Individual Screening Reports – ISR / KYE

Developed countries of the world have strong integrated database systems in place even then job seekers tend to hide / falsify information about their education, experience and references etc. According to findings of the United Kingdom’s Risk Advisory Group’s 6th Annual Survey of CV Lies, 6 out of 10 jobseekers lie when applying for a job while 10 percent job applicants have a criminal record. The risks of hiring without proper background verification are too high for an organization, but are often disregarded. Prudent HR Managers make sure to conduct ascertainment & authentication of vital information about the candidate before initiating recruitment process.

It may also include looking at the criminal record comprising theft, fraud or embezzlement, sexual harassment, violence at workplace heinous crimes, terrorist activities as well as office discipline, drug usage, suspicious activities or checking against international Anti Money Laundering (AML) and Countering Financing to Terrorists (CFT) listings.

ISR / KYE (Know Your Employee) provides a thorough background check that not only facilitates smart hiring decisions by providing a complete picture of the applicant, but also significantly reduces an employer’s risk of negligent liability.

5.1 WHY ISR / KYE FROM AN INDEPENDENT THIRD PARTY SERVICE PROVIDER?

ISR / KYE of job applications is a specialized task also requiring domestic and international sources and a network that may not be affordable for the HR Department of an employer; whereas the service provider’s main job is to obtain local and global verifications in an independent, cost effective and most efficient manner. It is therefore much more efficient to use a team of professional verifiers who are strictly dedicated to the task, as opposed to internal resources, who are also juggling with other responsibilities.

5.2 WHY ISR / KYE

  1. In many countries, periodic screening of existing as well as prospective employees is mandatory
  2. The Financial Action Task Force (FATF) recommendations on Money Laundering include the development of adequate screening procedures to ensure high standards when hiring employees
  3. Verification of experience, education, training and skills is one of the requirements of IS0 9001and essential for organization’s Quality Management System (QMS)
  4. Risk of losing proprietary and confidential information to competitors
  5. High quality fake diplomas purporting to be from virtually any institution in the world can be purchased online for a few hundred dollars therefore the physical checking of “original” degree certificates is no longer sufficient
  6. There are fake universities in existence and fake companies that provide fake experience documents
  7. It is estimated that 10 percent of hires cause 90% of headaches
  8. 20 percent of resumes contain major inconsistencies
  9. 75 percent of IT security incidents are caused from within the company – not by hackers
  10. 46% of all corporate fraud is internal and causes 50% of total loss
  11. A corporation in Pakistan fired 300 employees for fake degrees in 2014
  12. In 2008, the U.S. government discovered 9,600 fake degrees from a University
  13. Fraudulent candidates with aim of breaking workplace regulations and acting against management are becoming problem for most of the Pakistani companies
  14. Pakistani companies are losing approximately Rs.150 billion yearly due to insider fraud. The practice of background checks conducted by Pakistani companies increased by 20 percent in 2012

5.3 WHAT ARE THE ADVANTAGES OF ISR / KYE?

The employer will benefit in many ways such as:

  1. Reduce high staff turnover
  2. Avoid negligent hiring lawsuits
  3. Mitigate low employee morale
  4. Minimize ballooning recruitment costs
  5. Avoid lawsuits initiated by employees
  6. Avoid hiring unqualified and incompetent staff members
  7. Mitigate low productivity
  8. Identify fraud and dishonesty by employees
  9. Minimize escalating training costs
  10. Avoid hiring disruptive and dangerous staff members
  11. Compliance to local and international AML / CFT requirements