With artificial intelligence (AI) accessible at their fingertips and its myriad tools affecting the job market, companies, including startups, are reforming their hiring process. However, hiring the right talent in this age and time is a challenge.
Ashutosh Gupta, Chief Business Officer at Praper Media, revealed how his startup faced a loss of over Rs 2 lakh after hiring an employee who allegedly provided false information on the resume. Sharing the experience on LinkedIn, “We hired someone who lied about everything on their resume. By the time we found out, we’d lost 2 lakhs,” he wrote.
According to the post, the incident unfolded because the organisation failed to do background checks, as the candidate appeared confident and experienced. “Back when Praper was smaller, background verification felt unnecessary. So we hired based on interviews and gut feeling. If someone seemed good in the interview, we brought them on.”
He also claimed to be earning Rs 40,000 at his previous organisation. “We assigned him a reaction video edit—standard work. Our junior editors handle 3 per day. He took 2 days. And the output was unusable,” Gupta shared.
“For someone who claimed 3 years of experience and Rs 40K salary at their last agency? That made no sense,” he added.
Upon suspicion, the startup reached out to the candidate’s previous employer. “Lie #1: He was making Rs 25K, not Rs 40K. So we’d given them an 80% raise. Lie #2: He wasn’t “resigned.” He was fired. For performance issues. Lie #3: The “manager” we called? Their friend. Glowing a fake review,” Gupta shared.
Further, he shared the cost the company had to bear due to the lie: Rs 1.35 lakh on three months’ salary, Rs 40,000 on training time, and Rs 25,000 on hiring a replacement. He also shared that there was delayed client work, affected team morale, and wasted time. In total, the company lost over Rs 2 lakh in four months.
“People try to bypass with fake numbers and photoshopped slips. We catch them 90% of the time,” Gupta said. He then advised other founders to verify early rather than “wait for a mistake.”