And considering employers lose about 70 %
of negligent hiring claims, with damages averaging $ 1 million per case, it is wise for employers to take appropriate measures.
Based on that admission, the restaurant asked the court to dismiss
the negligent hiring claim, arguing that negligent hiring claims are based on actions that are not within the scope of employment.
The plaintiffs also included
a negligent hiring claim, arguing that the trucking company was negligent in hiring the truck driver, given his past convictions for drugs and significant history of traffic offenses.
The appellate court hearing the case determined that the lower court was incorrect to admit evidence of the truck driver's lack of insurance in
the negligent hiring claim against ACS.
That being said, the key standards assessed by the courts in
a negligent hiring claim are «duty of care» and «forseeability.»
Past employment verifications and reference checks also protect the large financial investment the employer is making in the new hire, as well as provide defense against
negligent hiring claims.
In some cases
a negligent hiring claims can cost a business upwards of a million dollars!
It is estimated that
a negligent hiring claim can cost an organization up to $ 300,000 in damages.
Not only does this help employers ensure they are hiring the right person for the position, it also limits exposure to
negligent hiring claims.
If employers follow these three simple steps to determine, based on the answers to these questions, if a conviction is worth reporting, they will reduce
any negligent hiring claims, as well as discriminatory hiring practices.
As opposed to the price an organization will pay from
a negligent hiring claim, background checks are considered to be very inexpensive.
Not only does this help employers ensure they are hiring the right person for the position, it also limits their organization's exposure to
negligent hiring claims.