Recruiting? Watch out for fake CVs
Indian firms are waking up to the problems and threats posed by fake résumés, creating a new business opportunity for screening companies
A talent crunch and pressure to recruit are leading Indian companies into a new fight—against fake résumés.
Till now, the problem was thought to be restricted largely to the information technology (IT), IT-enabled services (ITeS), banking and insurance sectors. In the last six months, consumer goods, retail and health care firms have seen increasing instances of staffers fudging résumés and claiming non-existent qualifications.
Companies are gradually waking up to the problem. Ashish Dehade, managing director, West Asia, First Advantage Pvt. Ltd, a background screening and verification company, says that more than 90% of the registered companies still don’t undertake detailed background checks on education, address, previous employment, criminal record, if any, and references.
But if most companies are making do with limited lines of enquiry, some large companies have begun to insist on comprehensive checks. The growing importance of candidate verification has spawned a new business opportunity for background screening companies.
ICICI Bank Ltd, for instance, found that of the 17,000 new recruits in 2007, 400-500 had misrepresented facts in their résumés, says K. Ramkumar, group head of human resources, or HR, for the bank.
Sony Entertainment Network, now known as Multi Screen Media Pvt. Ltd, puts the percentage of fudged résumés at 3% of total new hires. The discrepancies include falsification of educational qualifications, work experience, job roles and projects, and inflated compensation figures. Some also submit fake certificates and documents, say HR managers.
“It is a serious issue that can have long-lasting repercussions,” says Rohit Mahajan, executive director, forensic services, KPMG India. A bad hire not only impacts business efficiency, but can have consequences such as theft of intellectual property, leakage of confidential information or misuse of resources.
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