Remote work has increased businesses’ opportunities for growth and improvement, including more flexible hiring procedures and access to global talent pools. However, it introduces significant security risks. Among these, insider threats hold the highest rank and often go unnoticed until a critical moment. The Insider Threat Report found that 74% of organizations were moderately to extremely vulnerable to an insider attack. Prioritizing data security becomes increasingly important as companies adopt remote hiring practices.
Understanding Insider Threats
What Are Insider Threats?
An insider threat happens when someone who works for a company, like an employee, contractor, or business partner, abuses their position to compromise the data, systems, or operations of the company. These threats can be intentional (malicious actors) or unintentional (negligent employees).
Types of Insider Threats
- Malicious Insiders: Employees or contractors with malicious intentions who use their positions for personal gain or to harm the organization. Examples include leaking client information or selling confidential data. The Data Breach Investigations Report (DBIR) states that insider threats, which frequently involve employees who purposefully leak confidential information or commit fraud, were responsible for 19% of all data breaches.
- Negligent Insiders: Employees whose negligence or lack of knowledge results in security breaches. This scenario could include handling sensitive documents improperly or falling for phishing scams. The Ponemon Institute discovered that employee negligence is responsible for 55% of insider threats, with an average annual cost of $7.2 million to remediate these incidents.
- Third-Party Risks: Partners, suppliers, or independent contractors who have access to private systems and could unintentionally (or intentionally) put your business at risk. According to the IBM Cost of a Data Breach Report 2022, third-party software flaws accounted for 13% of breaches.
Potential Impacts of Insider Threats
Insider threats have the potential to have disastrous results:
- Data Breaches: The unauthorized disclosure of sensitive customer or company information. IBM estimated that the average cost of a data breach in 2023 would be $4.45 million.
- Reputational Damage: Clients, partners, and employees may lose trust as a result of security breaches. According to a Gemalto survey from 2017, 70% of consumers would stop doing business with a company if it experienced a data breach.
- Financial Loss: Regulatory fines, lawsuits, and downtime costs result from security breaches. The Ponemon Institute estimates that insider threats cost North American businesses an average of $15.38 million per year.
Establishing Secure Hiring Practices
Follow these secure hiring practices from the start to reduce the risks associated with insider threats in remote hiring.
1. Conduct Comprehensive Background Checks
Thorough vetting is the first line of defense against possible insider threats. To identify any warning signs, confirm a candidate’s identity, employment history, original documentation, and prior conduct. Working with a reputable hiring company like Employer of Record (EOR) guarantees that remote workers undergo industry-standard pre-employment screening while expediting adherence to local regulations.
2. Implement Strict Security Protocols
Provide each new employee with security procedures tailored to their role. These protocols should include procedures for accessing sensitive data, using secure devices, and adhering to IT regulations. Consider requiring non-disclosure agreements (NDAs) during the hiring process for roles involving highly sensitive information.
Data Access and Control
The next crucial step after safeguarding the hiring process is controlling remote workers’ access to data.
1. Adopt “Least Privilege” Access
Restrict access to systems and data according to the employee’s role. For instance, an HR manager probably does not need access to the product source code, and a customer support representative does not require access to financial records.
2. Implement Multi-Factor Authentication (MFA)
MFA requires an extra form of verification, like a biometric scan or one-time code, adding an extra layer of security on top of passwords. This lowers the possibility of unwanted access. According to Microsoft, MFA is capable of blocking 99.9% of automated cyberattacks.
3. Use Secure Platforms for Remote Collaboration
It is important to check the security procedures of collaborative tools like messaging apps and cloud storage. The best platforms for protecting your data are those with end-to-end encryption and data loss prevention capabilities.
Training and Awareness
1. Educate Employees on Security Policies
All new hires should attend mandatory training on your company’s data security policies. This training covers the best practices for managing passwords, spotting phishing scams, and protecting business equipment. A KnowBe4 study discovered that organizations that implemented regular security training reduced phishing susceptibility by 75% after a four-week campaign.
2. Share Real-World Examples
Real-world incidents are the best way to illustrate the significance of home security. Give examples of insider threat-caused breaches and explain how they were preventable.
3. Regular Refresher Courses
Being aware of security issues is a continuous process. Plan on holding regular training sessions to keep staff members informed about new security tools and emerging threats.
Monitoring and Auditing
Potential security breaches can be proactively detected through ongoing monitoring of remote workers.
1. Use Monitoring Tools
Invest in tools that monitor user activity, including download histories, file access, and login locations. Solutions such as Varonis, Splunk, or Cylance help detect odd patterns of behavior that might indicate a threat.
2. Audit Regularly
Plan frequent audits of the logs and permissions for data access. These audits can assist in identifying any policy violations or unauthorized access before they develop into significant incidents.
3. Respect Privacy
Monitoring tools are helpful, but it is crucial to find the ideal balance between security and worker privacy. Clear policies should specify what is being monitored and why.
Incident Response Plan
Even with the best-prepared systems, incidents can occur. A strong response plan guarantees prompt containment and recovery when they do.
1. Identify and Isolate the Threat
Utilize your monitoring tools to find compromised systems or accounts. Take quick action to prevent access and limit the damage.
2. Notify Relevant Stakeholders
Inform your legal team, leadership, and any impacted customers or regulatory bodies that may be involved, depending on the nature of the breach. Being transparent is essential to minimizing reputational harm.
3. Conduct a Post-Incident Review
Determine the cause of the issue and make the required adjustments to security tools and policies. Preventing future breaches requires learning from the past.
Securing Remote Hiring for the Future
One of the unavoidable consequences of the new normal of remote hiring is insider threats. However, you can reduce risks and safeguard your company by implementing the appropriate tactics, such as incident response planning, employee training, controlled data access, secure hiring procedures, and ongoing monitoring.
Implementing these proactive measures not only protects your company, but also fosters trust among customers and employees. By making security a top priority, you show the world that your company is dependable and prepared for the future.
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