Casualization Of Employment And Increase In Reported Cases Of Fraud In Insured Banks Of Nigeria

The paper examines the relationship between casualization of employment and increase in reported cases of fraud in insured banks of Nigeria. The population consists of 24 insured banks in Nigeria as at 31st December, 2009. The sample consists of the entire population. The data used were obtained from the annual reports of Nigeria Deposit Insurance Corporation from 2003 to 2009. Panel data for 2003 to 2009 were collected for the analysis. Pearson Product Moment Correlation Coefficient, a parametric tool was employed in the analysis. The analysis reveals a strong positive relationship between casualization of employment and increased in reported cases of fraud in insured banks of Nigeria. It is not statistically significant at 5% but significant at 10%. It can be concluded that there is a strong positive relationship between casualization of employment and increase in fraud in insured bank. It is recommended that insured banks should strengthen their internal control, security and risk management systems to reduce the incidence of frauds and forgeries. Insured banks should also thoroughly screen prospective employees by obtaining status reports from previous employers and relevant agen'cies and to desist from deploying casual staff to sensitive positions. There is also need to carry out cost benefit analysis of casualization of employment in order to ensure that the perceived reduction in labour cost is not offset by increase in fraud loss exposure.