Employment Law Practice Exam

What does negligent hiring make employers liable for?

1. Harm that occurs when employees act within the scope of their employment

2. Any harm caused by their employees

3. Harm that occurs when employees who were not properly screened act outside the scope of their employment

4. None of the above

The correct answer is: Harm that occurs when employees who were not properly screened act outside the scope of their employment

Negligent hiring holds employers liable for harm that occurs when they fail to properly screen employees, leading to the hiring of individuals who may pose a risk to others. This concept rests on the employer's duty to take reasonable care in vetting candidates, especially for positions where employees may interact with the public or vulnerable individuals. If an employee was not adequately screened, and subsequently causes harm while acting outside the scope of their employment, the employer can be found liable for negligent hiring if it can be demonstrated that the employer knew or should have known about the employee's potential for harmful behavior based on their prior history or qualifications. This accountability serves to encourage employers to conduct thorough background checks and exercise vigilant hiring practices, ultimately aiming to protect both employees and the public from foreseeable risks. The other options do not accurately reflect the legal principle of negligent hiring. Liability in those instances often centers on whether the employee was acting within the scope of employment or whether the employer could have foreseen the potential risk of hiring a particular individual.