Identity Fraud and Candidate Discrepancies on the Rise

Strategic Insights -

The growing threat of identity fraud and candidate misrepresentation poses significant risks for employers worldwide. Despite widespread reports of increasing identity fraud, only three in five companies conduct identity checks as part of their pre-employment screening program. Alarmingly, one in six respondents reported that their business had already experienced identity fraud during hiring, while another three in 10 were unsure if it had occurred. The rise of generative AI tools has made it easier for candidates to misrepresent themselves, highlighting the need for comprehensive and technology-driven identity verification.

Key Takeaways:

  • Only three in five companies globally conduct identity checks as part of their pre-employment screening program.
  • One in six respondents reported that their business had already experienced identity fraud during hiring.
  • The rise of generative AI tools has made it easier for candidates to misrepresent themselves, highlighting the need for comprehensive and technology-driven identity verification.
  • Enterprise organizations (5,000+ employees) were far more likely to detect candidate discrepancies than small to medium-sized businesses.
  • Employment verifications remain the area most likely to reveal discrepancies across all regions, reported by 72% of respondents in APAC and 64% in EMEA.
  • Discrepancies in education credentials were most prevalent in EMEA, where nearly half (47%) of respondents reported finding issues.
  • Criminal records and drug testing also remained notable areas of concern, with 36-40% of respondents reporting discrepancies.

Statistics:

  • 60% of companies globally conduct identity checks as part of their pre-employment screening program.
  • 16% of respondents reported that their business had already experienced identity fraud during hiring.
  • 30% of respondents were unsure if their business had experienced identity fraud during hiring.
  • 75% of respondents globally uncovered candidate discrepancies in the past 12 months.
  • 40% of respondents reported finding at least one discrepancy in every 20 candidates screened.
  • 13% of respondents reported discovering at least one discrepancy in every 5 candidates screened.

Sources:

  • HireRight, "2025 Global Benchmark Report"