How to Tackle Dishonesty and Employment Fraud

To help HR professionals understand dishonesty and employment fraud as a threat and help them manage and mitigate the risks.

Most of the staff in any company is honest and trustworthy. But companies are now beginning to understand and realize the threat scale posed by the percentage of the staff that is dishonest to their employers.

In today’s competitive economic environment in the market place, a lot of companies responded by undertaking structural reforms and empowering their staff. Changes have raised the levels of customer satisfaction and services, without a doubt. But these changes that if combined with the ability to gather more financial transactions remotely, but dishonest actions by the staff creates scope, fertile conditions and opportunity for them.

The issues about employment fraud are changing the ways companies handle it, which depends on how the risks increase. A lot of companies used to let HR professionals handle all the employment fraud cases quietly which inconspicuously allows the dismissal of dishonest employees or to resign discreetly, which is not possible today. Companies today are now sharing the data of incidences with employment fraud within the company.

What is Employment Fraud?

Fraud.jpgEmployment fraud happens when employees dishonestly abuses the trust of the company, to make a false representation or have intent to cause a loss or to make a gain, while doing their duties for the company where they have a contractual agreement to offer their personal services.

Why is Employment Fraud Such a Big Deal?

The number of incidences of employment fraud is rising every year. A lot of companies hesitate to admit the scale of the current problem of employment fraud to keep from their reputation from being damaged. Since now that it has grown and increasing to an extent that linked to people who have criminal records and organized crimes, which is where a need for countermeasures has raised the profile of the Financial Services Authority and law enforcement agencies’ issues.

Employment fraud is a big and growing threat, where the most serious threat that targets senior employees in the management sector. But the major threat has gone down or organizational hierarchy to a lot of junior members of the staff which have access and responsibility fir confidential data like customer and payroll data that ever before.

Security and Background Checks

The lack of employment security and background checks in some companies is the main reason employment fraud exists. Pre-employment background checks are the first line of defense in preventing any kind of infiltration and identifying employees vulnerable and susceptible to opportunistic fraud and collusion. It is clear that background checks are useful and can combat this extensive problem. Particularly when considering more threats from collusion and infiltration.

To know more about How to Tackle Dishonesty and Employment Fraud, please visit



Leave a Reply

Fill in your details below or click an icon to log in: Logo

You are commenting using your account. Log Out /  Change )

Google+ photo

You are commenting using your Google+ account. Log Out /  Change )

Twitter picture

You are commenting using your Twitter account. Log Out /  Change )

Facebook photo

You are commenting using your Facebook account. Log Out /  Change )


Connecting to %s