Definition
Occupational Fraud refers to fraud committed by employees, managers, or executives against their employer for personal gain.
Context
Occupational fraud is a central concept in economic crime and includes schemes such as financial statement fraud, kickback schemes, and access rights abuse. It is often enabled by weak internal controls, insufficient segregation of duties, and lack of oversight.
Meaning
It is the most common form of economic crime and can result in significant financial losses and organizational damage.
Example
An employee diverts company funds by manipulating vendor payment processes.
Sources
Suggested citation
wirtschaftsforensik.ch Editorial Team: "Occupational Fraud", in: Glossary, wirtschaftsforensik.ch, https://wirtschaftsforensik.ch/glossar/occupational-fraud/, accessed April 18, 2026.