Rumours For References: How Should Employers Respond to Unsubstantiated Claims?

Unsubstantiated claims against candidates can cause disruption during a hiring process, leaving HR professionals in an especially difficult position. With the digital era prompting social media to pour further fuel on the flames, unproven rumours can be tricky to pursue yet impossible to ignore.

If not handled correctly, businesses can later be found liable, and what may have begun as idle gossip risks spiralling into a damaging lawsuit on the grounds of discrimination or libel. So, what should HR professionals do when faced with claims that haven’t been formally raised?

Unproven doesn’t mean unimportant

While the severity of allegations will vary, it’s important for HR to strike the right balance between remaining vigilant yet delicate throughout the hiring process. It can be easy to assume that claims not raised officially can be brushed under the carpet, but this only risks them re-emerging later in a more damaging form.

Early investigation makes a difference

Any allegation should be addressed quickly. When raised at an earlier stage of the hiring process, HR professionals have the advantage of time – but must use it wisely.

By acting on the first sign of allegations, rumours can be either dismissed or investigated more effectively, preventing potential damage to the business before the candidate becomes associated with the company’s reputation. A thorough investigation that creates a clearer picture of an originally vague rumour will help HR teams achieve this.

Social media checks as a first step

One route helpful for investigating a potential candidate, particularly in early stages, is a social media check. Depending on the severity of the rumour, jumping straight to employer references may expose the claim while it remains unproven, which risks lengthy legal disputes. However, basic online research may be all it takes. Reviewing a candidate’s digital footprint can quickly identify any issues that may cause concern if the individual were to be hired.

Later-stage rumours are harder to manage

If rumours arise at a later stage, it becomes harder to part ways with candidates who are strong contenders for the role. Once expectations are set and the individual is more engaged with the team, HR professionals will need a clear view of the allegations to support any further action. At this point, other candidates may be awaiting responses, and the business still faces the pressure of filling a key role. These time pressures make quick action essential, but the legal risk involved means the right action must be taken.

Unproven allegations must be treated carefully.

Relevance to the role is important

Depending on the outcome of the initial investigation, HR teams should be alert to any issues that relate to the nature of the role or the sector in question. Conflicts of interest or controversial views can be red flags, particularly if hiring the candidate could expose the business to risk. For example, rumours around mishandling money will warrant particular scrutiny in roles involving finance.

Bringing the issue to the candidate

Another possible route is to raise the allegations with the candidate, either generally or directly. General communication with all candidates at the outset of recruitment is important, and this includes outlining internal policies and any sensitivities that apply to the sector or role. Candidates can then flag any concerns early on.

Where needed, raising a specific concern later in the process may help clarify the origin of the rumour. However, this must be handled carefully; the issue should be raised sensitively and the candidate must not feel ambushed.

References are not a starting point

If rumours are proving difficult to investigate even when other avenues have been exhausted, reference providers can be consulted in order to gain clarity. This can be a quicker route to uncovering details but it should by no means be a first port of call. Making an unproven rumour public to employers, for example, risks the business facing legal claims such as libel.

The importance of keeping records

At every stage, HR professionals must keep documentation up to date and accurate. The timeline of how the allegation developed, and the company’s response, should be clearly recorded. Even when an investigation is seemingly closed, the information may become important again if the issue re-emerges (or if a candidate takes legal action claiming the matter was not handled appropriately).

Without proper records, much of the effort taken to investigate may be undermined.

Serious attention for unverified claims

While often volatile, unsubstantiated claims in recruitment require prompt and careful attention. HR professionals have a key role to play in protecting the business’ reputation.

Understanding the routes available is one thing — but knowing how and when to apply them is just as important. Each claim must be approached on its own terms, depending on the company, job role, and stage of the process. In many cases, relevant information may already be publicly available.

With the right steps, HR professionals will be better equipped to extinguish the flames that unsubstantiated claims can start.