The COVID pandemic sped up the shift to digital solutions across many areas of the global economy. As in-person interaction moved online and remote working became the norm, a number of areas of identity verification also transitioned to digital. Businesses increasingly turned their attention towards the benefits of employee digital ID.
Right to work checks were first moved online during COVID as physical checks were not possible, with this temporary option becoming permanent this April. Ensuring that illegal workers are not hired is an important issue for businesses with the maximum fine for this practice reaching up to £20,000 per worker.
This June, a partnership between the Post Office and secure digital identity firm Yoti became the first digital identity service provider (IDSP) to be approved by the Department for Digital, Culture, Media and Sport.
Often right to work checks require a new hire to travel and have their ID documents physically checked and photocopied, potentially delaying their start date. At a time when companies are finding it difficult to find staff, digital identity verification not only speeds up the hiring process but also benefits temporary workers or workers in the gig economy. Once secure digital ID checks have taken place, right to work proof can be shown to a new employer in seconds.
Anyone that has gone through an onboarding process with a new employer knows that countless documents need to be read through and signed. The value of introducing an innovative employee digital ID solution for the hiring and onboarding process can result in genuine bottom-line benefits, according to research by Glassdoor.
The True Cost of a Bad Hire report from Glassdoor finds that organisations that offer a strong onboarding experience improve new employee retention by 82% and productivity by over 70%. Using a comprehensive solution can help protect businesses from falling victim to fraud, such as in cases where fraudsters use false personal information to illegally acquire a job.
With the right identity solution, the employee onboarding journey can be made much more seamless. After the Scottish government started to use digital identity verification provider Amiqus for the more than 3,000 hires it makes each year, major improvements were achieved.
The ID verification solution helped reduce the pre-employment process by 80%, resulting in a reduce from 5.5 weeks to just 7 days. New employees are now able to use their personal devices to provide ID details to make the process as easy as possible.
A case study of the NHS Business Services Authority also found that using a digital ID verification solution resulted in time savings of around £1.3 million each year and significantly reduced onboarding time from 24 days to 10 days.
Offering convenient and easy-to-use onboarding software for new hires helps these staff feel less anxious about the job and make the transition as simple as possible. Human resources employees will also save time in manually performing checks, allowing them to focus on more high-value tasks that improve the experience for staff.
Written by Finbarr Toesland, Editorial Contributor, VC Innovations
The conversation continues at the Future Identity Festival 2022, co-located with the Fintech Talents Festival on 14th – 15th November, at The Brewery, London.