About 17.6 per cent discrepancies in employee verification highlight rising risks in India’s retail sector, with errors found in basic details like address and education checks.
In a major hiring risk, one in six employees in India’s retail industry misrepresented their work history, an AuthBridge report found, with the sector recording a 10.3 per cent overall discrepancy rate and employment history misrepresentation emerging as the top concern.
The report noted that the most common problems would include inflated roles, exaggerated work periods and past employers who seem to be unverifiable. The verification of addresses seems to be the next challenge, as it has 9.4 per cent of all cases showing mismatches in address, as per the data.
Structural challenges in the industry is how the report links these discrepancies to a cause, including high workforce numbers, temporary accommodations and pressure faced at frontline hiring. The risk goes higher than just verifications, leading to problems like making the retailer vulnerable to insider theft, fraudulent transactions and cybersecurity issues.
The report attributed the discrepancies to structural challenges in the retail industry, including large workforce numbers, temporary accommodations and pressures in frontline hiring. It warned that the risks extend beyond verification gaps, leaving retailers vulnerable to insider theft, fraudulent transactions and cybersecurity breaches.
“India’s retail sector is witnessing rapid growth, creating numerous employment opportunities alongside rising risks of hiring discrepancies. Misrepresentations in backgrounds can harm both business integrity and customer trust. To mitigate these risks, retailers must adopt advanced, continuous verification solutions tailored to specific roles. Leveraging AI-powered, real-time checks will help build a reliable workforce, reduce operational challenges, and create a safer environment for employees and customers alike,” said Ajay Trehan, Founder and Chief Executive Officer (CEO), AuthBridge.
The report called for urgent action, stressing the need for role-based verification and stricter screening in retail hiring, particularly for frontline roles most vulnerable to inflated experience claims, unverified addresses and fake credentials.
