In a way, this ensures the trust that a company can believe in a particular candidate credentials. This verification is generally assigned to a government agency for a nominal fee but even private agencies can be roped in to do this task.
Jobs pertaining to schools, hospitals, financial institutions and administrative services need the background check as their jobs carry the responsibilities both of moral value and social value. Even large organizations carry background check for all the candidates who are selected for vacant posts so that there are no discrepancies between what the candidate puts forth in his CV and actual qualifications.
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