- The U.S. Department of Commerce released the following statistics that resulted from poor screening of employees:
– 30% of small business failure is caused by employee theft
– Internal employee related thefts occur 15 times greater than external theft
– Embezzlement losses exceed $4 billion dollars every year
- The NY Times conducted a study of business losses and estimated that 72% of shrinkage is due to employee theft.
- Employee fraud costs companies more than $400 billion dollars annually. The average organization loses an estimated 6% of its annual revenue. Companies with less than 100 employees often lack proper internal controls, making them an easy target for dishonest employees.
- One out of every six crimes occurs in the workplace and homicide is the second leading cause of workplace death in the United States.
- National Credit Verification Service says that 25% of the MBA degrees it verifies on resumes are false.
- College and university registrars report that at least 60% of the verification they receive are falsified.
- The Society for Human Resource Management states 45% of all resumes contain one major fabrication.
- The Wall Street Journal reports that 34% of all job applications contain lies regarding experience, education, and the ability to perform essential functions of the job.
- The average award in a workplace violence lawsuit exceeds $1,000,000 per case. Source: The Workplace Violence Research Institute.
- The National Retail Merchants Association released statistics that show, “Employee theft accounts for an estimated 60% to 70% of all retail losses.”
- 37.6% of surveyed college students admit to a history of criminal acts.
- According to the Bureau of National Affairs, $15-25 billion is lost each year due to employee theft.
- On-the-job violence costs employers $36 billion each year.