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The video tutorial discusses the importance of background checks in the hiring process. Employers utilize these checks to confirm candidates' identities and examine their histories for potential red flags, including criminal records, and, when relevant, motor vehicle or credit histories. It's recommended that employers use a third-party service to conduct background checks to ensure compliance with the Fair Credit Reporting Act (FCRA). Additionally, employers must notify candidates in writing that their background checks may influence employment decisions. This notification must be a standalone document, not included in the application materials.