Employers are frequently contacted by third parties seeking to verify a current or past employee’s relationship with the company. Occasionally, providing contact information for professional references will suffice, but in many cases, a formal documentation of Employment Verification, or “Proof of Employment” letter, is required. For a thorough overview of the employment verification process, including situations that typically call for confirmation, check out this additional post (https://www.truework.com/verifications/knowledge/human-resources/what-is-employment-verification/) in our Knowledge Center.
Collect all information required to complete the request
A timely response is essential as many important decisions depend on a successful proof of employment. Ensure your proof of employment letter sufficiently supplies all necessary information by verifying what’s needed and communicating with the employee whose information has been requested.
Inform an employee in writing of a request about their employment details
Occasionally, a third party may initiate a background check, including employment verification, without an employee’s knowledge. Be sure to let your employees know when you receive a request to verify their employment to avoid unnecessary disclosures.
Confirm the details required to complete the request
Not all employment verification requests are the same. Some, such as those connected to loan applications, are mainly about verifying an employee’s income. Requests associated with hiring may require more details about an employee’s day-to-day responsibilities, and occasionally, performance. If there’s any question about what information a verifier requires, be sure to clarify the essential details you should include to avoid the need for further communication.
Contact all relevant departments
Depending upon the size of your company, you may have a process set up to respond to employment verification requests. If there’s any question about certain details of the employee’s tenure, be sure to contact the appropriate department(s) to ensure you’re sharing the correct information.
Avoid unnecessary disclosures, such as health or salary information
For the most part, it’s illegal to share any health information about employees. The Americans with Disabilities Act (ADA) and the Health Insurance Portability and Accountability Act (HIPAA) provide specific restrictions to protect an employee’s privacy. Salary information is likewise protected in many locales, including New York City and California. For a thorough overview of employment verification laws, check out the other post in our Knowledge Center here (https://www.truework.com/verifications/knowledge/employment-verification/employment-verification-laws-explained/).
Use a formal business letter format
Many employment verification requests arise during situations that can have a serious impact on an employee, such as renewing a work visa or securing a loan for a new home. Adhering to a formal business letter format helps ensure that you’re including all relevant information to help complete the verification.
Present employment details completely and succinctly
An effective employment verification letter is designed to confirm all relevant details of an employee’s tenure with a company. Typically, the following information is included:
Get a head start by using our employment verification letter template (https://docs.google.com/document/d/1qT9eIUT0KSYhQgIZXSV_pfuMSu3WPGS6K6hUFBiMcVs/edit?usp=sharing).
Employment verification letters are fairly simple to create, but it’s essential that employers are thorough when crafting their responses. Be sure to provide all of the relevant information needed to fulfill a given request to avoid causing employees to miss out on important opportunities like a credit line approval or a new job offer. When in doubt about what information to disclose, employers should check with the employee to better understand the reason for the request for verification.