ID.me Fires Dozens on Fraud Team as Congress Probe Begins

ID.me, a prominent U.S. government contractor of identity verification technology, has fired 39 employees over the past week for inappropriate communications.

Roughly two dozen U.S. states and ten federal agencies, including the Internal Revenue Service (IRS), have contracted with ID.me to catch scammers attempting to steal benefits, such as unemployment insurance and tax refunds through fake or stolen identities.

ID.me said that they separated some customer support staff from the company due to inappropriate internal communications that demonstrated disrespect for colleagues and that it would implement training and other procedures.

ID.me said that the terminations would not significantly affect operations because it moved other workers into the fraud division, and workload had decreased after the mid-April U.S. tax filing deadline.

ID.me, which employs almost 1,400 people, was valued at $1.5 billion in Alphabet Inc’s CapitalG fundraising last year with other firms.

ID.me’s use of facial recognition software to verify people has prompted a public campaign by rights activists demanding the government abandons it despite some clients praising its work.

Fired employees said that ID.me did not give first issue warning and has offered fired workers a month of pay and three months of healthcare if they agree not to bring legal action or speak about the deal.


© Fourth Estate® — All Rights Reserved.
This material may not be published, broadcast, rewritten or redistributed.