Thirty percent of all business failures are due to theft and fraud by employees, and it has been estimated 60 percent of employee fraud and theft is committed by managers, owners, and senior executives. When a candidate cycles through the hiring and onboarding processes, and is later discovered to have lied about his or her qualifications, it not only disrupts the business, but can cost up to 50 percent of the given position’s annual salary to rehire.
Also it has been estimated that businesses in the U.S. lose more than five percent of their revenue each year to employee fraud and theft. Properly vetting prospective employees to defend against this represents a significant challenge for private firms and the government alike.