Why Does Grandma Steal?

shoplifting4Japan and England have reported a marked increase in the incidents of elderly shoplifting in the last few years.  The United States hasn’t shown as big of a statistical increase.  However, experts believe the difference is due to reporting differences and the numbers will eventually show what they already know — elderly shoplifting is on the rise in the United States too.

There are 2 identified cohorts currently working their way through the aging cycle, the Greatest Generation (raised during the Depression and living through World War ll) and the Baby Boomers (born 1946-1964).  The people from both groups are dealing with some typical and some unique problems as they age. 

Medical

In the past it was common for people to develop mental and physical complications during the aging process.  It’s still common, but there’s a new twist.  People are living longer and are much sicker than they’ve ever been.  For many, an extended life doesn’t lead to quality of life, it only creates hardship. 

Another problem is that aged people are vastly over medicated, which often induces cognitive impairment and creates new physical difficulties.  Researchers at Harvard and the University of Toronto have studied the “prescribing cascade” and found that about 1 in 5 prescriptions written for the elderly were inappropriate. 

Financial

People have always had to worry about how they were going to financially support their old age.  But, for the first time ever, millions of people are struggling with the problem of outliving their money, possibly for years.  Many have been or will be living inadequately on Social Security for a long time. 

The Great Recession decimated many retirement accounts, hitting the boomers especially hard.  A lot of the Greatest Generation didn’t know they needed a retirement strategy, because they didn’t expect to live this long.  Scores of people, in both groups, don’t have enough to live on and not enough time, ability, energy or opportunity to fill the gap. 

Social

Our fast paced, gadget focused, isolated, socially dysfunctional culture is a cliché.  But, it’s also a real concern (especially for people who are used to a different, less lonesome time) because social interaction is one of the cornerstones of mental and physical health.   

The aged are increasingly separated from their families as people have become more mobile over the years.  Also, the longer they live the more isolated they become as friends, family peers and spouses start to die. 

These challenges explain why there’s an increase of elderly shoplifting — depression, isolation, stress due to lack of resources (financial, medical, social), need for the product, loneliness, hostility, boredom, impairment of judgment and impulse control, lack of structure, low self-esteem caused by no meaningful work or interests, anger and feeling under appreciated.  All possible characteristics of the average shoplifter, but for the elderly it’s the perfect storm.


Nicole Abbott is a writer and psycho-therapist with over 20 years of experience in the fields of mental health and addiction.  She’s an educator, consultant, lecturer, trainer and facilitator, who’s conducted over 200 workshops, trainings, presentations, college classes and seminars. 

What To Do To Reduce Shrinkage In Your Store

shoplifting1There are many articles out there with tips about how to spot a shoplifter, and while their advice is well intended, it obviously does not translate well.  The retail industry loses billions of dollars every year, and it seems to be getting worse not better.  Knowing your store, educating your management team, employees, and investing in systems to prevent shoplifting can help you minimize your loses, but will definitely not end it.   Profiling a shoplifter is not only bad for business, but can definitely get you in trouble.  Educate your employees and make sure they know what to do if an incident occurs in your store.

Read more for more information about this topic.


New Study Finds Loss Prevention Priorities Fall Short For Large Retailers

Disconnect between IT and LP revealed in budgets of retailers.

New research from the IHL Group examines industry perspectives on loss prevention technologies in retail and the very different ways business groups including IT, LP and the C-Suite, valuate and allocate investment, staffing, and more in those technologies, based on their individual roles and priorities. The study, “The Great Disconnect Between LP and IT,” finds that there is a huge disconnect between IT and loss prevention.

A separate 2015 Retail Theft Survey found that dishonest employees steal more than six times the amount stolen by shoplifters ($825.36 vs $133.80), and yet the findings in the IHL research suggest that the gravity of those numbers don’t line up with the importance executives are placing on the problem.

The study found that retailers with greater than $1B in revenue spend only 8.3 percent of their IT budget on LP priorities (not including PCI and data breach protection efforts); and while 100 percent of LP professionals say cashier monitoring is a priority use of CCTV, IT and other business units de-prioritize it at 56 and 57 percent, respectively.


Retailers Lost $44.02 Billion In Shrink In 2014

The 24th annual National Retail Secury Survey (NRSS) administered by the National Retail Federation (NRF) shows retail and security providers exactly how much shrink affected retailers in 2014. The national study looks at a variety of topics including employee integrity, inventory shrink and other concerns. The study is the result of a partnership between the University of Florida, with the report sponsored by The Retail Equation. NRF shared excerpts from the report in a press release. The study, with responses from 100 senior loss prevention executives, was conducted in March and April. The findings should illuminate topics of concern for retailers, and examine what issues they need to consider for preventing high levels of shrink.

“Retail loss prevention professionals have one of the hardest jobs in the industry – protecting their customers, employees and merchandise from the threat of harm and fraud, and the results of this survey prove the enormity of their task,” says NRF President and CEO Matthew Shay. “Retailers will continue to review best practices and work to better educate decision makers in Washington about the burdens these crimes place on consumers, retail companies, their employees and the economy.”


Reducing Retail Shrinkage: How to Beef Up Security and Prevent Loss in Your Store

Shrinkage (aka: Public Enemy #1 for most retailers), can eat up a significant amount of your profits. According to the National Retail Federation, retail shrinkage amounted to $34.5 billion in 2011, and a big chunk of that was due to theft or fraud.

That’s why it’s critical to constantly stay on top of protecting your store. Keep your systems up-to-date, be vigilant about spotting fishy behavior, and see to it that your staff is adequately trained to deal with security issues.

To help you do all that, below are some of the most common causes of retail shrinkage along with security tips to help you prevent them.


Information You Need to Know About Pre-employment Screening

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Many employers required drug testing for their employees before they are hired, but the pre-employment screening does not necessarily stop there.  Background checks for possible hires are sometimes a necessity, specially if you are in the retail industry where the smallest profit margin can make a big difference.  What do you need to know before hiring a new employee? Are there any issues that are unlawful for you to pry into?

Follow the links for more information about this topic


Are you an employer who’s hiring? The importance of pre-employment background checks

if you’re an employer who’s hiring, you can’t afford the risks associated with not doing Pre-Employment Background Checks, advises Bay Area Investigations & Protection Services in Burlington, Ontario.

The need for employers to conduct pre-employment background checks for job applicants is now more important than ever before. Background checks can be critical to the safety and welfare of your business, your employees, and even third-parties such as suppliers. Anyone who is unfit to join your firm can jeopardize any part of your company, including its reputation, financial status, or the safety of others.

Background checks provide a company with the means to discover any false information or discrepancies that might not have appeared in a job application or through the company’s employment screening process. Keep in mind: your company could be held liable for property damage, theft, or any harm that comes to another due to one of your hires!


How could pre-employment test be discriminatory?

Q. I am looking to hire new employees. Some applicants who did not qualify for the open positions are now threatening to sue, claiming that my pre-employment tests are discriminatory. What should I know about pre-employment tests?

A. Title VII of the Civil Rights Act of 1964 prohibits discrimination in all terms and conditions of employment on the basis of race, color, religion, gender or national origin. Title VII allows for the use of professionally developed screening procedures and tests, as long as they are not intended or used to discriminate.

However, an employer may use a test that has an adverse impact on protected groups if it can show that the test is job-related and consistent with the employer’s business needs. To prove that a test is job-related, it must require test-takers to demonstrate the knowledge, skill or ability to successfully perform the duties of the job, or it must be tied to the tasks required of the position.


‘It’s legal, but …’ Most municipal employees can use marijuana as long as it doesn’t affect work

“It’s legal, but…”

That was the subject line for an email from the city of Tigard about recreational marijuana use by employees.

“The rules that apply to the work place have not changed,” wrote Dana Bennett, human resources director with the city. “As you already know, it is against policy to be at work under the influence of any controlled substance, whether alcohol, prescription medication or marijuana.”

Employees at metro-area municipalities received similar reminders this past week. Most appear to be on the same footing with their drug use policies: Employees can smoke on their own time, but they can’t come to work stoned.

“It’s no different than coming to work intoxicated from alcohol,” said Cornelius City Manager Rob Drake.


Credit Card Fraud and the Rollout of EMV

shopliftingSome major changes are taking shape this year to help combat the ever rising prevalence of identity theft and credit card fraud. With it comes some confusion for the small business owner. Credit card fraud (duplicated cards, cloned credit cards, data breaches…etc) losses mount in the hundreds of millions of dollars every year. The numbers are doubling every couple of years. Chances are, you’ve been the victim, you’ve known someone who’s been a victim, or someone (or a group of someones) have used fraudulent credit cards in your store before. The new EMV (Europay, MasterCard and Visa) aims to derail these operations by installing a tiny computer chip on your credit card, instead of using a magnetic strip (which can be very easily duplicated). The “deadline” issued by the major credit card companies is October 15, 2015. That doesn’t mean everyone will be onboard though. You can bet that those large retailers will have the new software and POS systems in place, but where does that leave small businesses? What can you expect from this? And the big question is, how much is it going to cost you?

Basically, the United States is behind most other countries in the developed world with regards to credit card security. It’s time for us to play catch-up, but it could lead to some pretty substantive business expenses. Currently, cards issued in the US have a magnetic strip on the back of the card, which is swiped at the point of sale. That magnetic strip contains unchanging data. If a fraudster (think massive data breaches over the last few years), gets the information contained in the strip, credit cards can be duplicated, replicated and counterfeited, and thus the booming fraudulent credit card industry is born. It’s such a problem that law enforcement is overwhelmed. It’s impossible for them to investigate every time a card is used; they simply do not have the resources. Federal agencies focus on the counterfeiters themselves, but more often than not they are made overseas, far out of the reach of US prosecution. Enter EMV.

New cards, which have already begun hitting consumer pockets, will have a tiny computer chip embedded in the card. At first, they will also contain a magnetic strip (a backup until all businesses are 100% compliant). Unlike the strip, the computer chip will be inserted into the businesses POS via a card reader and a unique transaction code generated for each transaction, making cloned or counterfeit cards virtually impossible. It means a more secured card and less risk on the back of the issuer. In addition, the liability of loss will eventually shift from the issuer to the less EMV compliant party (the business). Basically, if a fraudster uses a fraudulent credit card in your store, you very well could be liable for those charges if you don’t have the proper technology installed.

This radical shift has both positive and negative impacts. First of all, it will reduce brick and mortar credit card fraud. On the opposite side, it will more than likely push the fraud to an e-com platform. Europe has seen this happen over the last few years. This will no doubt happen here as well. Criminals will always find a way. Second, small business owners like yourself will have to incur the cost of updating your payment processing systems. In some cases, it may be a few hundred dollars, but the costs can spiral into the thousands depending on your particular business and how your POS is currently set up. While I think this was a great step in the right direction to minimize fraud, I think the small business community will face some initial costs associate with the transition, as well as a tad bit of frustration.


Is Your Store Doing Racial Profiling and Is That Lawful?

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According to the Civilrights.org website “The U.S. Supreme Court has held that racial profiling violates the constitutional requirement that all persons be accorded equal protection of the law.19  Recently, many lawsuits  that have captured the attention of the public involves lawsuits where not only the accused shoplifters , but employees of these retail stores have cited racial profiling against these giants.  Follow more news about this topic by following the links below.


Fashion Chain Zara Profiles Black Shoppers As Potential Thieves, Workers Allege In Report

In early June, Spanish fast fashion chain Zara hit headlines when the longtime in-house lawyer for their American stores sued for $40 million in damages, alleging anti-Semitic, anti-gay discrimination.

Zara called their former counsel’s allegations “shocking,” adding that the company intends to “respond strongly and vigorously” in court.

A report released on Monday suggests the clothier may have deeper troubles, starting with a corporate culture steeped in racism.

Labor advocacy group Center for Popular Democracy surveyed Zara retail employees at six of the chain’s seven New York City stores this past spring following a handful of scandals involving insensitive designs by the fashion company, like a child’s shirt that resembled a Holocaust uniform.


CVS was hit with a federal lawsuit on Wednesday after four former store detectives at the drug chain charged their supervisors told them to profile minorities for anti-shoplifting enforcement.

The store detectives, who are also minorities, argued in their lawsuit that they endured racially insulting language and had clear instructions from their bosses to keep an eye on blacks and Hispanics because they were the ones most likely to steal, according to Newsday.

The detectives charged that when they pushed back against the profiling orders they were all fired, they claimed in their suit.

“CVS intentionally targets and racially profiles its Black and Hispanic shoppers based on the highly offensive, discriminatory and ill-founded institutional belief that these minority customers are criminals and thieves,” lawyers for former store detectives stated in their suit.

 


Natick judge to Macy’s: Stop collecting shoplifting fines

A Natick District Court judge told a lawyer from Macy’s he planned to issue an injunction banning the store from collecting fines from shoplifting suspects, but said he expects Macy’s to ignore the court order.

Judge Douglas Stoddart said Macy’s policy to collect a $500 fine from alleged shoplifters is “ethically wrong.”

“We’re heading into uncharted waters, legally, and I think it needs to be heard by a higher court,” Stoddart told the store’s lawyer, Daniel Field.

In March, Stoddart held a hearing to discuss Macy’s policy. Currently, if suspected shoplifters are caught they are brought into a security office, and told they can pay a $500 fine instead of being sued civilly for the money. However, payment of the $500 does not preclude their arrest. Several people have told Stoddart over the years they were told if they paid the money they wouldn’t be arrested, but still were.


Shoplifting Statistics And Apprehensions 2014

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The losses big retailers like Wal-Mart faces every year are astronomical.  The losses though are not absorbed by these big retailers, the losses are then passed to the consumer like you and me by paying higher prices in their store.  Shoplifting is a crime that affects everyone.  Some big businesses like Wal-Mart can deal with their losses.  Shoplifting  for small businesses can mean closing their doors for good.  Is your store dealing with shoplifting or employee theft?  Is it working?  Read more about this topic by following the links below.


27th Annual Retail Theft Survey Reports over 1.2 Million Shoplifters and Dishonest Employees Are Apprehended by Just 25 Large U.S. Retailers in 2014

Wesley Chapel, Fla. — More than1.2 million shoplifters and dishonest employees were apprehended in 2014 by just 25 large retailers who recovered over $225 million from these thieves, according to the 27th Annual Retail Theft Survey conducted by loss prevention and inventory shrinkage control consulting firm Jack L. Hayes International. The participants were made up 25 large retail companies with 23,250 stores and over $700 billion in retail sales (2014).

“In 2014, the number of apprehensions and recovery dollars were up again for both shoplifters and dishonest employees. Shoplifting apprehensions rose 7.4%, while dishonest employee apprehensions rose 1.7%. The dollars recovered from apprehended shoplifters and dishonest employees also rose, 7.5% and 18.1% respectively,” said Mark R. Doyle, president of Jack L. Hayes International.

The increases, follow similar increases reported the previous three years.

Highlights from annual theft survey include:

• Apprehensions: 1,272,560 shoplifters and dishonest employees were apprehended in 2014, up 7.1% from 2013.

• Recovery dollars: Over $225 million was recovered from apprehended shoplifters and dishonest employees in 2014, up 10.4% from 2013.

• 1,192,194 shoplifters were apprehended in 2014, up 7.4% from 2013.


Here’s How Much Walmart Loses Every Year to Theft

Walmart is fighting back against “unknown shrinkage”

When you’re a company as big as Walmart, everything about you is huge, even your losses from shoplifting.

The retailing giant says that it loses about $3 billion every year from theft, or 1% of its $300 billion in revenue, Reuters reports.

Leading the effort to fight back against this so-called “shrinkage” is Greg Foran, head U.S. operations, who told reporters Thursday that cutting down on these loses was a key priority for the firm in coming months.

“One percent of $300 billion is quite a lot of money. If you can save 10 basis points of it – boy I’ll take it every day of the week and put it into lower prices for customers,” Foran said to Reuters.


6 Ways Small Businesses Can Effectively (and Cheaply) Prevent Shoplifting

Shoplifting remains a constant issue for American small businesses, leading to losses of over $10 billion each year. According to the Loss Prevention Research Council, 1 out of 11 customers is a habitual shoplifter (repeat offender!). Small businesses have slim profit margins, which means that “shrinkage” (reduced inventory to shoplifting and thefts) can really put immense pressure on their ability to stay afloat. Some of the fastest growing and most successful brands out there have recently employed innovative tactics to discourage shoplifting, largely harnessing the power of consumer psychology. Check out 6 of their most successful tactics, that any small business can easily, and cheaply, start using to discourage and prevent shoplifting!

1. Strategic Checkouts
Place your checkout registers near the front door to dramatically reduce the likelihood of a shoplifter. Most shoplifters prefer to enter the store and then make a quick exit, without passing by an employees. Having customers come in near your employees will also provide your staff with the opportunity to greet new customers, a big plus for customer service and yet another major deterrent of shoplifting. One of the most successful new techniques was introduced by Apple stores — make your registers mobile, on tablets or “phablets.” Have your employees roaming the store, and check-out people right where they encounter them. This tactic has already been adopted by many nationwide retailers as a quick and easy way to dramatically reduce their shrinkage.


Shoplifting and Employee Theft Report

Shoplifting is a crime.  Policymakers, local law enforcement, private retail security, and consumers know that.  Stores acrshoplifting2oss the nation display signs warning the would be shoplifters of the intent to prosecute them if they shoplift. Shoplifting and employee theft cost retailers billions of dollars every year, but the problem persists, and in some communities shoplifting incidents have increased.  So, what can you as a retailer or small business owner do about it?  Is more security the answer? Are more security systems in place the answer? A better trained management team in your store the solution?  Retailers and local law enforcements have team up in states to combat this crime, but  shoplifting and employee theft are problems that retailers will be facing for many more years.


27th Annual Retail Theft Survey Reports Over 1.2 Million Shoplifters and Dishonest Employees are Apprehended by Just 25 Large U.S. retailers in 2014

Wesley Chapel, FL – Over 1.2 million shoplifters and dishonest employees were apprehended in 2014 by just 25 large retailers who recovered over $225 million from these thieves, according to the 27th Annual Retail Theft Survey conducted by Jack L. Hayes International, the leading loss prevention and inventory shrinkage control consulting firm.

“Something has to change, as we continue to report increases in apprehensions and recovery dollars year after year. In 2014, the number of apprehensions and recovery dollars were up again for both shoplifters and dishonest employees. Shoplifting apprehensions rose 7.4%, while dishonest employee apprehensions rose 1.7%. The dollars recovered from apprehended shoplifters and dishonest employees also rose, 7.5% and 18.1% respectively”, said Mark R. Doyle, President of Jack L. Hayes International. “These increases, follow similar increases reported the previous three years!” Mr. Doyle added, “I believe the solution starts with education. Educating the public as to the severity of the theft problem and how it negatively effects them on a daily basis. Educating our elected officials as to the negative impact theft plays on our communities and economy. Also, we need to do a better job educating our school aged children to the consequences of theft and the seriousness of the problem.”


6 Top Items Stolen From Stores

At this point in time, we can all pretty much agree that stealing is wrong. We’ve all witnessed the random teenager swiping a candy bar from the local corner store, or perhaps even been a victim of theft on a grander scale. Theft is all around us even though the act has been vilified throughout history in the Code of Hammurabi, the Ten Commandments, and today, in modern laws.

But desperate times call for desperate measures, and in a turbulent economy, marred by long-term unemployment, drastic upticks in the cost of living, and levels of inequality not before seen in modern America, it’s only expected that some people will resort to theft to get what they want. As unfortunate as it is, people stealing out of desperation, or straight malice or selfishness, costs business owners billions annually. According to one study conducted by Centre College professor David Andersen in 1999, the total aggregate of theft costs the economy more than $1.7 trillion every year. That number has likely gone way up over the past 15 years, giventhe rise of cyber crime.


Local retailers join to combat shoplifting

A recent shoplifting case at Walmart in Sahuarita pointed to possible connections to organized criminal activity that local authorities are now taking steps to combat.

The case involves a man and woman from Sonora, Mexico, suspected of stealing cartfuls of merchandise including boxes of diapers. The woman said they planned to sell them south of the border, according to a Sahuarita police report.

Cases like this are known as organized retail crime, or ORC, and nationwide it’s a $30 billion problem, said Pat Marshall of Walgreens. She was among five representatives from three retailers in Sahuarita and Green Valley attending a meeting Wednesday with Sahuarita police and a Pima County Sheriff’s detective.

They’re part of a new arm of the Arizona Organized Retail Crime Alliance (AzORCA).

Items most stolen
According to the National Retail Federation, these are the items most often stolen: Cigarettes, energy drinks,, high-end liquor, infant formula, allergy medicine, diabetic test strips, pain relievers, weight loss pills, high-end vacuums and other appliances, children’s electronic toys, laundry detergent, jeans, designer clothing and handbags, GPS devices, laptops/tablets, cameras/recorders, cell phones, teeth whitening strips, pregnancy tests and razors.

Surveillance And Shoplifting

shoplifting4Many retailers already spend millions of dollars to defend themselves against cyber attacks, and millions more to defend themselves against shoplifting and employee theft.  Security cameras are one of the many methods they use to prevent shoplifting, and in big retail stores a security guard is usually walking through the store, but relying in one method of security though is foolhardy, and eventually may prove to be more costly for the profits of your store.


Tips for enhancing the security of your surveillance systems

Nothing beats a security camera when it comes to keeping an eye on your home or your business. The newest surveillance technology can offer a greater range of vision and nearly endless recording durations, guaranteeing protection. Learning about security camera best practices can dissuade intruders from trespassing on your property or hacking your systems. Before buying a set of surveillance cameras, however, take a second to review the steps necessary for truly secure monitoring.

Password unprotected

Isn’t the whole point of a top-of-the-line security system that it’s for your eyes only? No one besides you, your family or a select group of coworkers should have access. Unfortunately, accidentally granting permission for anyone to peek through your cameras can be as easy as checking the Internet.


Is Petty Shoplifting Worth Hiring a Private Security Guard?

It’s obvious why a large store, full of hot-ticket items, needs round-the-clock, top-notch private security. But what about the local, corner store, whose average item’s price is $3.00, and its highest-priced item is $25? Wouldn’t the money spent on a private security guard offset any petty shoplifting?

This question is certainly worth asking, because after all, you would hire a private security guard because it would ultimately protect your assets, not increase your expenses without cost-benefit. Let’s look at the issues at hand, because hiring a private security guard isn’t just about keeping away petty thieves.  What else is it about?

1) Calculating accurately. Most retail stores calculate between 10-20% of their budget for shoplifting. That means up to 1/5 of the budget is dedicated toward theft alone!  Make sure that the cost of a private security guard is weighed against the shoplifting budget .  Even when strictly looking at the bottom line, your calculations could show that a private security guard reduces the need for the so-called “theft budget”.


Alleged shoplifter opens store with security cameras to stop shoplifters

WATCH ABOVE: Police bust an alleged shoplifting ring preying on high end retailers in the GTA. Catherine McDonald reports. 

TORONTO – York Regional Police have announced Tuesday the seizure of $1 million worth of stolen clothing after dismantling a Greater Toronto Area shoplifting ring.

Police say the investigation began in October 28, 2014 following a clothing store theft at Markville Mall in Markham.

Security video obtained at the scene helped police identify several suspects linked to similar crimes in the area.


Organized Employee Theft

theft (12)I seriously try not to be surprised anymore. During any given day, there is no telling what will come across my desk. As an investigator for my company’s Asset Protection department, there are no two days the same. I have two main focuses. One being organized retail theft and the other is employee theft. Ten years in and I haven’t figured out which one I love more. The external cases keep me on my toes, but the employees really do come up with some very clever ways to steal from me. Sometimes the two worlds collide for a case that is truly amazing.

Take one of my stores for example. It was time for their inventory and two days later we get the final numbers. The appliance department shows that it’s in the negative almost $200K. This is impossible. Every piece of equipment delivered to the store gets checked in, so there’s no chance of shipping errors. It’s pretty hard for a customer to stuff a dryer down their pants, so external theft is out. The only other option out there is employee theft. Again though, you would think it would be obvious if an employee was stealing a large bulk item. Unless of course, half the store is in on the theft.

It didn’t take much research after that inventory to find out what was happening. The basic fraud scheme was this. A customer. A legitimate customer would come into the store looking to purchase a new home appliance. After speaking with one of the sales consultants (dishonest employee), the customer would be duped into thinking there is a special clearance item that meets their needs that just happens to be heavily reduced in price. The sales person would then tell the customer that the system was down and that his register was only accepting cash, and that the store was also short on change, so it had to be the exact dollar amount. In all, several steps, but all believable to an honest customer who just thinks they are getting a deal.

Once the sales person would collect the cash (normally about ½ the retail value of the item), they would call an accomplice in the warehouse. A phony pick label would be generated in order for it to be pulled from the warehouse. An AP associate is required to sign off whenever bulk merchandise is loaded, however the majority of this store’s AP staff was unfortunately, in on the scheme. At the end of the night, the cash would be split. For a busy store such as this one, the associates were splitting thousands of dollars a week. This organized employee theft scheme went on, unchecked, for nearly a year.

During our investigation, we found the ring leader of the bunch, who happened to be an AP supervisor for the location. He stated that it happened once for a friend and he saw just how easy it was to make some extra cash on the side. Before he knew it, things had snowballed into a very elaborate, sophisticated and organized scheme. Never before had I prosecuted an employee theft case so large and organized. So organized that the District Attorney charged all involved with Organized Retail Theft, a statute that I had never seen used with employee theft. In total, these 10 or so employees had cost the store nearly $200K in losses. Each one of the employees were found guilty of their charge and due to the dollar values, some of them actually did a few weeks in a state prison.


Take a Bite out of Shoplifting – Literally

shoplifting5Shoplifters are great. Well, not great for business, but great for laughs sometimes. Most of the times, shoplifting incidents are pretty serious business. You’re confronting someone who has just committed a crime. You don’t know their state of mind and you definitely don’t know what they are capable of. I’ve personally been pepper sprayed by a shoplifter as they tried to escape, along with seeing countless managers suffer the same fate. Often suspects immediately want to become physical and more simply will flee the store. Every now and then karma and a little luck is on your side.

I was training a new LP agent last summer in a very active market. It was day four of our training and she had already thrown a half dozen folks in jail. So far, no problems, this particular agent was an attractive young female who didn’t take lip from ANYONE! It was amazing how many shoplifters hit on her… but we’ll save those stories for another time. The clock was ticking away and it was just about time to call it a night when one of our frequent flyers entered the store. I had busted this guy on no less than three previous thefts and he was definitely a runner. I had my new agent begin observation while I contacted the police. At the very least, I was going to charge him with trespassing. 

About 15 minutes goes by and like always, the shoplifter starts loading his pants up with electronics. About this time, the police were arriving, so I went outside to inform them of the situation and wait for the thief and my agent to exit the store. Well, she didn’t disappoint. Our thief exits, but completely ignores the agent and takes off running. The next thing I know he’s gone. He’s hiding around the vehicles in the parking lot, but we can’t seem to find him. The officer gets on his loudspeaker and announces that he’s going to let the K-9 unit loose if he doesn’t turn himself in. No answer. 

Standing a full 3.5 feet tall and weighing in at about 120 pounds, K-9 Officer Scout is ready for action. This is a game for the pooch and I can tell he’s ready to play. Within seconds of jumping out of the patrol car, he and his handler are on the scent. Like a scene from a movie, out of nowhere, the shoplifter emerges. Only… he doesn’t surrender. In true idiot fashion, he starts sprinting across the parking lot. I don’t care how fast you think you are; you will never outrun a German shepherd whose sole purpose in life is to take you down. And take him down he did. When the handler finally reached the scene the shoplifter had a knife he was trying to stab the K-9 officer with. Not only did this shoplifter go to jail with some pretty serious bite wounds, he also got to feel what 100,000 volts of electricity from a Taser felt like.