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New Construction Background Check Regulations Could Arrive Soon in Some States

Written by Jim Daxner | Jul 18, 2023 11:22:19 AM

For many years, perhaps even decades, the construction industry has been a source of jobs for individuals who might be unable to find work elsewhere. Many construction foremen are less likely to care about someone's criminal record so long as they do not cause controversy on the job site and complete their work correctly. However, despite being a good resource for providing second chances, contracting and construction also attract many bad actors. New construction background check regulations could work to change that.

What's Driving the Need for a Background Check for Contractors?

There is no national agency for the licensing and verification of contractors. Instead, every state handles licensing on an individual basis. While this allows states to exert some control over the process, it also means that bad actors can pick up and move to try again in another state. Scam artists and dishonest contractors might bounce between areas, taking jobs, taking money, and delivering nothing—or even damaging homes.

There is less of a drive to implement processes for a background check in manufacturing facilities or on regular construction sites than there is for contractors. Contractors work more directly with the public, whereas a closed work environment such as a building site often has frequent managerial oversight. Contracting, on the other hand, provides many more opportunities to defraud customers.

Why Vetting Your Subcontractors & Employees is Good for Business

Many businesses providing services to homeowners use subcontractors, while others send full-time employees to homes. Can you improve your business opportunities by improving how you vet candidates? It's possible. There are some good reasons to consider adding background checks to your hiring lineup. These include:

  • Better safety on the job site.
  • Demonstrate a commitment to protecting your clients.
  • Showcase that you've built a reliable team to execute projects well.
  • Create peace of mind in homeowners and clients.

Background checks are an important additional step that can add some time to the hiring process. With good service and experienced help, you can vet candidates, showcase your safety to the public, and keep hitting deadlines.

Massachusetts Aims to Create Better Accountability

The state of Massachusetts is one currently leading the way in legislating changes in this area. After a series of investigative journalism pieces revealed Massachusetts residents were plagued by contractors with extensive criminal records and fraud complaints, legislators chose to act. 

Though not yet law, the proposed bill would mandate background checks for all contractors prior to licensing. These checks would ensure that they have not left behind a record of shoddy work and fraud in other states where they might have held a license. The state will also help homeowners recoup losses from unreliable contractors.

Make Positive Changes Before New Regulations for Construction Sites Arrive

Will the Massachusetts law set the stage for a new normal nationwide? That remains to be seen. However, enhancing construction background check procedures for contractors provides a key opportunity to protect the public. For established businesses, embracing these procedures now is an excellent opportunity to showcase your commitment to reliability and safety.