In today’s volatile job market, trust is no longer a given, it is a gamble. With South Africa’s unemployment rate exceeding 32% and expected to rise beyond 33% this year, desperation is fuelling deception in the job market.
Fake qualifications, identity fraud, and financial misrepresentations are infiltrating hiring processes, while businesses, under pressure to cut costs, screen fewer candidates. The result? A hiring crisis in which overlooking due diligence could lead to regulatory breaches, reputational damage, and financial losses.
Against this backdrop, Managed Integrity Evaluation (MIE), a provider of background screening services in southern Africa and a division of Mettus, has released its 2024 Background Screening Index. The report was compiled based on over 3,2 million background screening transactions that uncover key hiring trends and risks that are shaping the job market.
Fake credentials on the rise
“Among the most prominent concerns is qualification misrepresentation,” says Jennifer Barkhuizen, head of marketing at MIE. “Of the 652 133 qualification verifications conducted by MIE, 6,59% contained discrepancies, with matric certificates (7,82%) and tertiary short courses (8,28%) the most commonly falsified. Notably, fraud is even higher for international qualifications, with 11% failing verification.”
Criminal background checks
Criminal record checks remain the most requested verification, with 939 863 screenings conducted in 2024. Although the risk percentage dropped to 7,15% from 12,8% in 2023, 3,74% of candidates were unaware or dishonest about their criminal records. The demand for cross-border criminal verification is also rising, particularly in logistics, finance, and security.
The growing threat of financial instability
Financial instability among job-seekers is another growing risk. Adverse financial history screenings show risk levels increasing from 16,44% in 2023 to 19,25% in 2024, with debt defaults and judgments on the rise. Industries such as real estate, security, and private education are prioritising financial checks, particularly for roles involving fiduciary responsibility.
The background check that is raising red flags
“Employers are also increasingly assessing candidates’ online behaviour as part of the hiring process,” explains Barkhuizen. “Social media screening has surged, particularly in finance, legal, logistics and e-hailing industries, as companies seek to mitigate reputational risks.”
The report reveals that 69,44% of flagged content is linked to discriminatory remarks, while unprofessional behaviour and online misconduct are also red flags. TikTok and X (Twitter) are the primary sources of problematic content, reinforcing the need for online behaviour checks in hiring decisions.
Striking the balance
With hiring slowdowns, businesses are streamlining verification processes. The challenge is balancing cost-efficiency with due diligence, and companies must ensure they mitigate risks, while keeping hiring processes efficient.
Digital verification tools are emerging as a means for businesses to improve accuracy and speed. Here, features such as automated employment reference checks have boosted response rates by 70%, while real-time tracking systems allow for faster, more transparent screening.
The future of background screening
Looking ahead, AI and biometric authentication will assist in identifying, reducing and preventing incidents of fraud; while regulatory compliance in qualification verification and financial risk management will continue to tighten.
“The job market is evolving, and so must hiring practices. Fraud is rampant, risks are rising, and the cost of getting it wrong has never been higher. Employers who fail to screen effectively do not just risk bad hires, but risk their reputation, compliance, and bottom line. Now is the time to act, because in today’s world, trust is not given – it is verified,” concludes Barkhuizen.
To explore the full insights from the 2024 MIE Background Screening Index and see how your business can mitigate hiring risks at https://tinyurl.com/28562f8j
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