How to Conduct Employment Background Checks in Argentina

Argentina is witnessing a healthy rise in foreign investment inflows, per the latest UNCTAD World Investment Report. The priority access to a large and attractive regional market through the trade bloc called MERCOSUR makes good returns on investment in Argentina. Any global business willing to expand its operations in Argentina stands to benefit from the regionally integrated economy. 

To fully utilize the economic opportunities in Argentina, global businesses must ensure the recruitment of skilled talents and deploy reliable hiring methods to avoid financial and legal liabilities. 

Entrepreneurs and global companies are advised to opt for background checks in Argentina to minimize risk liabilities. Conducting an employee screening in Argentina may also lead to improved workforce productivity. 

Read further on how to conduct employment background checks in Argentina and learn more about compliance strategies. 

What is Employment Background Verification?

An employment background screening is a recruitment process verifying claims about professional accomplishments, education, and work experience in job applications. Further, it is a preferred tool to authenticate the identity and assess the social behavior of applicants. 

Generally, all prospective candidates and current employees are subjected to the following background checks: 

• Education and past employment record
• Social media search
• Fingerprinting/Handwriting 
• Health checks/medical screening
• Drug and alcohol testing
• Criminal records
• Credit/financial history 
• Union membership
• Political views

Employers may conduct background checks on their own or partner with a third party for the same. 

Benefits of Background Checks in Argentina

Here is how background checks in Argentina can benefit employers in the medium-to-long term. 

Setting a benchmark for recruitment

• Candidates often stake unverified and false claims on their resumes to improve their chances of getting hired. 
• Background checks ensure such false claims are identified and further negated to avoid any malaise intentions of damaging the employer’s reputation or financial position. 

Ensures due diligence for minimum risk liability

• Pre-employment background checks are among the most effective ways to minimize risk liabilities from hiring fraudulent candidates.  
• Job postings with mandatory employee background screening attract only genuine applicants, reducing recruitment time. 

Reveals concealed employee identities:

• A criminal background check may reveal undisclosed criminal cases against the candidates. 
• Hiring the right candidate through background search ensures the safety & security of any workplace, especially in sensitive industries. 

Decreased employee turnover

• Pre-employment background check ensures that the new hires do not disrupt the workflow due to repeated hiring for the same position and instead add value to the company in the long term. 
• It helps employers make better-hiring decisions based on previous records, like employment history, reference verification, social media check, credit check, and more.  

Are Background Checks Legal in Argentina?

The laws regulating employment background checks in Argentina do not enforce direct restrictions on employers. However, they must comply with applicable anti-discrimination and data protection laws for candidates when conducting such background searches.

In general, the Argentinian background check law permits employers operating through either local entities or an Employer of Record (EOR) in Argentina to verify education and employment records while conducting informal inquiries through social media.  

However, certain pre-employment background checks in Argentina, including criminal background checks, medical screening, and credit history, impose privacy restrictions on the employer verifying information. Moreover, employers are restricted from inquiring and basing hiring decisions on union membership and political views. 

Things to Know When Performing a Background Check in Argentina

The following section overviews specific aspects of pre-employment background checks in Argentina. However, most employee screenings in Argentina are conducted anytime during recruitment. 

Criminal record

• Employers cannot perform criminal background checks in Argentina on employees directly or through a third-party vendor. 
• Argentinian background check law allows only the concerned employee to request a criminal certification from Criminal Records Registry. 
• Further, employers must reasonably use pre-employment background checks in Argentina based on criminal certification and not store personal data for unrelated purposes.   

Employment history

• Employers can verify the candidate’s employment history and work performance as part of the employee screening in Argentina.  
• Employers may seek relevant employment information, like prior job titles, roles, and duties, and assess eligibility for rehiring from previous employers without the candidate’s consent.  

Education history

• Employers can conduct background searches in Argentina to verify the academic credentials mentioned in the resume. 
• Through employee screening in Argentina based on attained education degrees and certifications, employers can verify the skill competency of the candidates for a particular job role. 

Social life

• Employers can seek public information on social media for HR background checks in Argentina.  
• However, employers must inform the candidates about the same. 
• An employer may access all public information on a candidate’s social media profile to understand their personality, views, behavioral traits, and more.

Credit report

• Employee background screening in Argentina may involve checking for bankruptcy or credit history.  
• Employers must seek prior approval from the candidate before obtaining details like banking information, overdue payments, credit status, and relevant court judgments. 

Medical history

• Employers may ask candidates to undergo pre-employment background checks in Argentina for medical examination.
• Employers shall verify physical fitness and identify any pre-existing health conditions for employee screening in Argentina. 
• Argentinian background check law prohibits employers from denying employment only based on HIV checks, pregnancy certificates, and drug and alcohol abuse. 

Information Essential for a Background Check in Argentina

Employers and the designated third party may gather the following information for various background checks in Argentina:

• First and last name
• Date of birth
• Last known and current residence 
• Social media profile links
• School name and city
• Academic majors, transcripts, degree copies
• Professional licenses, certificates
• Previous employer name, contact information, and job details
• Professional references 
• The business profile (for suppliers, vendors)
• Criminal record certificate, credit rating score, and medical records

Further, they may take note of the following prerequisites for conducting background searches in Argentina. 

• The Argentine Data Protection Act prevents employers from accessing public and personal employee data unless the job position explicitly warrants it.
• Employers must inform and seek prior consent from the candidate for employment background checks in Argentina.  
• Employers must ensure valid work visas for hiring foreigners outside the countries of MERCOSUR (regional economic integration). 

Process Involved in Background Checks in Argentina

Here are the recommended steps for employers to follow while conducting employee screening in Argentina.

Step 1: Obtain prior consent from the candidate

• Employers must seek written consent from the candidate to conduct background checks. 
• Employers can begin employee screening in Argentina after receiving the approval. 

Step 2: Gather the necessary documents 

• Employers may gather all the necessary documents before beginning the background screening process in Argentina. 
• Employers can ask applicants to share copies of relevant documents. 

Step 3: Determine essential background checks 

• Employers may prioritize each background check based on the purpose and relevance of the job position. 
• For example, employers should avoid credit or criminal background checks in Argentina for entry-level positions in non-sensitive industries. 

Step 4: Perform pre-employment background checks

• Employers can perform the following background checks for responsible hiring in Argentina.    

1. 1. Job references: Employers may verify the mentioned references in the job application to determine the authenticity of claims about their previous job roles and responsibilities. 
   2. Professional associations: Th candidature of professionals like accountants, lawyers, medical professionals, designers, etc., can be verified through a valid membership in their professional association. 
   3. Professional certifications: Employers can also verify original copies of certificates or directly contact the institutions that issued them.
   4. Ask around: Most relevant when hiring C-suite executives, employers may informally inquire in closed business circles about the candidate. 

Step 4: Repeat background checks during employment (if necessary)

• Companies may repeat certain background checks like credit history and substance abuse tests during the employment term upon the demand of the job position.

Step 5: Delete employee data post the background check 

• Argentinian data protection law obliges employers not to store employee data obtained for background checks beyond its applicability.  

Industries and Situations That are Most Suitable for Background Checks in Argentina

Background checks in Argentina are a crucial part of any recruitment process and forging a new business partnership. 

Generally, criminal background checks in Argentina are suitable for recruiting talents for sensitive financial, childcare, security, and healthcare positions. Employers usually identify pre-existing health conditions and verify physical fitness for almost every job role. 

Further, businesses may conduct a company background check in Argentina before onboarding new suppliers, vendors, staff agencies, self-employed contractors, temporary staff, trainees, and volunteers. 

How Does Multiplier Help With Background Checks? 

Foreign companies must register as local entities to hire and conduct employee screening in Argentina. Alternatively, companies can use Employer-Of-Record (EOR) or Professional Employer Organization (PEO) firms like Multiplier to comply with laws related to employment background checks in Argentina. 

While Multiplier does not provide background check services directly, we offer SaaS-based HR solutions for compliant employee management services, like automating employment contracts and salary management. 

Multiplier provides flexible options for entrepreneurs and global companies to their reduce risk liabilities and ensure compliant global expansion to 150+ countries, including Argentina. You may now hire other third-party agencies to conduct employee background screening in Argentina.