Flexing Lifestyle Fuels Fraud Risks Among Gen Z Employees

Flexing Lifestyle Fuels Fraud Risks Among Gen Z Employees
Budi Santoso, Human Capital Management Expert. (Photo by Didik Sulistiyo))

Jakarta, en.SERU.co.id – The trend of showcasing luxurious lifestyles on social media is now infiltrating workplace integrity issues. Several internal audit practitioners have noted an increasing risk of fraud involving young employees from Generation Z.

Human Capital Management expert Budi Santoso explains that this vulnerability is not due to a lack of competence. Instead, it is largely triggered by lifestyle pressures and the phenomenon of FOMO (Fear of Missing Out).

“These Gen Z individuals have a desire to always appear ‘successful’ on social media. But this often doesn’t match their entry-level income,” says Coach Busan, as he is known.

High-cost lifestyle

Busan elaborates that a consumptive lifestyle often drains their pockets. This includes urges to own branded items, vacation at aesthetic destinations, or pursue other desires fueled by social media’s portrayal of luxury.

Easy access to credit, which can lead to debt traps, often forces employees to seek ‘shortcuts’ at work.

“Fraud among young employees usually starts with small accumulations, such as falsifying meal receipts or business travel expenses. It can escalate to selling client information or databases for personal gain, or accepting unofficial commissions from vendors or third parties,” states the Head of HR People Service at PT Rentokil Initial Indonesia.

He adds that Gen Z often feels they work hard but their salary isn’t enough for their standard of living. As a result, they may feel ‘entitled’ to take a little extra from the company.

In such cases, how should companies respond?

“Companies can provide training on salary management and investments for young employees. Help them cope with stress from social pressures or debt. They can also explain promotion structures to set realistic goals,” he suggests.

An additional note from Coach Busan: Not all Gen Z behave this way. Many bring innovation and high efficiency to companies. However, monitoring integrity remains essential amid the onslaught of digital consumerism trends.

“Employing Gen Z presents unique challenges for companies. With adaptive treatment, they can also contribute positively to the organization,” he concludes. (dik/ono)

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