Is New Technology The Answer to Stop Shoplifting?

During this holiday season, shoplifting and organized retail crime are some of the major problems retail owners and managers face.  The incidents occurring every single day according to some experts are near the 500 mark every single minute in the United States. Holiday shoppers, inventory etc, are issues the retail industry know how to deal with during this time of year, but the increase of shoplifting is a problem they have to face every single day without a solution.

For more about this and other topics, follow the links below.


Is holiday retail still king? 4 ways to get smarter about holiday marketing

As more consumers shop outside the traditional holiday shopping period, how should marketers react? Columnist Kyle Henderick outlines four ways to help your brand stay ahead of the competition.

Get ready — the holiday season is upon us, and the retail landscape is changing yet again.

While the traditional holiday season has always been a cash cow for retailers, recent data shows that many consumers no longer limit their holiday shopping activities to the period from Black Fridayto Christmas Eve. With accessibility and shipping barriers lowered, consumers are evolving their spending habits to buy early. This gives retailers both a challenge and an opportunity this year.

Do changing consumer behaviors mean that you should reduce your investment in traditional holiday retail marketing activities? Or, in the new holiday retail environment, can you position your retail brand to benefit from the evolving behaviors of today’s consumers?

Holiday retail shopping behaviors vary by generation.


The New Tech Helping Business Owners Stop Shoplifters

Amazon is known as the biggest retailer online, but most people don’t know that Amazon has taken two big steps into physical retail. The better known is Amazon’s recent purchase of Whole Foods, but last December the tech giant quietly opened a small grocery and convenience store, Amazon Go, that works differently than any other.

At Amazon Go, shoppers are tracked with a series of cameras and sensors the entire time they shop. You can just walk out the door without paying a cashier, they say it feels like shoplifting, and the items are automatically charged to your credit card. While this looks like a science fiction movie, the technology is in place today helping retail store managers thwart shoplifters.

500 Shoplifting Thefts Per Minute

Shoplifting may not seem like a big deal to regular customers who pay for the goods they take home, but it is a huge problem across the United States. In fact, there are about 500 shoplifting incidents per minute, performed by a combination of professional thieves and amateurs trying to sneak away with a freebie.


Dane County leaders encourage holiday shoppers to buy local

DANE COUNTY (WKOW) — There is a push by Dane County leaders to support local businesses this holiday season.

November marks the launch of Shift Your Shopping. The program encourages consumers to buy from local businesses ahead of the holidays. On Friday, Dane County Executive Joe Parisi and other county leaders gathered to highlight how important it is to do so.

Studies show Americans spend a large portion of their annual retail shopping budget between November 1 and December 31. According to the National Retail Federation, retail sales in November and December generally increase 3.6% to roughly $650 billion.

When that money is shifted to locally owned, independent businesses, they generate more economic benefit in local communities than money spent at national chain outlets.

“Small business Saturday is more than just retail,” said Dane Buy Local Executive Director Colin Murray. “It also includes restaurants, grocery stores, hotels, flower shops, the list goes on and on. They’re all individual businesses that rely on the local economy to be successful.”


 

Shoplifting and Preventable Measures

As a manager of a retail shop, the layout of the store is probably out of your hands and there is nothing to do about it.  You have no control if the changing rooms are way in the back of the store where the opportunity to shoplift presents itself with regularity.

There are several tactics to prevent shoplifting in your store, and even though the layout of the store is out of your hands, other preventive measures can be taken to prevent and deter shoplifting.

According to experts, these preventive measures can help you manage your store better:

  1. Customer Service
  2. Lighting
  3. CCTV cameras
  4. Staff training
  5. Signage
  6. EAS and Security systems

Each and every one of these preventive measures cannot solve the problem of shoplifting.  But when a manager or owner of a store is vigilant and knows they need to use a combination of these measures to prevent shoplifting, then the results can be seen clearly.

Target has announced that as of October, they have increased the minimum hourly wage to $11.  With this increase, they hope there will be a decrease in turnover and sick days and an increase in productivity from their hourly employees.

Whether they believe employee theft will decrease with this increase in minimum wage is still unclear. And research has not found to be the case.

For more about this and other stories about employee theft and shoplifting, follow the links below.


Target’s Minimum Wage Increased. What Does That Mean for Theft?

To reduce loss from theft, retailers need employees to be more honest. Could Target’s minimum wage bump help?

Employee theft is a source of loss simply too costly to ignore, which is why loss prevention practitioners are always on the lookout for novel ways to prevent it. But what if the best theft-prevention tool wasn’t a security measure at all? What if you just paid your store associates a little more money? Would that make a difference? To what extent can wages act as a loss prevention tool?

On Sept. 25, Target announced its plan to boost staff pay. “This October, we’re raising our minimum hourly wage to $11—and we plan to increase the minimum hourly wage for all team members over the next few years to reach $15 by the end of 2020,” the company said in an announcement. According to the consensus of research, Target may experience a range of benefits for its investment, including an increase in worker productivity and decline in turnover and sick days.


Hampshire businesses targeted 35 times a day by shoplifters study shows

NEW research has found that across Hampshire more than 35 incidents of shoplifting take place every day.

A study by OnBuy.com revealed that Hampshire Constabulary reported 12,578 shoplifting offences throughout 2016/2017.

The figures showed that the force had the eighth highest rate for the crime in England and Wales.

Of the 43 police forces within that area, Metropolitan Police Service had the highest rate with 47,580 crimes reported, where as the City of London Police were bottom with just 729 incidents.


Shoplifting Prevention

Kleptomania is a mental disorder.  Not as serious as a more severe case of schizophrenia for example, but a mental disorder nonetheless.  The inability of people suffering from this disorder to stop themselves from grabbing merchandise and stealing it is a problem mental health professionals try to understand and help these sufferers find a way to overcome.

The problems caused due to shoplifting are many. Police departments across the nation spend countless hours answering calls to retail shops where shoplifting incidents occur daily.  Society as a whole loses the taxable merchandise lost to shoplifting, and the owners of some of these retail shops see their business crumble due to the heavy shoplifting they experience. But, we must remember that in some cases, these people need help, not jail.

Read more about this and other stories.


Some retailers are bracing for the ‘Silver Tsunami’ by embracing senior shoppers

With the emerging “Silver Tsunami,” a metaphor for our aging population, retailers are preparing for the tidal wave of some 78 million Baby Boomers turning 65 and over in the next 10 to 20 years

With their growing numbers and vast purchasing power, senior shoppers present both an opportunity and challenge for retailers. For some of the biggest names in the industry, including Kohl’s, Best Buy and Boscov’s, the 60-and–over crowd represents an important customer base already, and they are doing even more to accommodate it.

“This demographic should be important to retailers as there is a gap between the scale of the senior consumer population’s purchasing power and the current offerings in the retail sector that are more geared toward younger shoppers,” said Deborah L. Weinswig, managing director at Fung Global Retail and Technology in New York.


Kleptomania: Understanding the mental disorder

Many people with kleptomania live lives of secret shame because they’re afraid to seek mental health treatment. 

Approximately 6 in 1000 people suffer from this mental disorder, translating to approximately 1.2 million people in the United States.

Understanding kleptomania and the constant desire to partake in the activities associated with the disorder will help an individual to seek an appropriate amount of treatment to help eliminate the behavior.

The majority of individuals who suffer from kleptomania begin exhibiting symptoms during their late adolescence and early adult years.

The most unfortunate aspect of kleptomania is that it prevents the sufferer from leading a productive lifestyle as they are constantly faced with the need to steal.


UCLA basketball players, reportedly accused of shoplifting, await their fate in scenic Chinese town

The young American athletes took a detour to this Chinese lakeside town on their way to play basketball. Now, in a bizarre situation that has entangled some of college sports’ most promising players, three may not be able to leave it.

UCLA freshmen LiAngelo Ball, Cody Riley and Jalen Hill are holed up in Hangzhou, a tourist town in southeastern China about 100 miles from Shanghai and the opening game of the season — in which they will not appear. Police questioned the men this week on suspicion of shoplifting sunglasses from a Louis Vuitton store. They must remain here and await a decision by Chinese authorities on how to proceed.

For many, this former ancient capital is a breezy escape from the industrial grime of other Chinese cities. But for these college students, it’s likely a crushing symbol of how little they know about the country and its opaque judicial system.


 

Fitting Room Theft

You know the drill. At the end of the day, you find your merchandise tags on the floor or hidden in your fitting rooms. Shoplifters bring your merchandise into a fitting room and put it on under their clothes. Sometimes many layers of your apparel are under the clothes they wore in.

One in ten people that walk through your doors is there to steal. It is a fact of retail life. Studies show that a large percentage of these thieves are female and under the age of thirty. This feeds into the fact that the average retailer’s inventory shrink from shoplifting is approximately 35%.

Shoplifters conceal your merchandise in a variety of ways, in a stroller, pockets, a booster bag, booster clothing or like mentioned above, simply wearing your merchandise out of your store under their clothing. All of these methods require one thing, privacy, even if only for a few seconds. What better place to get privacy in a retail store than a fitting room. Shoplifters can take their time. And because some fitting rooms are handicap accessible, it is not a problem to bring that shoplifting vehicle (stroller) right in with them.

What can you do to protect yourself from theft that a fitting room helps to facilitate? Start with fitting room design:

  • Fitting rooms should not be located in out of the way areas. I prefer high-traffic areas.
  • Walls should be smooth and continuous with no decorations, picture frames, signs… that a shoplifter can hide or dispose of a price tag.
  • Mirrors should be permanently attached to the wall and the edges should be caulked to keep the thieves from hiding labels behind them.
  • Avoid carpeting in the fitting room. Carpet can be pulled up and labels can be hidden there. If you have to use carpet, ensure it is one piece and the edges are securely glued to the flooring.
  • Doors should not go all the way to the floor.  This still provides privacy but does not give the shoplifter a complete feeling of privacy.
  • Doors should have a lock that is called a “storeroom” style. This means that a key is always required to unlock the door and that cannot be changed by turning the knob on the other side.
  • Bright lighting helps your legitimate shopper but gives the shoplifter less of a feeling of privacy.
  • CCTV cameras in plain sight outside of the fitting room doors. The area outside of a fitting room is the perfect place for a public view monitor so customers see that the system is live.
  • Chimes that alert staff when a fitting room door opens.
  • Seating such as benches should be fixed or built in. Any seams, cracks should be sealed. The underside of the bench should be a smooth surface that will not facilitate the hiding of tags.
  • Cove base and shoe mold should be securely mounted, the edges glued and caulked.

Of course, all of this is worthless without proper procedures and a trained staff:

  • Consider fitting room attendants that count garments in/out.
  • Key control. Staff must never leave a key in the fitting room door.
  • For high volume and multiple fitting rooms use a number tag system.
  • Consider limiting the number of items a customer can take into the fitting room at one time.
  • Staff should be trained to keep an eye on anyone who they have let into a fitting room. This is not just a theft concern but also customer service. Your staff can keep track of merchandise and help the customer with different sizes.
  • Do not allow merchandise to build up outside the fitting room. Besides presenting a sloppy appearance, a disorganized area allows shoplifters to more easily conceal merchandise and tags.
  • Customer service, customer service, customer service…

Make sure that when you do have an incident that you bring it to the attention of all staff members so everyone can learn from it. Even though the key to preventing this kind of theft is customer service, you may still have more than acceptable losses. At that point, it is time for a Checkpoint System. The tags on the merchandise are working 24/7 and will alarm even if the stolen merchandise is under the shoplifters clothing.

Contact us at 770-426-7593 if you have any questions about this topic, would like our help or if you would like a quote on a Checkpoint System.


Helpers Hired For The Holidays May Take Advantage of You

I wonder if Santa Clause conducts background checks on his newly hired elves? I’ve been contemplating the chaos that would take place in Santa’s workshop if he just hired any old elf to work for him. Does Santa ever get into a time crunch right around June and bring in seasonal hires to help meet timelines to get all of the toys made? Imagine the pilferage that would ensue if Santa’s Helpers haven’t been properly screened for criminal activity before being brought on board. Defective dolls might be delivered to darling little girls who deserve better. No firetrucks for a little fella because a fiendish elf stole it.  I have no idea what might happen at the North Pole but what I do know is that retailers DO get in a crunch for adding seasonal staff and that CAN lead to criminal activity and chaos.

     There are times when employers hire staff for their busiest times of the year but they rush into it as if they had no idea it was coming. Poor strategic planning can lead to a hurry up and hire mentality. This leads to a myriad of issues:

  • Managers are no longer as selective as they would be if they were hiring at any other time of the year. Interviews are shortened and unless something glaring stands out on an application it is submitted to Human Resources with a request to hire.
  • The focus is on getting a candidate into “the system”. They can be included in orientation and trained in time to fill the holes in the schedule. This is prime time when other concerns fall by the wayside.
  • People are hired who may not truly have the competency to do the job they are hired for. Forget potential theft issues, these workers through no fault of their own may just not be good at their job. A new cashier may not know how to count back change. They may not understand when a short-change artist is trying to con them. They may not get enough training to understand the importance of looking at everything that comes through the lane. Each of these issues causes significant cash and or merchandise shortage to the store.
  • Pre-employment screening may not be done. Background information that might have uncovered a checkered past is never discovered because there wasn’t enough time to conduct a check and get the training started. Was a convicted felon just hired? Perhaps it was just a simple petty larceny charge on their record. It could be a conviction for assault was not reported on the application and the employer won’t know because there was no pre-employment screening.
  • Hiring on the fly may result in bringing in someone who has been fired for poor performance or insubordination and that attitude may carry into the new workplace.

The list can go on but the bottom line is that not making staffing plans for the busy season can impact more than you might think.

What is the solution? You have to get the store staffed and you will be competing against every other retailer for limited resources. Plan a stepped process for adding new team members to your store.

  • First, make a commitment that EVERY new hire will undergo a pre-employment screening NO EXCEPTIONS! Loss Prevention Systems Inc. can conduct thorough background checks that will minimize your chances of bringing in a poor candidate.
  • Determine how many new employees you need and add at least 5 to 10 to that number to account for attrition.
  • Establish where you will post your job ads and what date you will begin interviews. Build a realistic timetable that includes the length of interviews, length of time for conducting the background check and length of time to complete hiring paperwork and orientations and training.
  • Set a Firm “Do Not Hire After This Date” date. Make it firm and don’t allow other managers to make exceptions.
  • Allow at least one full week from the time the last person is expected to be hired and processed to get properly trained. Failing to do so sets the new employee up for failure.

Start early enough to make your plan achievable. Starting too early and making a hiring offer then making people wait to start working will cause those new workers to quit. They are working for a paycheck. Starting too late and you will struggle to find people let alone people you want to have working for you.

     Santa may not have staffing issues, his team works all year long. You have real personnel concerns and have to hire more for the holidays. Plan ahead and make sure you are taking advantage of available workers don’t allow workers to take advantage of you.


Who Is Your Shoplifter and What Do They steal?

A Department of Corrections officer was arrested this week at a Walmart for shoplifting.  The perpetrator was a former Walmart employee who had left to become a corrections officer.  The incident was reported to the authorities, indicating the amount stolen was around $400 dollars during  45 visits at that particular Walmart.

The retail industry loses billions of dollars due to employee theft and shoplifting.  It is more difficult when former employees that were in charge of the loss prevention department or have worked there are arrested because of a shoplifting incident they are committing. This month a shoplifter; a corrections officer and former Walmart employee has been charged with 5 counts of shoplifting that happened at the Walmart he used to work for. What is the solution to this problem? How can the retail industry prepare itself for the many shoplifting incidents that occur every day at their stores?

Many industries experts agree that training is the logical solution. Training, constant vigilance, and state of the art technology that can help prevent, deter and even stop shoplifting while is happening.

For more news about shoplifting, follow the links below.


Walmart nabs former employee for shoplifting — in his corrections officer uniform

A onetime Walmart loss prevention officer was arrested Friday for shoplifting from his former employer.

George Smalling, 38, of Pasco, was booked in the Franklin County jail on five counts of shoplifting in what the Pasco Police Department described as an “interesting” case.

According to the police department, Smalling worked at the Pasco Walmart pursuing shoplifters until he left in 2015 to become a corrections officer with the Washington Department of Corrections prison system.

This summer, a current loss prevention officer was investigating a series of shoplifts. In connection with the investigation, the store determined that a particular man came in at least 45 times during that period. The suspect would use the self-checkout lane. He would scan one item but pass others over the reader. He would pay for the scanned item and then leave.


Shoplifter attempts to steal laundry detergent. Does not get away clean.

Police are asking for your help to find a shoplifter. If you have information about this crime, don’t try to take action on your own. Anonymous tips, including photos and videos, can be submitted by texting LEXPD plus the tip to CRIMES (274637). Information can also be sent anonymously through Bluegrass Crime Stoppers at 859-253-2020 or Bluegrasscrimestoppers.com.

Crime of the Week

This week’s Crime of the Week involves a shoplifter who struck the Kroger store on Bryan Station Road.


He tried to leave Walmart with steaks in his pants, police say

A 25-year-old man was arrested Monday in connection with shoplifting after police say he hid steaks in his pants and left without paying at a Myrtle Beach grocery store, according to a police report.

Payton Christian Abbott, 25, was cited in connection with shoplifting, online jail records show.

Myrtle Beach officers were called about 11:30 a.m. to the Walmart Neighborhood Market at 3915 N. Kings Hwy. in regards to an alleged shoplifting incident.


The Scary Truth About Not Preparing For Holiday Foot Traffic

I remember it like it was yesterday. It was a Black Friday morning and we had lines of customers jockeying for position at 16 front end cash registers, two pharmacy registers, a jewelry counter register and 2 registers at our electronics counter. Sure, there were a lot of people, hundreds if not a thousand at one time but we were handling it. I had our Loss Prevention team monitoring cameras, checking receipts at the front doors and walking the floor with “Security” jackets on to deter theft and prevent fights. The store management team had good plans in place for replenishing freight on the floor and giving employees breaks. I had worked with the Store Manager to control the flow of customers into our building and all had gone off without a hitch, no pushing, shoving or fights. I even had a number of police officers at our front doors aiding us with crowd control. We had really planned for every contingency, or so we thought. The one thing that we had not planned for happened and it was a major problem, our register system went down! The audible sighs, snide remarks, and expressions of anger and frustration were heard in one collective voice. All of our managers jumped into action trying to reboot registers and get systems back online. Ever so slowly we got things moving again but it was a nightmare and it made us realize the scary truth, we had not really prepared for everything as well as we thought we had. A number of shopping carts had been abandoned with Black Friday specials in them and no salesfloor staff available to re-shelve the merchandise.

Can stores prepare for every contingency? Quite honestly, no but that is not to say there should not be a significant amount of time spent planning for holidays and holiday foot traffic. The hard part is knowing what you should plan for and have a contingency plan if something “breaks” which will most certainly happen. What kind of things can you prepare for?

  • Are you hoping for increased foot traffic or planning for it? Hoping is wishful thinking something will magically occur. Small and medium-size retailers have to make good things happen. Big Box retailers are planning months in advance for what their “Doorbuster” items will be for Black Friday. They do bulk purchases of merchandise that will be one-time sellers. LCD televisions are one of the big promos I see each year. These are often not top of the line name brands and they are bargain priced to bring in foot traffic. Get people in the door and hit them with other sale items and promotions. The nasty surprise with this type of gimmick? What do you tell your customers when you run out? Were you fair in how you advertised quantities would be limited, no holds would be permitted, first come/first serve and no rain checks or substitutions will be given out? Be clear in your advertising and let customers who are waiting for that item know how many there really are. You may give out a ticket to each person in line who is waiting for that “Doorbuster” so no one else feels “duped”. You can save a lot of headaches for yourself.
  • Test your equipment. Have a professional come in and test your point of sale registers, your computers, and even your electronic article surveillance pedestals and deactivation pads. Do you normally run two registers during the year? Consider having a third for an increase in customers or as backup if one of your two breaks.
  • Are you intending to run your holiday season with the same number of employees you have all year? That can be a scary decision. If you are planning out your sales and promotions you will see more customers. Failing to have enough staff means you are not giving the level of customer service you need to and people will be put-off with poor assistance, abandon merchandise and leave the store. Not adding staff also means you will run your full-time crew ragged and they may quit. Holiday seasons can be stressful enough without feeling like you’re stretched too thin by your boss.
  • Finally, consider promotions for each of the major holidays coming up in the final quarter of the year. Candy giveaways for those who celebrate Halloween, a drawing for a turkey dinner for Thanksgiving, or a raffle promotion to get people into your building for Christmas shopping, Hanukkah, Kwanzaa, etc.

Holiday shoppers can make your financial year but you must be prepared. Careful planning will pay off in the end. Don’t be scared to step outside your comfort zone to reach new customers and drive profitable year-end sales. 


The Importance Of Expressing Your Thanks For The Staff You Have

With Thanksgiving right around the corner, I thought it would be an appropriate time for me to ask the employers out there how thankful are you for the staff you have? I don’t mean are you just thankful you have people who work for you in a general sense but how thankful are you for what they bring to the workplace every day? Maybe you have never thought about it like that. I’m certain you are thankful that Bobby showed up on time today or Mary Jane rang up customers without a customer complaint. But have you ever looked at how you express your thanks to your team? Maybe your attitude is that you pay them and that should be enough. Perhaps you give your employees a birthday card when their birthday rolls around each year. But is that really sufficient? Is it fair for your employees to expect more from you in terms of recognition?

In an article in forbes.com titled, “66% Of Employees Would Quit if They Feel Unappreciated”, by Victor Lipman, April 15, 2017, the author references, “…a study from Office Team examining the impact of appreciation, or lack thereof, in the workplace.” Quoting the study Mr. Lipman points out two startling findings:

  • 66% of employees say they would “likely leave their job of (sic) they didn’t feel appreciated.”
  • Among millennials, the number of employees who’d leave if unappreciated jumps to 76%.

The author states, “So what does all this mean? I’d call it a short message with a powerful takeaway: Appreciation matters.”I agree with the author’s sentiments. People need to feel like their efforts are appreciated by the supervisors/managers.

What are some of the ways managers can express their appreciation towards their employees? Below are some ideas that can be easy and meaningful:

  • Greet your employees when they arrive to work and say goodbye when they leave. I don’t mean you should say, “Glad you’re here, it’s been a crazy day” or “Oh, you made it on time, what a pleasant surprise!” Be genuine, say hello, hi or it’s good to see you when they come in and have a good afternoon or a great weekend when they leave.
  • Some large retailers have recognition cards they hand out to employees for performance and then have a monthly drawing for a gift card or monetary prize. It may not be practical for a smaller retailer but you can give a Thank-You card out from time to time
  • I work for a business where my superiors have expressed their appreciation with a company travel coffee mug, candy, greeting cards and a gift card at various times on top of emails expressing appreciation for my contributions. All of these make my efforts feel like they are worth the effort. Sometimes it’s the little things that mean a lot.
  • Appreciation may be demonstrated with the assignment of a special project or task that shows trust or gives more responsibility. With that assignment, there must be a verbal acknowledgment by the manager of how the employee’s work performance has merited the responsibility. It would be appropriate to also give some additional incentive if the assignment would merit it.

Aside from the possibility of employees quitting due to feeling unappreciated, it is also possible their performance is tied to how appreciated they feel working for you. According to an article in apa.org (American Psychological Association) from March 8, 2013, titled, “APA Survey Finds Feeling Valued at Work Linked to Well-Being and Performance”; “Almost all employees (93 percent) who reported feeling valued said they are motivated to do their best work and 88 percent reported feeling engaged.”  Clearly, it is in your best interest to find ways to express appreciation to your employees for the work they do for your business. Happy employees will want to make the company they work for successful and that means YOU will be successful.

This holiday season as you consider all the things you are thankful for, don’t forget those who make your business the success it is. Express your thanks and find ways to recognize them, now and all throughout the year. You won’t regret it.


Do You Know Who Is Stealing From You?

Do you know who is stealing from you? It could be anyone.  Shoplifting rings across the United States are now a common practice.  Millions of dollars are stolen every day due to shoplifting, and many millions more are because of employee theft. 

The shoplifter can be anyone; from a grandma, a city employee, or a government official, shoplifters come in all shapes and form.  Police officers have been known to be apprehended when shoplifting, and  juveniles are notorious for stealing merchandise when they visit a store.  Training and awareness from you as a store manager, and from the employees at your supervision, can limit the amount these shoplifters take from your store.

For more about this and other topics, follow the links below.


Feds Break Up $20M Shoplifting Ring That Stole Clothing From Coast To Coast

Federal authorities say they’ve arrested more than a dozen people and broken up a massive shoplifting network that trafficked in some $20 million in apparel and other items stolen from stores all over the country and then sold in Mexico.

According to a grand jury indictment [PDF] unsealed this week, the San Diego-based defendants allegedly assembled “crews” of shoplifters who would steal items from a variety of stores — Victoria’s Secret, Hollister, American Eagle, Banana Republic — at malls both local and thousands of miles away.

Prosecutors say that this ring pilfered items at stores as far-flung as Washington state, Illinois, and Maryland, all with the intention of transporting the stolen goods back to the San Diego area, and then on to a fence in Mexico.

The indictment details the various roles given to the shoplifters involved in any given theft. There were “team leaders” who selected stores and targeted items within the store, while doing advance scouting for the presence of police or loss-prevention staff. When it came time to shoplift, the team leader would relocate the items targeted for shoplifting, putting them in spots within a store that made it easier for others to steal them.


Former school district employee charged with felony theft

Former St. Cloud school district buildings and grounds supervisor Bryan Brown was charged Friday with felony theft for using public funds for personal purchases, according to a complaint filed in Stearns County District Court.

Brown resigned April 3 after 27 years with the district. He began working for the district as a custodian in 1990. In 2011, he became the buildings and grounds supervisor.

Brown’s supervisor, former executive director of business services Kevin Januszewski, resigned April 6.

After the resignations, the district asked St. Cloud Police Department to investigate the possible theft of public funds at the school district, according to the complaint. That investigation was launched April 7.


Employee theft cost US businesses an average of $1.13 million in losses, according to 2017 Hiscox Embezzlement Study™

NEW YORK, NY, Aug. 23, 2017 (GLOBE NEWSWIRE) — Hiscox, the international specialist insurer, today released the 2017 Hiscox Embezzlement Study™, an examination of employee theft in the US. The findings reveal that US businesses impacted by employee theft lost an average of $1.13 million last year. Small and mid-sized companies (fewer than 500 employees) continue to be disproportionally victimized by employee theft, representing approximately 68 percent of cases.

This is the third annual Hiscox Embezzlement Study, which examines employee theft cases that were active in the US federal court system in 2016.

“There is a necessary level of trust between employees and their employer that is required of successful businesses,” said Doug Karpp, Crime & Fidelity Product Head at Hiscox. “When there is a breach in that trust because an employee or executive steals, it can have a significant impact on the entire organization both financially and emotionally. Business owners and executives need to make the shift from blind trust to intelligent trust to ensure they are able to spot and prevent employee theft.”


 

Employee Theft

Addiction is a big factor is some shoplifters’s lives.  They steal to then sell the stolen merchandise to be able to purchase drugs and alcohol.  Employees with a drug addiction problem are dangerous to a retail store, specially those employees that are given a position of power, or have some type of freedom with merchandise, cash or even the security of the store.

Employees that feel as deserving employees that are not being properly compensated can be a liability to a retail store as well.  Anger, bad attitudes, and eventually theft can be a big problem for the store where they are employed.

Retailers and employers in the United States and around the globe loose billions of dollars to shoplifting and employee theft every year. Periodic inventory of employees, merchandise and security of the store are not only necessary but imperative to the health of the business. 

If as an owner, any part of the proper management of the store is left unattended, the results can be catastrophic.

For more about this and other topics follow the links below.


Your Loyal, Hardworking, and Intelligent Employee Might Be Stealing From Your Business

Most perpetrators are middle-aged, longtime employees who never take vacation, says new study.

Last June, Linda Clark, a 68-year-old bookkeeper, who worked for a credit union in Iowa, plead guilty to embezzling almost $2.5 million from her employer between 1978 until she resigned in 2015.

The SCICAP Credit Union in Chariton, Iowa, had to liquidate due to Clark’s 37-year-long scheme, during which she diverted small sums of money into her bank account as well as those of her children.

Clark fits the profile of the average embezzler, according to a studythat looked at over 400 embezzlement cases in federal court, conducted by insurance provider Hiscox. The study found the average embezzler to be a small-business, middle-aged employee who works in the accounting and finance department. Perps were female in 41 percent of the cases.

Clark’s scheme went on longer than average, but the majority of schemes, 28.7 percent, go on for five years with an average theft amount of $2.2 million. For schemes that last 10 years, the average loss hits $5.4 million.


Employee theft cost US businesses an average of $1.13 million in losses, according to 2017 Hiscox Embezzlement Study™

NEW YORK, NY, Aug. 23, 2017 (GLOBE NEWSWIRE) — Hiscox, the international specialist insurer, today released the 2017 Hiscox Embezzlement Study™, an examination of employee theft in the US. The findings reveal that US businesses impacted by employee theft lost an average of $1.13 million last year. Small and mid-sized companies (fewer than 500 employees) continue to be disproportionally victimized by employee theft, representing approximately 68 percent of cases.

This is the third annual Hiscox Embezzlement Study, which examines employee theft cases that were active in the US federal court system in 2016.

“There is a necessary level of trust between employees and their employer that is required of successful businesses,” said Doug Karpp, Crime & Fidelity Product Head at Hiscox. “When there is a breach in that trust because an employee or executive steals, it can have a significant impact on the entire organization both financially and emotionally. Business owners and executives need to make the shift from blind trust to intelligent trust to ensure they are able to spot and prevent employee theft.”