Long holidays could cut fraud, says Ernst & Young
Forcing employees to take two weeks in the sun could save West Midlands companies millions of pounds of fraud, according to Ernst & Young.
The accountancy firm said that the summer holiday season is the "peak time" for detecting fraud as employees take a long break. Ernst & Young said its fraud investigation caseload peaks during the summer when company cheats leave their desks to go on a lengthy holiday.
The firm said the enforcement of two-week holidays could reduce fraud by millions of pounds across the UK.
Jonathan Middup, partner at Ernst & Young's fraud investigation and dispute services practice in Birmingham, said: "We see a clear increase in fraud detection where companies enforce a compulsory two week break over summer. Perpetrators are away and not able to cover their tracks easily. Frauds, such as accounts manipulation that are covered up in the course of the year are often spotted when colleagues take over and notice something is not quite right.
"The profile of a typical fraudster is a long serving, trusted employee, who works long hours and is reluctant to take their annual leave. Without doubt, one of the most simple and cost-effective anti-fraud measures is to ensure employees take at least two consecutive weeks holiday."
