---
title: Why Conduct Background Checks on Potential Hires?
description: Avoid costly hiring errors in municipal employment by conducting thorough background checks to verify candidate information and reduce risk of fraud or misconduct.
---

[Skip to content](https://www.lgc.montana.edu/knowledge-base/why-conduct-background-checks-on-potential-hires#main-content)

English

Show submenu for translations

[More support](https://www.lgc.montana.edu/knowledge-base/kb-tickets/new?hsLang=en) [Ticket System Portal](https://lgc.montana.edu/tickets-view?hsLang=en)

[![LGC Color-1](https://www.lgc.montana.edu/hs-fs/hubfs/LGC%20Color-1.png?width=100&height=100&name=LGC%20Color-1.png)](https://www.montana.edu/extension/localgov/index.html)

- [Submit a Ticket](https://www.lgc.montana.edu/knowledge-base/kb-tickets/new)
- [View Tickets](https://lgc.montana.edu/tickets-view)
- [Subscribers Portal](https://lgc.montana.edu/tickets-view?hsLang=en)

Open main navigation

Close main navigation

- [Submit a Ticket](https://www.lgc.montana.edu/knowledge-base/kb-tickets/new)
- [View Tickets](https://lgc.montana.edu/tickets-view)
- [Subscribers Portal](https://lgc.montana.edu/tickets-view?hsLang=en)
- English
  
  Show submenu for translations
- [More support](https://www.lgc.montana.edu/knowledge-base/kb-tickets/new)
- [Ticket System Portal](https://lgc.montana.edu/tickets-view)
- [Request a Training](https://40zxa7.share-na2.hsforms.com/2mMH41wA3QYGtjwc4OPWO3w)

[Request a Training](https://40zxa7.share-na2.hsforms.com/2mMH41wA3QYGtjwc4OPWO3w)

 How can we help you?

- There are no suggestions because the search field is empty.

1. [MSU Extension Local Government Center](https://www.lgc.montana.edu/knowledge-base?hsLang=en)
2. [FAQs](https://www.lgc.montana.edu/knowledge-base/faqs?hsLang=en)

January 12, 2026

# Why Conduct Background Checks on Potential Hires?

## The Value of Background Checks: Protecting Municipalities from Costly Hiring Mistakes

Municipalities can lose up to 2.5 times an employee’s salary by failing to adequately conduct background checks on a potential hire. Those costs include direct expenses related to replacing and retraining an employee and indirect expenses such as employee violence, theft, and substance abuse. Research has shown that at least one in four job candidates is willing to falsify information to get a job including college degrees, employment history and reasons for   
leaving previous jobs. It is critical for public entities to validate information provided by candidates to reduce the chance of hiring the wrong employee.

- [FAQs](https://www.lgc.montana.edu/knowledge-base/faqs?hsLang=en)
- [Process guides](https://www.lgc.montana.edu/knowledge-base/process-guides?hsLang=en)
- [White papers](https://www.lgc.montana.edu/knowledge-base/white-papers?hsLang=en#main-content)

    - [Voter Review](https://www.lgc.montana.edu/knowledge-base/white-papers?hsLang=en#voter-review)
- [Glossary of terms](https://www.lgc.montana.edu/knowledge-base/glossary-of-terms?hsLang=en)
- [Product or service descriptions](https://www.lgc.montana.edu/knowledge-base/product-or-service-descriptions?hsLang=en)
- [Online Courses](https://www.lgc.montana.edu/knowledge-base/online-courses?hsLang=en)

- [LGC Services and Pricing](https://www.lgc.montana.edu/knowledge-base/service-and-pricing)
- [Request a Training](https://40zxa7.share-na2.hsforms.com/2mMH41wA3QYGtjwc4OPWO3w)
- [Ask the LGC Team a Question](https://40zxa7.share-na2.hsforms.com/2_ory1YLOQQe3qA3hzpNAkg)

[![LGC Color-2](https://www.lgc.montana.edu/hs-fs/hubfs/LGC%20Color-2.png?width=100&height=100&name=LGC%20Color-2.png "LGC Color-2")](https://www.montana.edu/extension/localgov/index.html)

Resources prepared by the MSU Extension Local Government Center are intended for educational purposes only and do not constitute legal advice. For interpretation or application of the law, please consult qualified legal counsel. The Montana State University Extension Service is an ADA/EO/AA/Veteran’s Preference Employer and Provider of Educational Outreach.

Copyright © 2026