A lot can happen in the time period between interviewing a prospective employee and their first day on the job. What if they don’t pass their background check? Will you have to start the interview process over again from the beginning?
When issues do arise, questions can add up, making the way forward unclear. Here are some answers to frequently asked questions about rescinding a job offer.
There are two types of formal job offers. A written offer or a verbal offer may be used to inform the candidate of your desire to employ them. If you must rescind a job offer, each scenario must be handled with extreme care.
The best way to avoid too much exposure to possible legal action is to offer the position with a formal letter and use caution with the wording, being careful not to imply that an offer is a contract.
However, if you’ve already sent a formal letter and now need to rescind the offer, here are some things to remember:
The legal implications of rescinding a job offer can include being forced to reimburse the candidate for expenses incurred while accepting the position. This could be wages or bonuses lost from their former employer upon resignation, moving expenses, and even damages due to the loss of seniority should they be able to return to their old job.
Rescinding an offer of employment isn’t pleasant and if you must do so, it’s important to remember to be both timely and tactful. Make sure that all job offers state clearly that employment is contingent upon a passing a background check, a drug test, and everything else included in the hiring and onboarding processes. And if you must rescind a job offer, do so as quickly as possible.
This article is intended only for informational purposes. It is not a substitute for legal consultation. While we attempt to keep the information covered timely and accurate, laws and regulations are subject to change.