NCJ Number
109047
Journal
Security World Volume: 23 Issue: 3 Dated: (March 1986) Pages: 36-38
Date Published
1986
Length
3 pages
Annotation
Nationwide, business executives name employee theft as their most serious crime problem.
Abstract
Internal thefts drain businesses of billions of dollars annually, involve one in three employees, are the most frequently investigated crime, and are blamed in one of three bankruptcies. Employee theft may involve 'borrowing' from the cash register, taking home tools or equipment, or manipulating company assets for personal benefit. In 1984, retail theft by employees cost over $817 million and usually involved unauthorized use of employee discount privileges or thefts from cash registers. At banks, thefts, usually fraud or embezzlement, cost over $382 million in 1984. While loss statistics in manufacturing are unavailable, most losses are internal. Although executive thefts account for only 15 percent of employee theft, they comprise 80 percent of the losses. Such thefts not only involve large financial costs, but provide role models for theft, corruption, and inefficiency among other employees. Other factors that may contribute to the high rates of internal theft include poor management, job dissatisfaction, disinterest in security precautions, and a passive acceptance of unethical/criminal behavior.