Preventing and detecting occupational fraud for Australian and New Zealand organisations

The combination of the shift to remote work and a constantly shifting economic landscape, is increasing the prevalence and risk of occupational fraud for Australian and New Zealand organisations.

A recent study found that 72 per cent of organisations reported an increased risk of fraud during the pandemic, with 85 per cent expecting this risk to continue. Sixty-five per cent of organisations reported that remote work had increased their fraud risk, and 62 per cent considered employees their biggest single source of risk. Sixty-eight per cent of fraudsters were in financial stress or living beyond their means. It can be difficult to identify when fraud is happening, especially when it is an employee who has worked with an organisation for many years.

However, financial and personal challenges that people have faced since the pandemic have led some employees to act uncharacteristically when it comes to occupational fraud. Regardless of an employee’s situation, fraud has severe business consequences including the financial cost, time, operational issues and reputational damage that can result.