. Retrieved 11 October 2019. 
  10. ↑ "New HireRight, New Look". https://www.hireright.com/news/press-release/new-hireright-new-look. Retrieved 11 October 2019. 
  11. ↑ "HireRight Strengthens Global Offering with Two Key Acquisitions in Japan and Australia". https://www.hireright.com/news/press-release/hireRight-strengthens-global-offering-with-japan-and-australia. Retrieved 11 October 2019. 
  12. ↑ 12.0 12.1 12.2 12.3 Chao, Loretta (19 October 2016). "Driver-Screening Firms Draw Scrutiny". https://www.wsj.com/articles/driver-screening-firms-draw-scrutiny-1476869402. Retrieved 10 May 2019. 
  13. ↑ "Litigation: Wirt v. Altegrity, Inc. & HireRight, Inc.". https://lac.org/what-we-do/criminal-justice/litigation-wirt-v-altegrity-inc-hireright-inc/. Retrieved 11 May 2019. 
  14. ↑ "Employment Screening Services Provider Settles Charges of Violating Fair Credit Reporting Act" (in en). Department of Justice. 8 August 2012. https://www.justice.gov/opa/pr/2012/August/12-civ-986.html. Retrieved 11 May 2019. 
  15. ↑ Holland, Ron; Batten, Jonathan (20 October 2017). "FCRA 101: How to Avoid Risky Background Checks". https://www.shrm.org/resourcesandtools/hr-topics/talent-acquisition/pages/fcra-avoid-risky-background-checks.aspx. Retrieved 11 May 2019. 
  16. ↑ "Job applicants claim inaccurate background check report prevent them from finding a job | New York Consumer Law Blog". https://nyconsumerlaw.com/lawyer/2017/05/18/Background-Check-Errors/Job-applicants-claim-inaccurate-background-check-report-prevent-them-from-finding-a-job_bl29952.htm. Retrieved 11 May 2019. 
  17. ↑ Kell-Holland, Clarissa. "U.S. Xpress settles for $2.75 million in lawsuit over background checks" (in en). http://www.landlinemag.com/story.aspx?storyid=61995. Retrieved 11 May 2019. 
  18. ↑ Barradas, Samuel (11 April 2013). "Illegal Background Checks Cost U.S. Xpress $2.75 Million". https://www.thetruckersreport.com/illegal-background-checks-cost-u-s-xpress-2-75-million/. Retrieved 11 May 2019. 
  19. ↑ Jaillet, James. "Swift makes $4.4 million settlement with 160,000 driver applicants over background checks". https://www.overdriveonline.com/swift-makes-4-4-million-settlement-with-160000-driver-applicants-over-background-checks/. Retrieved 27 May 2020. 
  20. ↑ Miller, Arnall Golden Gregory LLP-Montserrat C.. "Swift Transportation Company, background checks and the FCRA | Lexology" (in en). https://www.lexology.com/library/detail.aspx?g=1146c316-4e54-4d3d-9748-3983fc933723. Retrieved 11 May 2019. 

External links



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