Great Resignation translates to loss of tech and company passwords

The firing spree, coupled with the Great Resignation, proves to be a nightmare for some companies as people often leave with more than termination letters when severing ties with former employers.

Amazon, Meta, and others, laying off thousands, might save quite a bit of money for the time being. However, companies risk losing technology and digital assets and having ex-employees using corporate applications and passwords.

Meta laid off 11,000 employees, Twitter let half its full-time workforce go, Amazon and Microsoft fired 1,000 people each, Lyft, Peloton, Robinhood, and many others are also on a spree of shedding their workforce.

Downsizing companies find themselves with quite a few issues, such as the motivation of the remaining employees and the high cost of severance packages.

Another problem that stands out is the sometimes chaotic offboarding process that could result in the leakage of company secrets, technology, and other digital assets loss, as well as ex-employees abusing corporate passwords they are no longer entitled to.

This is an issue that every company – and it doesn’t matter if an employee decides or is made to leave – has to deal with.

“The pandemic and the Great Resignation placed a huge strain on enterprise onboarding and offboarding processes to the point where automating them has become priority one for just about every company we talk to,” said Arthur Lozinski, CEO, and co-founder of Oomnitza, Enterprise Technology Management (ETM) company.

It partnered with YouGov to survey information technology (IT) leaders in enterprises ranging from 1,000 to 10,000 employees in the state on on-and-off boarding process automation.

Half of the respondents reported the loss of at least 5% of their technology assets due to workers leaving the company, with one-fifth losing 10-20% of the assets.

The survey also revealed that former employees log in to software-as-a-service (SaaS) applications and cloud infrastructure. In fact, nearly half of IT leaders report that at least 5% of ex-employees access the company’s SaaS applications without authorization.

Unauthorized access or technology loss during offboarding is a bigger challenge for small organizations. Oomnitza assesses that this is due to the fact that offboarding processes are not automated in many companies.

The survey showed that technology, healthcare, and manufacturing companies have poorer asset reclamation rates, simply meaning that upon departure, employees don’t return everything they were presented with when joining the company.

Healthcare companies seem extremely vulnerable – half of them report losing a significant number of company assets when offboarding people.