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North America Employment Screening Services Market Forecast to 2028 - COVID-19 Impact and Regional Analysis By Services, End-User Industry, and Organization Size

North America Employment Screening Services Market Forecast to 2028 - COVID-19 Impact and Regional Analysis By Services, End-User Industry, and Organization Size

  • July 2021
  • 119 pages
  • ID: 6134727
  • Format: PDF
  • The Insight Partners


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The employment screening services market in North America is expected to grow from US$ 2,090.23 million in 2021 to US$ 3,249.28 million by 2028; it is estimated to grow at a CAGR of 6.5% from 2021 to 2028. Demand for time-efficient selection systems owing to rising number of job applicants is bolstering the market growth of the industry. Huge populations are moving to urban cities in developed and developing economies for better life. Higher standards of living, availability of better job opportunities, and access to modern amenities and services are the major factors that have contributed to the migration of rural population to the urban areas. Moreover, with steady growth post-recession in developing economies, disposable incomes of consumers rose gradually. According to the World Bank, worldwide, over 50% of the population lives in urban areas. By 2045, the world’s urban population would reach 6 billion, with a 6-fold increase. The prominent trend of urbanization is highlighting the need for the creation of jobs in urban areas. In North America, fierce competition is driving industries and firms to create more jobs, boost individual as well as organizational productivity, and set appropriate employee payment standards. Furthermore, with the increase in the number of job applications in organizations has made the process of selecting the most suitable candidate for a particular profile more tedious, and the conventional methods of conducting interviews for job screening are proving time-consuming and inefficient. Thus, the demand for efficient and quicker employee screening systems is encouraging the use of employment screening services.

Industries have been facing significant changes due to the onset of the COVID-19 pandemic. The US is the world’s worst-affected country by the disease, and a consequent economic downturn has led to the rise in number of jobless candidates; the number reached 20.5 million in May 2020 from 6.2 million in February 2020. As a result, in 2020, the rate of unemployment in the US increased from 3.8% in February to 14.4% in April and 13.0% in May. However, post Q3 2020, the number of COVID-19 cases in the US started declining, thus triggering gradual normalization of economic activities in the country. This resulted in rise in demand of products and services across the region. Moreover, with the improved vaccine distribution and administration drives, the US witnessed a more than expected increase in job openings in February 2021. According to data released by the Job Openings and Labor Turnover Survey (JOLTS), in 2021, the number of job openings rose to 7.4 million in March from 7.1 million in February. Hiring rate in the country increased to 4% in February from 3.8% in February 2021, Thus, despite the steep decline in the first two quarters of 2020, the employment screening services market in North America started experiencing substantial growth with the gradual revival of the economy of region by the end of 2020.

The employment screening services market, by services type, is segmented into background check, verification, and medical & drug testing; the verification segment led the market in 2020.Several applicants provide false information regarding their qualifications and work experience by making some minor or even outrageous misrepresentations.

According to World Street Journal, ~34% of job applications across the world contain fake information.Verification services ease employer’s liability to scrutinize every information provided by the candidate.

According to the Association of Certified Fraud Examiners, the false information provided by the candidates results in huge losses to several companies.As per the association, the cost incurred due to false information on resumes has amounted to ~US$ 600 billion in the past few years.

Verification services assist in the investigation of employment history, professional licenses, and educational degrees of candidates, thereby aiding the recruiters with true and trusted information about these aspects. The market for the verification segment is subsegmented into qualification, employment history, reference, and others.
The overall North America employment screening services market size has been derived using both primary and secondary sources.To begin the research process, exhaustive secondary research has been conducted using internal and external sources to obtain qualitative and quantitative information related to the market.

The process also serves the purpose of obtaining overview and forecast for the North America employment screening services with respect to all the segments.Also, multiple primary interviews have been conducted with industry participants and commentators to validate the data as well as to gain more analytical insights into the topic.

The participants typically involved in this process include industry expert such as VPs, business development managers, market intelligence managers, and national sales managers—along with external consultants such as valuation experts, research analysts, and key opinion leaders—specializing in the North America employment screening services. ACCURATE BACKGROUND, LLC; A-CHECK AMERICA, INC.; CAPITA PLC; FIRST ADVANTAGE; HIRERIGHT, LLC; PINKERTON CONSULTING & INVESTIGATIONS, INC; STERLING TALENT SOLUTIONS; TRITON INC; VERITY SCREENING SOLUTIONS; GOODHIRE; and INSPERITY, INC. are among the players operating in the North America employment screening services market

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