There are a whole lot of circumstances that fall into play.

Your type of work - Do you work on new tract homes, or in jewelry stores?

The nature of their offense - Did they go to the can for selling pot, or for murdering their previous employer? Were they in "Camp Snoopy" or "Supermax"?

The number of times they've been incarcerated - If they haven't been able to stay out for any appreciable amount of time in the past, why would you think they can stay out now?

Your own level of comfortability with it, and that of your other employees - Anybody going to lose sleep over it?

It all needs to be judged on an individual case by case basis.