Samsonite’s CEO accused of falsifying education credentials
Samsonite, a leading luggage and backpack maker, has been under fire for the last week amidst multiple allegations made on May 24, 2018, by the investment firm, Blue Orca Capital. Blue Orca’s report claimed Samsonite’s CEO, Ramesh Tainwala, falsified his educational credentials by claiming he held a doctorate degree, as well as questioning several of Samsonite’s accounting practices.
Effective May 31, 2018, Tainwala resigned from his position, citing personal reasons. Samsonite is left scrambling to justify their practices, while their stock prices are falling, and they are experiencing significant negative media backlash.
This event highlights the importance and necessity for employers to verify the information provided to them by their prospective employees as part of their background screening program. According to the Society of Human Resource Management (SHRM), 53% of all job applications contain inaccurate information, and the Wall Street Journal states that 4% of all application forms contain outright lies about experience, education, and ability to perform essential functions on the job.
Claims of negligent hiring and the costs associated with bad hires create distraction and lowers productivity, and can be avoided by simple verifications of employment and education.
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