Rise in fake resumes, certificates - 'Background screening' catches on
The Hindu Business Line - Janaury 17, 2005

The rising trend in fake certificates pertaining to education and employment has spawned a new industry in India : Background screening. Estimates put the industry size currently at about Rs 250 crore and it is growing.

About one in five resumes contains discrepancies. This could often be minor such as non-explanation of a few months' gap between various items in the resume. But it may also contain false claims relating to the study/completion of courses or work experience in companies or projects.

While security, detective agencies and a couple of audit firms have done background screening earlier, a few multinational firms, specialising in this field, such as Quest Research, have now begun to consolidate their presence.

And the business has been good for them. Quest Research seems to have grown five-fold over the last year. Mr Yogesh Bhura, Managing Director, South Asia, Quest Research Ltd, says, "We are doing in excess of 15,000 background checks a month now."

These checks can cost companies anything from $80 dollars to $300 per person (Rs 3,487 to Rs 13,078).

Initially, it was other multinational companies that provided business to these companies. Now, local companies are also opting for background checks on employees, both existing and potential.

The background screening industry received a fillip in the aftermath of the September 11 WTC attacks in the US. Many companies, especially those in the information technology and financial services sector, began to opt for such practices, as part of the security requirements laid down by clients overseas.

Mr Bhura says, "More and more professionally managed companies are initiating background screening practices. It is business logic which is driving the growth of the industry and not legal requirements, as was the case earlier."