Fraudulent hires gain network access days before detection, HYPR finds

Most fraudulent hires receive corporate credentials and internal network access before anyone detects them, according to a report from identity security firm HYPR. Fraudulent candidates clear pre-hire screening and take up their roles in 42% of cases, and only 3% are caught on their first day.

Detection typically lags: 32% are found within one to three days, 45% within four to six days, and 20% go unnoticed for up to three weeks. That gives fraudulent hires an average of 5.73 days of unmonitored access to corporate networks.

HYPR surveyed 500 US HR executives, 98% of whom said they had encountered candidate fraud first hand, while 89% reported heightened concern over hiring fraud in the past two years. Among those caught during hiring, 68% were identified by human instinct.

The report also found a split in ownership of pre-hire identity risk: 53% of HR executives said HR owns it before an offer is accepted, while 19% pointed to talent acquisition, 10% to compliance or legal, 10% to security and 7% to IT. HYPR said this suggests many organisations assume IT and security only take responsibility after a hire.