Everything you need to know about reference checking as a process

Reference Checking: Everything You Need to Know About the Process

“It’s more important to hire people with the right qualities than with specific experience.”

- J. Willard Marriott, American entrepreneur

Many employers use reference checking as part of the hiring process. We can all agree it’s a pretty standard occurrence. It’s basically when an employer contacts the job applicants, previous employers. This is usually done to get a better idea of who the candidate is, their past work experience and other factors to verify if they are suitable for the offered position. Having said that, despite its standard presence across the various industries, the very definition of a reference check has changed somewhat over the years.

The way people perceive it, approach it and handle it has morphed into something more inclusive. As with all things that change with the needs of the market and society around it, the reference checking process has become a refined tool, rather than just another box to check.

What is Included in a Reference Check?

So there are two basic levels to a reference check. It can either be a surface-level reference check or an in-depth one. With the former, it’s more an exercise to verify dates of employment, job titles, qualifications and other factual information. When you consider the latter, it’s more detailed as the name suggests.

Reference will face a line of questioning that is similar to that which the applicant faces. As mentioned before, this is more a traditional reference check, where employers try to get an idea about who the person behind the resume is. They dig into the applicants’ strengths, weaknesses, skills, teamwork abilities and so on, to see if they are a good fit for the job.

Canada has key laws and acts that regulate what information flows and how it flows during the reference checks.

Reference Checking Vs. Background Checks

If you’re wondering if the two are the same thing, the answer is kind of, but not really. The major differentiator, in this case, is their focus. Reference checks are meant for providing insights into the candidate’s ability as an employee while also doing the surface level verification. However, background checks are purely meant for credential verification purposes.

Another difference is that where a reference may only focus on the personal and professional reference you provide, a background check will go into your employment history, credit history, criminal records and so on.

Laws Regulating Reference Checking in Canada

Different countries have different privacy laws and regulations when it comes to background checks. However, when you take the case of Canada there are two specific laws that you need to make note of. One is the Privacy Act and the other is the PIPEDA (Personal Information Protection and Electronic Documents Act) at the federal level. Keep in mind that there are also laws at the provincial level.

These laws are in place to regulate the organization’s right to receive information during reference checks. As per said laws, the candidates in question have to give written consent to have the reference checking conducted by the relevant employers.

Organizations also have to store the information from the reference checks they do, for at least a year. At the same time, candidates should have the opportunity to access their information. Apart from these federal laws, there are also Human Rights Legislation Acts in Canada that impact reference checking. The Canadian Human Rights Act as well as the Provincial and Territorial Human Rights Laws, prohibit employers from asking questions in certain areas during a reference check or interview.

These areas include race, ethnicity, religion, age, gender, marital status, family status, disability, genetics, criminal records. Asking questions about these topics could be discriminatory and the company could get in trouble. Fair to say, there are many do’s and don’ts when it comes to reference checks in Canada.

"You don't hire for skills, you hire for attitude. You can always teach skills."

- Simon Sinek, Author

The Right Way to Handle Reference Checks

All things considered, it would be a fair assumption to say that reference checking plays an important role in the hiring process. Given the weight it carries, it makes sense that there are so many laws that regulate it at so many levels. At the end of the day, it should be done right.

For one thing, consider doing the reference check at the beginning of the hiring process as opposed to the end. This will save everyone’s time by eliminating any doubt about whether the candidate in question is suitable for the recruitment process or not. Another thing you should keep in mind is the format. A common format is important given you will be checking in on candidates from different walks of life. So, to keep things unbiased, objective, and fair, you need to have a set number of common questions that you can apply across the board.

How Candidates Should Apply

The care a candidate puts into the application process, tells a lot about them. When they apply, ideally, they should provide proper references. They should give you at least three former co-workers and supervisors. However, if they are applying for their first job, like a fresh graduate, then the reference information for their college professors or lecturers can suit the purpose of the reference check.

Make sure that you ask for the applicant’s consent before conducting the check. You should try to get it in writing just to be safe. You also need to make sure that the references are willing to stand for the candidate. Take it a step further and advertise this when you make the vacancy public; it will smooth out the process a little more.

These days automated reference checking is becoming more and more popular due to its efficiency capabilities.

Preparation

Now as we mentioned before, most companies tend to wait till the end of the recruitment process to conduct the reference checks. The best method is to do it before the recruitment process gets started. This thins the crowd and you proceed with only the candidates who will suit your company culture and job profile.

Now onto the actual preparation. Before you start firing away 20 questions, call up the references and find out if they want to stand in as a reference for the applicant. Start with the senior-most reference and work your way down, it’s a professional courtesy. Inform them about the process, the candidate’s application (after getting the candidate’s consent), and get everyone on the same page.

They might agree to do the interview on the spot, or you might have to schedule them for a more convenient time later. The best way is via phone call or email, traditionally speaking, so get that confirmed as well.

Executing the Reference Checking

Finally, the day for the check arrives! You need to confirm that everyone is ready and available. Make sure to inform the reference about the time it might take. Be clear with the information you provide.

Finally, approach it like a conversation. The references are people after all; human beings. So get them relaxed, ease into the conversation, take it one question at a time and take plenty of notes. As good as traditional reference checks are, these days a lot of companies are employing the service of automated reference checking. This is a process that eliminates human bias, reduces time to hire and makes the whole process smoother. As an employer, you should consider this option.

The Complete Guide to Pre Employment Screening for Remote Teams

adminDecember 5, 20250

Discover the ultimate pre-employment screening guide tailored for remote teams. Learn how to verify candidates globally with speed, compliance, and...

Employee Background Check: What Every Small Business Needs to Know Before Hiring

December 3, 2025

Discover what small business owners...

How to Get a Fast and Trusted Police Record Check in Edmonton

November 28, 2025

Need a quick police record...

Education Verification Made Easy: How Credibled Ensures Hiring Accuracy

November 25, 2025

Avoid costly hiring mistakes with...

Doing a Reference Check: A Step-by-Step Walkthrough

“It is wiser to find out than to suppose.”

- Mark Twain, American Writer

As an employer, there might be different facets to the hiring process that you might be responsible for. However, one of the most important objectives of all those activities is to find the best employees possible. A part of accomplishing that is research. You need to do a little homework on who they are, where they came from, the kind of work they do and so on. This is where a good old reference check comes in handy!

Many companies and employers alike use reference checking as a tool to dive into the work history of candidates to see if they fit the role. However, there is a lot more to it than just checking someone’s resume. If you know what to ask, who to ask and how to go about it, a reference check can work wonders for your end recruitment result. In this blog, we will cover a step-by-step reference check that will give you the best results possible. Before we dive into it, you need to remember these are only the core steps that we are going to cover. You might need to add or modify steps according to your specific needs or circumstances.

Reference Check Step #1: Verify the Candidate's Identity

The first item on the agenda when conducting a reference check process; verify that the candidate is who they claim to be. Yes, this may seem quite obvious in hindsight, but you never know if you will be able to weed out the dishonest candidates in the batch.

When you are reaching out to the previous employer, make sure to ask very specific questions. Ask about the candidate’s name, title at the previous company, dates of employment and whatever else basic information you require. Think of this as the background verification part of the process to make sure that this candidate is qualified to undergo the recruitment process. You don’t want to waste all your company’s time and resources taking them through the recruitment steps, only to find out that they didn’t even work at the capacity they claimed in the first place.

The words of the reference carry only as much weight as the credibility of the reference themselves.

Reference Check Step #2: Verify the Reference's Relationship with the Candidate

Typically speaking, one would have to deal with professional references. This is what candidates would usually provide. However, in today’s changing job market and cultural fit requirements, even personal references are sometimes taken into consideration. With this being the case, the scope for error and false information grows. It is up to you to verify who these references are. Ask them how they know the candidate in question.

Once you know their relationship to the candidate, you can easily cross-verify the authenticity of the reference provided. This adds value and weight to the information the reference provides concerning the candidate. All these factors make this an important junction in the reference check process.

Reference Check Step #3: Gauge the Candidate's Fit

Now onto the whole point of this reference check– to find out if the candidate is a good fit for the company. Use your time wisely, especially if you are talking with references over the phone. Not many will be inclined to talk to you, and even fewer might be inclined to give you all the answers you need. So, every question has to be geared towards finding out if the candidate is a good fit for your company.

Explain the scope of the job to the reference and ask if they think the candidate is a good fit for that role. If they give you vague answers or hesitate, then it may be an indicator that the candidate might not be the one you are looking for. Remember, silence speaks volumes in the face of an investigation.

"Research is to see what everybody else has seen, and to think what nobody else has thought."

- Albert Szent-Gyrogyi, Hungarian Biochemist

Reference Check Step #4: Ask the Reference to Rank the Candidate

No doubt you will have to have a variety of questions ready for the reference check conversation. Some questions may be more open-ended than others, but the essential idea is to get an understanding of the person behind the resume. Having said that, one of the best ways to get an idea is to ask the references to rank the candidate on a scale of 1 to 10.

Asking them to rank candidates this way forces them to think more deeply about the number as it will represent a lot of what they have to say about the person. Now don’t be fooled when someone ranks someone a 10 out of 10. No one is that perfect, nor can they be. If they rank them suspiciously high, ask some follow up questions as to why they would claim that number. The same applies if references rank candidates very low.

Reference Check Step #5: Find out about Strengths and Weaknesses

Here is where you cut straight to the chase. At this point, you want to point-blank ask for reference about the candidate’s strengths and weaknesses. At the end of the day, you need to know if this person will fit into the company dynamic. Being straightforward with this will give you clear cut answers that you can use to determine the final verdict. This is more about identifying growth opportunities than anything else, with the added benefit of knowing your possible future employee better.