I have come across a significant number of inquiries pertaining to employment background check by future employer and surprisingly, I found out there are more idiots who offers dumb advice like "why would you lie to your future employer in the first place" or "there is nothing to fear of if you were to reveal the truth" rather than to address the question in the most satisfying manner.

I will try my best to answer all of the FAQ based on my knowledge as to address the matter above.

Q1: Will my future employer find out about my past employment without my knowledge?
Ans: The answer is no as there are Personal Data Protection Act, 2010 (PDPA) to prevent your past employment information being shared. However, it can be made possible if you have signoff the PDPA release form to your future employer. Candidates are also requested by the future employer to inform the HR dept from their past few companies with regards to the employment background check excercise.

Q2: Who and what does the future employer usually prompted when they have come in contact with my previous employment companies?
Ans: They will usually contact the Human Resource dept of your company or the director of the company (if it is a small company without HR dept) to verify your employment history as below;
- Base salary and allowances
- Employment period
- Character and work ethics
- Resignation/termination
- Any restriction on future employment set by the previous employer
- Will your previous company reemploy you in future?

Q3: Can they check my past contribution to EPF via EPF Dept or my past employment via Human Resource Ministry (Jabatan Tenaga Kerja Malaysia)?
Ans: Fortunately no as all information from these departments are private & confidential.

Q4: Can my future employer make a request to view my EPF statement?
Ans: To view your EPF statement is no difference than to view your personal bank account statement or passbook. It is obvious your future employer has serious trust issue and I would strongly recommend for the candidate to abandon the job application.

If any of the forumers has questions of the above matter, feel free to drop me a line via this thread.

This post has been edited by cubicc: Jun 17 2018, 12:38 AM

Yes, of course and it will be done with your permission. Your future employer will have to put in a request for you to sign off a PDPA release form, otherwise your employer(s) from the past will risked being taken to the court by breaching the PDPA act 2010.

Q1: Wouldn't that trigger my current superior that I am seeking out?
Ans: Yes and it is perfectly fine. This would resulting to your immediate superior to pay more attention to you, provided he/she is a good superior. If he/she does nothing about it, this would also tells you that it is high time for you to leave the company since he/she is no longer interested in your career advancement within the company.

Just remember this, if the company (in the form of salary scheme, promotion, employment benefits) or your immediate superior (work opportunity, guidance) have been treating you well, the thought of leaving the company would not have comes to you in the first place.

Q2: Revealing on company job grade trade secret
Ans: As far as Malaysia employment industry is concern, it has been a trend as of today.

Q3: PDPA breaching?
Ans: The following question has been answered earlier. Please read again if you have overlooked the answer.

Q4: Open for exploitation where I could impersonate other HR and mention my colleague or boss is seeking out and get the salary details
Ans: In the PDPA release form, it will instructs candidate to inform their HR dept from their past employment with regards to the employment background check. They will usually get in touch with the HR from the last 2 companies only.

This post has been edited by cubicc: Jun 17 2018, 12:11 AM

Failing to sign off the PDPA form will definitely put a candidate in a disadvantage position and it is the right thing to do. Understand this, PDPA act 2010 is created to protect information in the present as well as the past. As I recall, there is no such practice of having employment background check in the 80s or the 90s. It is obviously a practice that gives the employer an edge over employee. However, if everyone starts by NOT signing the PDPA waived form, you will start to see a dying practice of Employment Background Check.

The same goes for handing over your "pay advice". It is a practice that does not benefits the employee in anyway. If you are really good in what you are doing, it is only natural for you to command a premium price. Do take note that your annual salary is merely an investment for the company to generates greater return over time. Do you recall all of the hardwork and time that you have to put in throughout the years? The calls that you have attended after 6.00pm, weekdays and even holiday at times. Hence, go wild on your demand if you really have what it takes.

Remember, employer already has the advantage of examining the goods sold to them, and that is known as the "probation period". They are able to terminate your employment if your performance is not up to par. Probation period alone is good enough to protect employer's best interest. They do not need to know your salary scheme from the past as to dictates your salary scheme in the future. Just look at property sales for instant, do you refer to the selling price from the past just to determine the selling price of the property sold in the future? I don't think so.

The finance industry has a totally different employment regulation compares to the rest. For instants, Tan Sri Teh Hong Piow, the Chairman of Public Bank Group is retiring in 2019, however he is unable to appoint his child to take over his position as a Chairman of the board despite being the largest share holder. A finance institution is also unable to engage any senior management staffs of their liking without the approval of the Governor of BNM. Hell, even a husband and wife are restricted from working in the same department or company

Employment in the finance industry has stringent regulations. A prospective candidate must be a non-bankruptcy, has no criminal record and meet many other stringent requirements prior to gaining an interview session. Hence, HR from finance industry will usually engage a 3rd party to perform a background check on their candidate.

If you are in the finance industry, it safe to say that the Employment Background Check rules above do not applies to you.

In the name of convenient, people usually failed the system. One may not condone with the act of breaching the privacy of others, but failing to make any report to the authority of a wrong doing would easily proved otherwise. It is not impossible to make changes, it is just not easy. The practice of asking for "pay advice" from a candidate is an act of suppressing the growth of employee's market. The Government has enacted laws to protect the citizens but it means nothing if the citizens do nothing about it.

Forumers are to refrain from commenting if you have not read through the entire thread.

Similar concern has been addressed earlier.

This post has been edited by cubicc: Jun 19 2018, 10:27 PM

Good question! Your future employer will get your written concern (PDPA waiver) prior to placing a call to your previous employer. If no waiver is sign, even your ex-company will be liable for releasing your info to a 3rd party.

Totally agreed. That is the reason why I do not agree to such arrangement no matter how interesting the job is.