Tag: hiring process

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31 Days to More Effective Compliance Programs

One Month to More Effective HR in Compliance: Day 3 – The Hiring Process

When it comes to hiring, it’s important to consider compliance, especially when it comes to family members of foreign government officials or employees of state-owned enterprises. In this podcast episode, Tom Fox discussed the importance of using the skill, will and fit approach to interviewing to try to weed out those persons who might not fit with the organization on an ethical and cultural basis.

The skill, will and fit approach to interviewing involves asking open-ended questions to determine whether the employee takes ownership of their work and has the hunger and creativity to succeed. For example, questions like “What’s the biggest impact you had at your past organization?” and “What do you want to do in five years?” can help to assess whether an employee might have a propensity to engage in bribery and corruption.

Tom also discussed the importance of having a frank discussion with prospective hires about what is expected of them in terms of engaging with the community. He used the example of the Houston Dash, a professional women’s soccer team, who are active in the local community and encourage their players to adopt local charities and become involved. This puts the importance of interacting with the public into their interview process.

There are three questions to analyze the hiring of a family member of a foreign government official or employee of a state-owned enterprise:

1. Does the candidate meet your hiring requirements?

2. Does the foreign official whose family member you are considering for hire demand or suggest that the company hire this prospective candidate?

3. Has the foreign official made or will make a decision which will benefit your company?

He also emphasized the importance of documenting any decisions made in order to avoid violating the Foreign Corrupt Practices Act (FCPA). Additionally, he encouraged organizations to operationalize their compliance programs and to have a second set of eyes in the hiring process to provide another level of oversight.

When it comes to hiring, HR has a dual role with both a traditional hiring and a compliance function. Introducing the topic of compliance at the pre-employment stage may encourage potential employees with a propensity to engage in bribery and corruption to take their skills elsewhere. By using the skill, will and fit approach to interviewing, organizations can assess whether an employee might have a propensity to engage in bribery and corruption, and operationalize their compliance programs to ensure that all hiring decisions are documented and have a second set of eyes for oversight.

Three key takeaways:

  1. Use the interview process to determine who will be an ethical and compliance fit for your organization.
  2. Consider the skill, will and fit approach.
  3. Ask open-ended questions.

For more information, check out The Compliance Handbook, 4th edition, available on LexisNexis.com.

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31 Days to More Effective Compliance Programs

The Hiring Process as a Step to Operationalize Compliance


One of the conventional wisdoms about compliance training is that you will never be able to reach 5% of your workforce with compliance training because they are predisposed to lie, cheat and steal anyway. Whether they are simply sociopaths, scumbags or just bad people; it really does not matter. No amount of training is going to convince them to follow the rules, as they do not think such laws apply to them. They will lie, cheat and steal no matter what industry they are in and what training you provide to them. But knowing such people exist and they may be able to lie, con or otherwise dissimilate their way into your organization does not protect your company from FCPA liability when they inevitably violate the law by engaging in bribery and corruption. It is still the responsibility of your company to prevent and detect such conduct and then remediate if it occurs.
This is where your HR function has a dual role, with both their traditional hiring role and in a compliance function. They can work to help weed out such miscreants and to communicate your corporate values of doing business ethically, in compliance and aligned with your corporate values of integrity.
Through a structured series of questions, however, a properly trained HR professional can begin to assess whether an employee might have a propensity to engage in bribery and corruption. By adding information about your company’s values towards doing business ethically and in compliance, you can introduce this topic at either the interview evaluating process or in the promotion process. While true sociopaths will most certainly lie to you, perhaps even convincingly, by introducing the topic at such a pre-employment stage, they may be encouraged to take their skills elsewhere
Three key takeaways:

  1. Use the interview process to determine who will be an ethical and compliance fit for your organization.
  2. Consider the skill, will and fit approach.
  3. Ask open-ended questions.