Identity theft risks during a career change
Starting a new job is in equal parts exciting and nerve-racking. However, beyond the worries of adapting to a new environment and getting up to speed on the role requirements, there is a much darker concern that many fail to address.
Businesses and new hires alike can face higher risks of identity theft and other scams during the process, and both parties must be vigilant in protecting their information.
Protecting yourself during a job search
Identity theft is a risk even before the first day of a new job, as seen in a number of scams last year. According to the Department of Communications, perpetrators will attempt to collect personal details from the victim by posing as a recruitment company and offering a potential role.1
These crimes are sophisticated and a number of people have been convinced that the false recruiters are legitimate as many even provide links to complete sites. With the urgency to acquire a job, it is easy to let your guard down and comply to the requests.
These scams take advantage of the common misconception that a company requires sensitive information in order to hire you. It is important to note that a good recruiter will never ask for personal information beyond a CV until a contract has been signed.
If an email requires you to send copies of your passport or other ID documents, bank account details and sensitive personal information, chances are high that it has come from a risky source.
The risks for businesses
Employers also face risks during the hiring process. Taking on a new candidate requires a certain amount of trust and this can leave your system vulnerable to attack. In a recent report, Ersnt and Young identified a number of risks that can arise in the recruitment of new staff, including:
- Unauthorised modification of employee records
- Transferring payments to fake accounts
- Forged stamping on verification papers2
The Crime Commission states that a common method of identity theft in companies is through collusion with a company insider.3 This is especially true for businesses that frequently deal with personal identity information. To protect both customer and employee data, it is vital that only the most senior and reliable staff have the power to alter databases and have full access to the system.
EY also recommends performing thorough background checks on new hires and implementing an audit system to catch any suspicious behaviour amongst staff members.
To help protect your identity the team at Identity Watch can help. Identity Watch monitors illegal forums where stolen personal information is traded. If your details are found you will be alerts so you can take steps to reduce the threat of identity theft.2
1 Fake recruitment ads used to target job seekers for identity theft and possible money laundering: SSO Alert Priority Hig, Australian Government Department of Communication. March 2015.
2 Fraud risks in recruitment and payroll, EY. Accessed August 2015.
3 Identity Crime, Australian Crime Commission. July 2013, Accessed August 2015.