Employee Reference Check Question:
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What is adverse selection?

Answer:

As more companies utilize more thorough background checks to evaluate job applicants, the companies that do not conduct background checks are becoming more likely to attract higher percentages of people with adverse records. "Adverse selection" in the hiring context refers to this phenomenon of companies (which do not background screen) attracting an applicant pool that generally has a higher percentage of criminal records or other potentially problematic issues in their background.

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