Industry Fast Facts
Hiring by the Numbers
To really understand why human resource managers or managers in general who are responsible for -hiring need to use every tool at their disposal including thorough (and legal) pre-employment background checks just take a look at the statistics shown below. They will give you an idea of the type of costs that good background checking can help you avoid.
Incorrect or exaggerated information
- 53% of all job applications contain inaccurate information.
- According to a survey conducted by career builder.com 49% of the over 3000 hiring managers surveyed had caught a job applicant lying about some part of his or her resume.
- 34% of all application forms contain outright lies about experience, education, and ability to perform essential functions on the job. (Wall Street Journal, 2003)
- 9% of job applicants falsely claimed that they had a college degree, listed false employers, or listed jobs that just didn’t exist. (Source: resume inflation: Two Wrongs May Mean No Rights by Barbara Repa Nolo.com 2001
- 11% of job applicants misrepresented why they left a former employer.
- up to 5% of American workplaces experience a workplace violence episode annually (source, OSHA forms alliance focusing on workplace violence by Roy Maurer S HRM 2009
- FBI studies estimate nearly 355,000 businesses will have a workplace violence incident in any year.
- 13% of the 5840 workplace fatalities that happened in 2006 were the result of assaults and violent acts. (US Bureau of Labor Statistics 2008)
- There were 11,613 workplace homicide victims between 1992 2006, averaging just under 800 homicides per year. (Source Bureau of Labor Statistics census of fatal occupational injuries, 1992 – 2006)
Other Important Statistics
- Almost 1/3 of business failures are caused by employee theft.
- It costs between $7000 and $40,000 to replace an employee.
- On-the-job violence costs employers $36 billion per year