PUBLISHER: The Business Research Company | PRODUCT CODE: 1648776
PUBLISHER: The Business Research Company | PRODUCT CODE: 1648776
An employment screening service is a process of examining a candidate and verifying their behavior, credentials, criminal history, and so on to protect a business from a fraudulent employee. The employment screening services are used by companies that are hiring to examine the prospective hires' fit for the job and safety risks.
The main services of the employment screening services market are background screening, verification, driver management, and medical and drug testing. Background screening refers to the process of investigating the backgrounds of potential employees to help companies make informed decisions regarding prospective job applicants. The various verifications done are qualification, employment history verification, reference checks, and other verifications. The background screening offered includes credit checks and criminal records. The various applications are healthcare, IT/technology/media, financial services, staffing, retail, industrial, travel and hospitality, government and education, transportation, and other applications.
The employment screening services market research report is one of a series of new reports from The Business Research Company that provides employment screening services market statistics, including employment screening services industry global market size, regional shares, competitors with a employment screening services market share, detailed employment screening services market segments, market trends and opportunities, and any further data you may need to thrive in the employment screening services industry. This employment screening services market research report delivers a complete perspective of everything you need, with an in-depth analysis of the current and future scenario of the industry.
The employment screening services market size has grown steadily in recent years. It will grow from $4.73 billion in 2024 to $4.96 billion in 2025 at a compound annual growth rate (CAGR) of 4.9%. The growth in the historic period can be attributed to increased concerns about workplace security, regulatory compliance requirements, globalization of workforce, demand for talent quality and fit, rising incidence of resume fraud.
The employment screening services market size is expected to see strong growth in the next few years. It will grow to $7.19 billion in 2029 at a compound annual growth rate (CAGR) of 9.7%. The growth in the forecast period can be attributed to emphasis on remote work background checks, adoption of advanced screening technologies, growing importance of diversity and inclusion screening, expansion of gig economy and freelance work, growing demand for remote hiring. Major trends in the forecast period include integration of artificial intelligence in screening processes, continuous monitoring and post-hire screening, enhanced focus on candidate experience, biometric authentication for identity verification, blockchain for secure and transparent credential verification.
The increasing demand to mitigate fraudulent activities perpetrated by employees is expected to drive growth in the employment screening services market. Fraudulent activities are defined as deliberate acts intended to secure unauthorized benefits, such as money or property. Organizations are increasingly focused on preventing fraudulent actions by newly hired employees to avoid financial and reputational damage. For example, in February 2024, the Federal Trade Commission, a US-based government agency, reported that consumers lost over $10 billion to fraud in 2023, marking the first instance of losses reaching this magnitude. This figure represents a 14% increase compared to reported losses in 2022. Consequently, the rising need to combat employee-related fraudulent activities is propelling the growth of the employment screening services market.
The increased demand for remote work is expected to propel the growth of the employee screening services market going forward. Remote work refers to a work arrangement in which employees perform their job tasks and responsibilities from a location outside of the traditional office or workplace. Employee screening services in remote work help employers verify the qualifications, backgrounds, and suitability of remote job candidates to ensure trust, security, and compliance. For instance, in 2022, a survey conducted by FlexJobs' Career Pulse, a US-based provider of platforms serving the freelance community, gathered responses from 4,000 participants between July and August 2022. The survey revealed that 65% of the respondents expressed a strong preference for full-time remote work, while 32% expressed a desire for a hybrid work arrangement. This high percentage of 97% indicates that most workers wish to have the option of working remotely in some capacity. Therefore, the increased demand for remote work is driving the employee screening services market.
Major companies operating in the event management software market are developing innovative solutions such as criminal monitoring solutions to meet and exceed the needs of employers. The criminal monitoring solution offers continuous monitoring to enhance workforce integrity and security, setting new industry standards. It provides real-time insights and increased competitive value for clients and their employees. For instance, in April 2023, Brand Kraken, a US-based company that provides human resources services, launched its criminal monitoring solution, a comprehensive global employment background screening and drug testing platform to set new standards in the industry by providing continuous criminal monitoring beyond initial background checks, aiming to exceed the needs of employers and employees while ensuring workforce integrity and security. The reason behind the launch is to offer an innovative and superior solution.
Technological advancements are a key trend gaining traction in the employment screening services market. Major companies in the industry are developing technologically advanced solutions to streamline both customer and candidate experiences. For example, in April 2024, Accurate Background Inc., an India-based provider of compliant background checks, launched Next-Gen drug and health screening services. This initiative aims to enhance employment screening by integrating advanced health and drug screening capabilities into their existing background check offerings. This strategic move positions Accurate Background as a leader in the employment screening industry by addressing the rising demand for comprehensive health and drug screening solutions within the hiring process.
In June 2024, Accurate Background Inc., an India-based provider of compliant background checks, acquired Orange Tree Employment Screening for an undisclosed amount. This acquisition aims to enhance Accurate Background's service offerings, improve client experiences, and reinforce its position as a leader in the employment screening industry. Orange Tree Employment Screening, a US-based company, specializes in technology-enabled background screening, drug testing, and occupational health services.
Major companies operating in the employment screening services market include Automatic Data Processing Inc., Capita plc, CareerBuilder LLC, Experian plc, First Advantage Corporation, HireRight LLC, Sterling Talent Solutions Corp., GoodHire LLC, InfoMart Inc., Accurate Background LLC, Pre-employ. com Inc., IntelliCorp Records Inc., Backgrounds Online Inc., Corporate Screening Services Inc., Shield Screening LLC, A-Check Global Inc., Universal Background Screening Inc., ClearStar Inc., Trusted Employees & Partners LLC, DataCheck Inc., Advanced Research Systems Inc., Edge Information Management Inc., Orange Tree Employment Screening LLC, General Information Services Inc., Verified Credentials LLC, Background Investigation Bureau, RiskAware LLC, Proforma Screening Solutions LLC, Peopletrail LLC, Backgrounds Plus Inc.
North America was the largest region in the employment screening services market in 2024. Asia-Pacific is expected to be the fastest-growing region in the forecast period. The regions covered in the employment screening services market report are Asia-Pacific, Western Europe, Eastern Europe, North America, South America, Middle East, Africa
The countries covered in the employment screening services market report are Australia, Brazil, China, France, Germany, India, Indonesia, Japan, Russia, South Korea, UK, USA, Italy, Canada, Spain.
The employment screening services market consists of revenues earned by entities by providing pre-employment physical examination and talent assessment tests. Values in this market are 'factory gate' values, that is the value of goods sold by the manufacturers or creators of the goods, whether to other entities (including downstream manufacturers, wholesalers, distributors, and retailers) or directly to end customers. The value of goods in this market includes related services sold by the creators of the goods.
The market value is defined as the revenues that enterprises gain from the sale of goods and/or services within the specified market and geography through sales, grants, or donations in terms of the currency (in USD, unless otherwise specified).
The revenues for a specified geography are consumption values that are revenues generated by organizations in the specified geography within the market, irrespective of where they are produced. It does not include revenues from resales along the supply chain, either further along the supply chain or as part of other products.
Employment Screening Services Global Market Report 2025 from The Business Research Company provides strategists, marketers and senior management with the critical information they need to assess the market.
This report focuses on employment screening services market which is experiencing strong growth. The report gives a guide to the trends which will be shaping the market over the next ten years and beyond.
Where is the largest and fastest growing market for employment screening services ? How does the market relate to the overall economy, demography and other similar markets? What forces will shape the market going forward? The employment screening services market global report from the Business Research Company answers all these questions and many more.
The report covers market characteristics, size and growth, segmentation, regional and country breakdowns, competitive landscape, market shares, trends and strategies for this market. It traces the market's historic and forecast market growth by geography.
The forecasts are made after considering the major factors currently impacting the market. These include the Russia-Ukraine war, rising inflation, higher interest rates, and the legacy of the COVID-19 pandemic.