Employee Theft Essay

1992 Words 8 Pages
Employee Theft (Research Paper)
Antonio Childress
Baker College
MGT 212: Section 02570
C. Delbridge
November 27, 2012

EMPLOYEE THEFT Employee theft is a problem of considerable size for many companies. Many corporate security experts estimate that 25 to 40 percent of all employees steal from their employers, and the U.S. Department of Commerce (DOC) estimates that employee theft of cash, property, and merchandise may cost American businesses as much as $50 billion on an annual basis. It is also not uncommon in today's workplaces. And it is often the employee you least suspect that is the culprit Small business owners are not immune to this scourge; indeed, many analysts believe that internal theft of
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• The employee feels that the business or company has wronged or mistreated them in some way. • The employee feels that they are underpaid [and under-appreciated] for the "hard" work they do. • The consequences for theft are minimal. The company has no punitive procedures or policies regarding employee theft. If there are no set consequences to employee theft then employees will continue to steal, because they think that they won’t be punished. • Lack of control over inventory. It is easy to steal because the employer does not have preventive measures to stop them. Preventive measures are crucial to reducing the risk of employee theft. If preventive measures are not existent then the opportunity to steal is very high.
Some key ways to prevent employee theft: • The first step to preventing employee theft is to screen job applicants thoroughly before hiring them in the first place. Background checks should be performed and should include a check on criminal history, civil history, driver license violations, as well as verification of education, past employment (including reasons for leaving), and references. • Studies show that the more employees believe they will be caught, the less likely they are to steal. Be clear with employees that your company has zero tolerance for employee theft of any sort. This includes not only outright stealing, but also things such as taking a long lunch break without approval, using sick leave when not sick,

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