Employee theft is a criminal act that occurs when an employee takes something of value from their employer without permission and it costs U.S. businesses $50 billion per year according to Statistic Brain. This can include anything from taking company property to stealing money or personal information.

 

What is Employee Theft?

Employee theft is the act of stealing property, money, or other items from an employer. In some cases, employees may steal simply to make themselves look good in front of their colleagues; in others, employees may steal with the intent to deprive the employer of revenue. Regardless of the motive, employee theft can be a serious problem for businesses.

 

In order to prevent employee theft from happening, businesses must take several steps. First, they must create a policy on employee theft that is clear and concise. Second, they must set up systems to track employee theft incidents and ensure that offenders are punished accordingly. Finally, businesses need to educate their employees about the importance of not stealing. By taking these steps, businesses can help protect themselves from expensive losses due to employee theft.

 

The Different Types of Employee Theft

Employee theft can be broadly classified into four categories: pocketing of company money, unauthorized access to information, stealing trade secrets, and embezzlement.

 

Pocketing of company money involves taking cash or other valuable items from the workplace without permission. Unauthorized access to information refers to unauthorized access to confidential information, such as trade secrets or client lists. Stealing trade secrets refers to taking information that is proprietary to the company and using it for one’s own benefit. Embezzlement refers to theft of company funds that were not intended for that purpose.

 

Here are a few more types of employee theft in detail:

 

Employees receive Company Services for free

Staff members often take on tasks for family and friends, which can lead to issues in the pocketbook. For example, asking co-workers to do job that have not been planned out—such as posting outdated information on social media account—will make the company spend money unnecessarily. The act of stealing resources can also be detrimental when done on a regular basis.

 

Staff members often take on tasks for family and friends, which can lead to issues in the pocketbook. For example, asking co-workers to do job that have not been planned out—such as posting outdated information on social media account—will make the company spend money unnecessarily. The act of stealing resources can also be detrimental when done on a regular basis.

 

It is important to state in your Employee Handbook that the misuse of company resources will result in immediate termination. It is necessary to explicitly detail this situation to prevent any uncertainly and confusion later on.

 
 

Forging Checks in the Workplace

Employee theft is a serious problem in businesses. It costs businesses millions of dollars each year, and it can be difficult to prevent. The most common form of employee theft is forging checks. This is when an employee creates a fake check that they then use to steal money from the business. Forging checks is a very easy crime to commit, and it can be done by anyone with a computer and a printer. One way to prevent employee theft is to create strict policies governing check writing. Companies should also install security cameras in all areas of the business where checks are handled, and they should monitor the footage for signs of forgery. If these signs are detected, the company can take action accordingly.

 
 

Steal Money or Supplies from their Workplace

One of the most common things that happens to employers is that employees steal money from cash registers, safes or any other location and use it for themselves. Employees may also steal supplies, like pens, paper or computers, in order to sell them or use them at home. In restaurants they may steal food, condiments, dishware and even dishes. Even if the value is relatively low, stealing over a long period of time can be very costly for an employer.

 
 

Take Advantage of Workers’ Compensation

When employees steal inventory, cash or other company resources, such as computers or databases, this is known as asset misappropriation. The Association of Certified Fraud Examiners estimates that this is the most common type of fraud seen within small businesses.

 
 

Misusing Company Credit Accounts for Personal gain

When employees steal inventory, cash or other company resources, such as computers or databases, this is known as asset misappropriation. The Association of Certified Fraud Examiners estimates that

When employees steal inventory, cash or other company resources, such as computers or databases, this is known as asset misappropriation. The Association of Certified Fraud Examiners estimates that this is the most common type of fraud seen within small businesses.

 

How Does Employee Theft Affect Companies?

Employee theft can have a big impact on companies, as it can lead to lost revenue and increased costs. Here are four ways employee theft can hurt businesses:

 

• 1. Lost Revenue: Employee theft can lead to decreased sales or productivity, as employees who are taking unauthorized goods or services are not working productively. This can also result in lost wages for the employees who were working legitimate hours but were instead stealing from the company.
• 2. Increased Costs: Employee theft can also increase company costs by involving more security measures, lost time and resources, and legal fees. For example, if an employee is caught stealing company property such as computer files or cash, they may be charged with a crime and face jail time or other penalties.
• 3. Setbacks in Recruiting: When companies lose money due to employee theft, it can make it difficult to recruit new employees, as potential employees may be hesitant to take a job that could potentially involve criminal activity. Additionally, damaged relationships with current employees could make it difficult to find qualified replacements.
• 4. Loss of Confidence in Employees: When employees know that they can easily steal from their employer without consequences, it can damage the trust between company and employee.

 

Causes of Employee Theft

There are many possible causes behind employee theft, but some of the most common include:

 

• 1. Financial incentive to steal: Some employees may take advantage of the financial incentive that can come with stealing company property or money. Some individuals may feel that they are not being rewarded for their hard work, and may decide to take what is not theirs in order to get a pay increase or other compensation.
• 2. Poor management: If there is poor management within an organization, then it could lead to employees feeling that they have little or no recourse when it comes to voicing their concerns and grievances. In instances where there is a lack of trust and respect between management and staff, theft may be seen as a way to assert power and get ahead.
• 3. Unsatisfied employees: If employees don’t feel appreciated or like they have any real say in how their job operates, they may be more likely to turn to theft as a way to gain control over their lives. In some cases, disgruntled workers may see themselves as outsiders trying to overthrow the status quo by taking whatever they feel is necessary in order to bring about change.

 

Handling Workplace Theft

Employee theft is the act of stealing property or money from a place of employment. It can be a serious problem for businesses, as it can lead to decreased profits and damaged relationships with employees. When it comes to workplace theft, there are a few things that businesses should keep in mind.

 
 

First and foremost, it’s important to ensure that the policies and procedures in place addressing employee theft are clearly understood and implemented. This includes specifying what constitutes employee theft, setting up systems for tracking and documenting employee thefts, and punishing those who commit theft.

 

Second, businesses should make sure that their employees are aware of the importance of safeguarding their belongings. This means providing clear instructions on how to properly store belongings, as well as warning employees of potential dangers associated with leaving belongings unsecured. Finally, businesses should take measures to prevent employees from stealing in the first place by ensuring that they have effective security measures in place.

 

How to Prevent Employee Theft?

Employee theft is a major problem in the workplace and can have serious consequences for an organization. There are many ways to prevent employee theft, but the most effective approach is to have a well-designed and implemented theft prevention program.

 

One of the most important steps in preventing employee theft is to create a policy that addresses the issue. This policy should outline what types of behavior are considered theft, how it will be punished, and who will be responsible for implementing it. Additionally, employees should be aware of the policies and how they apply to them.

 

To prevent employee theft, it is important to monitor activity closely. This means tracking what employees are taking and where they are going with the items they take. This information can help identify patterns that may indicate theft is happening.

 

If you notice any suspicious activity, you should report it to your supervisor immediately. Your supervisor will be able to investigate the situation and determine if any action needs to be taken. If theft is confirmed, your supervisor will likely put a stop to the behavior and punish those involved accordingly.

 

Overall, prevention is the best approach to dealing with employee theft. By implementing a theft prevention program and tracking activity closely, you can reduce the chances of this problem occurring in the first place.

 

The Pros and Cons of the Employee Theft

 

Pros:

• Employee theft can be prevented by instituting a policy that forbids employees from taking anything that is not rightfully theirs.
• By preventing employee theft, businesses can save money on inventory, as well as on the cost of replacement goods and services.
• In addition, employee theft can lead to absenteeism, which in turn can lead to decreased productivity and morale.
• Finally, employee theft can be costly both financially and emotionally for businesses.

 

Cons:

• Employee theft can be difficult to detect and prosecute, as stolen property may often go undetected for a period of time.
• It may be difficult to discipline or terminate employees who are known or suspected to have engaged in employee theft.
• Employee theft may raise legal liability for businesses, particularly if the stolen property is used in some way illegal or harmful.
• Efforts to prevent employee theft may also lead to an authoritarian management style that is opposed by many employees.
• Employee theft may also lead to conflict and tension between management and employees, as each side tries to protect its own interests.

 

Conclusion

Employee theft is a serious issue that can have far-reaching consequences. Not only can it result in financial losses for the employer, but it can also lead to diminished morale and damage relationships between employees and managers.

 

If you’re concerned that your employees are stealing from you, there are a few things you can do to protect yourself. First, make sure you have an effective anti-theft policy in place. Second, train your employees about the importance of not taking any unauthorized items. Finally, keep records of everything that’s been stolen so that you can investigate the matter further and take action if necessary.

 

Contact Surveillance Experts Today

Employee theft can have a lasting impact on a company. In an annual survey of 27 retail businesses, 3.7 percent of employees were caught stealing merchandise and the average loss on per incident was $671.

All companies face the issue of theft, whether it is intentional or just simply negligence. Allied Multinational Security has vast experience in this field and can provide appropriate help with your questions. Call Allied Multinational Security today at 1-844-843-1160 for more information about employee theft and preventative measures you can take to protect your business from this type of crime.