Providing a reference: yes or no?

While an employer is legally required to maintain a written record of the circumstances of any termination of employment, there is no general requirement to provide an ex-employee with a reference.

For employers who choose to provide a reference, it’s vital to ensure the content can not be perceived as misleading or discriminatory. Employers may be liable under defamation law if the content of a reference is deemed inaccurate, damaging, or is proven to have led the former employee to lose out on an employment opportunity. In an increasingly litigious business environment, potential also exists for one company to take action against another for providing incorrect or misleading information that leads to a bad hire.

In an effort to manage the risks around traditional written references, many employers now elect to provide the departing employee with a Statement of Service. Content within a Statement of Service is purely objective and typically includes only the employee’s name, dates of employment, position title and confirmation of duties performed.

Bare Bones Consulting knows the fine print around employment…like the fact an employer is under no obligation to provide a reference, unless this obligation is created by an express or implied term of the contract. Our expertise extends to perfect fit for you…whether you’re a start up or a mature operation.  We don’t try and sell you a subscription for a service you might rarely use or a package of documents designed for someone else. Our delivery premise is simple: we specialise in giving you information tailored to your business, industry and people so you can rest easy in the knowledge your business is compliant.

Whether you just want the basics to manage your compliance risk or the full deal to get the best from your people, we’re happy to help. Give us a call or contact us here to find out why we’re right for you…this is your year to make it big!