MyComplianceOffice Blog

Compared with other industries, the financial services industry inherently has an elevated risk of conflicts of interest. In particular, connected persons and close personal relationships can influence decisions that result in significant business and financial impact. After all, we’re all human and sometimes act based on emotion. Unfortunately, those human, emotional connections can sometimes lead to severe conflicts.

Organisations across the globe invest heavily in resources to strengthen relationships between the business and employees and create the best outcomes. Know Your Employee (KYE) initiatives centred around the recruitment process can result in high-quality talent acquisition. Background checking, identity verification, certifications, and other aspects are a high priority - and it’s no wonder. After all, the cost of replacing an employee is significant. ELMO & HRMI’s 2022 ANZ benchmark report shows an average of AUD $23,860 and 40 days to make new hires.