Employers Guide to Second Chance Hiring

What is Second Chance Hiring?

Second chance hiring is the practice of hiring individuals with a criminal record. This is obviously beneficial to the person being hired, but that’s not the only reason it’s done. There are at least 70 million Americans with a criminal record. Many have old offenses that have little impact on their potential as employees. This group represents too large a pool of talent for employers to ignore.

Today, when companies are struggling to find enough workers, those that become second chance employers can gain a competitive advantage. HR departments in these organizations have found that ex-offenders are as good as or better than other employees. They also tend to be more loyal to the company that gave them a second chance.

Additionally, second chance hiring is good corporate citizenship because it is beneficial to society as a whole. Former offenders who have a job are less likely to re-offend. They also relieve taxpayers of the cost of social services required by unemployed people.

What are Second Chance Employers?

Second change employers are the employers that practice second chance hiring. Large and influential companies are getting on the second chance bandwagon. Several of them have formed the Second Chance Business Coalition. The SCBC recognizes a responsibility to allow people with criminal records to fairly compete for employment and advancement opportunities.

The membership list reads like a who’s who of American business, as it includes companies as diverse as JP Morgan Chase, Best Buy, Cisco, DICK’s Sporting Goods, General Motors, Home Depot, McDonald’s, Microsoft, Target, Proctor & Gamble, Verizon, Visa, Walmart and quite a few other recognizable names.

Second chance hiring isn’t just for large corporations. Small and medium-sized businesses can both contribute and benefit by adopting the practice.

Pros of Second Chance Hiring

There are a number of ways in which second change employees can help businesses achieve their goals and set themselves up for a successful future:

• Large talent pool. Over 70 million Americans have criminal records. This large and diverse group includes many individuals who have skills that businesses need. To look at it another way, employers who eschew second chance hiring are eliminating a large portion of the labor pool out of hand.
• Good and loyal workers. The overwhelming majority of HR managers find that second chance workers are as good as or better than the general employee population. These people are thankful for the second chance and tend to be intensely loyal. They’re eager to prove themselves and make their employers successful.
• Reduced turnover. Another benefit of their loyalty is that second chance employees are less likely to quit.
• Tax breaks. In some cases, there are federal and state tax credits available though Work Opportunity for Tax Credit (WOTC).

Cons of Second Chance Hiring

For most employers, the arguments for second chance hiring outweigh the drawbacks. However, this type of hiring is not without risks:

• Possible recidivism. You can never guarantee that these employees won’t relapse and commit new offenses. Perhaps the biggest risk is parole violation. Having someone removed from the workforce by law enforcement can hurt your company’s reputation and make other employees uneasy.
• Workplace danger. An ex-offender could revert to some former behavior and create a hazard in the workplace.
• Employee skepticism. Some of the other employees may fear that working with ex-offenders is unsafe. They may also suspect that second chance hires are being treated more favorably.

Best Practices for Second Chance Hiring

To be successful, employers must approach second chance hiring thoughtfully and methodically. Here are some best practices:

• Keep business goals foremost. Remember that you are hiring second chance applicants not to do them a favor, but because you want the best person for the job. Don’t pass over a more qualified applicant to hire a less qualified second chance applicant.
• Do your research. Consider what impact this hiring will have on your work culture and on your other employees. Connect with second chance organizations such as SCBC to learn what has and has not worked.
• Update hiring procedures. You are already required to comply with state and local laws in inquiries about criminal history. Second chance employers may have to go a step further than these laws. Implement a written policy that describes how you will evaluate past criminal offenses and specifies which people you will and will not consider for employment.
• Provide skills training. This is an opportunity to look at second chance skills training in the context of overall training for all your employees. In particular, it may provide the impetus to establish a mentoring practice within your organization. This can be of particular value to returning citizens who have recently been in prison. A mentor can help them with the daily tasks of interacting with their coworkers and ensure that the overall transition process is going well.
• Be transparent yet protect confidentiality. Your entire workforce needs to know that you have become a second chance employer. You should be open about your new policies and procedures. Answer employee questions and address their concerns. However, you should never let it become known which employees have a criminal history.
• Be inclusive. Don’t treat second chance employees in ways that are different and make them feel like outsiders. You might consider bringing in second chance employees from other companies to address your entire workforce about how the program has worked in their organizations.

Bottom Line

Employers that become second chance employers have access to a large applicant pool that they may otherwise overlook. Ex-offenders are generally as good as or better than other employees, and are extremely loyal. Second chance hiring is not an act of altruism but rather an opportunity to choose the best person for the job from a wider field. Companies that succeed with second chance hiring are those that do so thoughtfully and methodically, adhering to best practices.