“Widespread evidence of deteriorating mental health and the ten-fold spike in state benefit claims as the first lockdown began remind us that people were barely coping before the cost-of-living crisis. Desperate people make bad decisions, whether they are trying to resist fraud or trying to resist the temptation to commit it.”
Fraud Advisory Panel “Running on Empty”, July 2022 (accessed here)
As we emerge from the COVID-19 pandemic, we face yet another obstacle – the cost-of-living crisis – which significantly challenges our finances and physical and mental health. Simultaneously, the public and private sectors must make substantial financial savings, making it a frustrating and challenging time for everyone, including those reliant on organisational services. This can impact employees in several ways, such as limiting their opportunities for professional growth, including training and promotions, and reducing their chances for overtime work.
Unfortunately, this kind of financial pressure can lead some people to resort to fraud or other criminal activity against their organisation, seeing it as a short-term solution to a long-term problem of economic instability.
The threat from internal fraud and corrupt practice ranges from employees stealing ICT equipment, stealing money intended for clients in care, or accessing sensitive information and passing it on to unethical businesses to give them an advantage in a tendering process.
Other Insider Threats include:
