Allied Market Research

Employment Screening Services Market Expected to Reach $9.92 Billion by 2028-Allied Market Research


Report Code : A04204

quote Though companies are facing challenges for huge costs & the length of time to get the results of candidate, organizations are conducting at least one type of background screening by having a mandatory documented policy for background screening procedures. quote

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According to a recent report published by Allied Market Research, titled, “Employment Screening Services Market by Service and Application: Global Opportunity Analysis and Industry Forecast, 2021-2028,” the global employment screening services market size was valued at $4,957 million in 2020, and is projected to reach $9917 million by 2028, growing at a CAGR of 9.2% from 2021 to 2028.

The screening of employees helps in preserving the safety & security of the firm and helps employers authenticate individuals before employing them in their organizations. Employment screening refers to a process where the employer verifies the behavior as well as screens candidates for drugs. The main purpose of employment screening is to eliminate the need to interview large number of unsuitable candidate and increase the effectiveness of the employment process. Employment screening services assure employers that the details provided by the individual are accurate, and the experience & qualifications mentioned in the resume are justified. 

Furthermore, growth of startup organizations along with untapped potential of emerging markets provides promising future prospects to the key players for market growth. However, risks associated with safeguarding and disposal of information collected during the hiring process are expected to impede the market growth. 

On the basis of service, the criminal background checks segment dominated the employment screening services market in 2020, and is projected to maintain its dominance during the forecast period. This is attributed to numerous benefits such as identifying potentially risky hires, helping safeguard organization’s reputation and protecting organizational assets, which provide a lucrative opportunity for the market.  

By region, the global employment screening services market was dominated by North America in 2020, and is expected to maintain this trend during the forecast period. North America is considered as one of the largest hubs of IT industry, owing to which there is an increase in the immigrants in search of a job, which drives the growth of the market in this region. However, Asia-Pacific is expected to grow at the fastest CAGR during the forecast period, as this region has been facing illicit drug problem since a long time and which remains a threat in the Asia-Pacific. In addition, this region presents lucrative opportunities for the players operating in the drug & health screening market, owing to its high population base, growth in awareness about drug abuse testing, and rise in prevalence of drug abuse.  

In the wake of COVID-19 pandemic, the demand for employment screening services has increased among retail and healthcare sector. In addition, as hiring in the healthcare industry is heavily regulated, the risk of not having a thorough background screening and drug testing programs could result into serious consequences. Moreover, the retail sector has been active throughout the pandemic and employers have specifically used pre-employment background checks in order to curb the spread of virus, to avoid workplace violence, thefts, and fraud. However, most of the other industry verticals has been severely impacted due to sudden business shutdown & mandatory lockdowns across several countries.

Key findings of the study

  • By services, the criminal background checks segment led the employment screening services industry, in terms of revenue in 2020.
  • By application, the healthcare segment accounted for the highest employment screening services market share in 2020.
  • By region, North America generated the highest revenue in 2020.

The key players profiled in the employment screening services market analysis are ADP LLC, Capita PLC, CareerBuilder LLC, Experian, First Advantage, HireRight LLC, Insperity, Paychex, Inc., Paycor, Inc., REED, and Sterling. These players have adopted various strategies to increase their market penetration and strengthen their position in the industry.

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quote Employment Screening Services Market by Service (Criminal Background Checks, Education & Employment Verification, Credit History Checks, Drug & Health Screening, and Others) and Application (Healthcare, IT/Technology/Media, Financial Services, Staffing, Retail, Industrial, Travel/Hospitality, Government/ Education, Transportation, and Others): Global Opportunity Analysis and Industry Forecast, 2021–2028 quote

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