44% spike in employment verification discrepancies across 6 major sectors, reports AuthBridge

Key findings from the report include significant discrepancies across various sectors. For instance, the telecom sector witnessed a sharp rise in discrepancy rates, reaching 18.2%, highlighting the increased vulnerability to identity fraud. In the BFSI sector, discrepancy rates climbed to 10.4%, indicating growing challenges in employment verification as financial institutions continue to face risks related to falsified credentials. The pharma sector saw a 50% increase in discrepancy rates since FY2021, reaching 17.1%, reflecting a surge in fraudulent qualifications.

While the FMCG industry showed an overall decline in discrepancies, e-commerce—representing 17% of FMCG consumption—faced increasing verification demands, particularly with the rise of gig workers. The IT and ITES sectors, despite a 9.8% drop in discrepancy rates compared to FY2021, continue to grapple with issues related to falsified credentials, with employment and education discrepancies standing at 10.2%. Additionally, the gig economy, set to reach 25 million workers in India by 2030, saw a 12.5% discrepancy rate in verifications, underscoring the need for thorough screening in high-demand sectors like logistics, e-commerce, and last-mile delivery.

The report also highlights advancements in technology, including the integration of AI and machine learning algorithms, which have significantly improved the speed and accuracy of background verification processes. AuthBridge’s proprietary solutions, such as digital address verification with real-time GPS triangulation, have greatly reduced turnaround times and improved verification accuracy. Moreover, continuous monitoring and seamless integration with HR technology platforms have enhanced operational efficiency, allowing businesses to conduct 100% digital background checks in many cases.

AuthBridge also conducted over 150,000 moonlighting checks in FY2023-24, with a 12% discrepancy rate, underscoring the growing concern around dual employment risks. The report emphasizes the importance of adopting advanced technologies, such as AI-driven verification methods, to improve both speed and accuracy in the screening process.

The AuthBridge Annual Trend Report 2024 is a critical resource for HR professionals, compliance officers, and business leaders aiming to optimize their background screening processes and strengthen their risk management strategies in a rapidly evolving business environment. With its detailed insights and sector-specific analysis, the report provides a roadmap for organizations to navigate the challenges of workforce management, customer onboarding, and third-party business verifications.