FBIS Shares What Employee Theft in the Workplace Looks Like And How To Address It
Employee theft is a widespread problem that impacts businesses of all sizes across the United States. As a business owner, it’s essential to understand the costs associated with employee theft and how to identify red flags that may be happening in your organization. At Forensic Brothers Investigative Services, we know the costs of employee theft in the workplace and want to share some red flags to watch out for.
The Costs of Employee Theft for Businesses
Employee theft can have significant financial consequences for a business, including direct and indirect costs. Direct costs include stolen merchandise, cash, or supplies, while indirect costs include legal fees, damage to the business’s reputation, decreased employee morale, and lost sales.
A survey conducted by the National Retail Federation found that employee theft accounted for 35.7% of retail inventory shrinkage, resulting in a $50.6 billion loss in the United States. Additionally, the Association of Certified Fraud Examiners reported that the median loss per case of employee theft was $65,000, highlighting the significant financial impact of employee theft on businesses.
Unfortunately, more than 80% of employee theft cases are committed by first-time offenders who have never been caught. That’s why it’s essential to keep an eye on your business and employees, and if you suspect theft, seek assistance to investigate.
Red Flags of Employee Theft
Employee theft often starts with small actions that may not be noticeable. However, if you are experiencing multiple red flags, it’s likely that you have an issue.
Some of these “Red Flags” include:
- Inventory discrepancies
- Excessive voids or refunds
- Inconsistent sales records
- Cash handling discrepancies
- Discrepancies in financial statements
- Unexplained missing items or supplies
- Employee behavior changes
- Without good reason, sudden financial hardships experienced by employees
- Decreased employee morale.
If any of these red flags are present in your business, it’s essential to take action quickly to address the issue and prevent further losses.
At Forensic Brothers Investigative Services, We Know How To Uncover Employee Theft In The Workplace
Employee theft can have significant financial consequences for businesses of all sizes. Red flags such as inventory discrepancies, excessive voids or refunds, and inconsistent sales records can indicate that employee theft may be taking place.
It’s easy to ignore or hope it will go away on its own, but that’s not a viable strategy. As a business owner, it’s vital to stay vigilant and seek expert investigation services when necessary.
If you suspect employee theft in your business, it’s essential to seek out the help of professionals to investigate the matter thoroughly. Forensic Brothers Investigative Services is a team of licensed private investigators with accounting and law enforcement backgrounds.
We offer expert, professional, and compassionate services to help you navigate these difficult situations. Our team has the expertise and experience to conduct a detailed financial investigation and gather evidence that can lead to a conviction and reparations.
We’ll schedule a consultation to discuss your concerns and determine the best approach to address the issue. Our agents are experienced in handling sensitive investigations with care and discretion, and we’re committed to delivering quality results.