Employee Theft in an Organization

Although the majority of employees do the right thing at work, employee theft is a major issue that the organization faces. Employee theft is defined as stealing, using, or misusing an employer's assets without permission. Employees steal cash from their employers the majority of the time (BONNER, 2019), but employee theft involves more than just cash. Money is the most frequently stolen asset by employees, either directly or indirectly, such as charging customers more than the listed price for a product and stealing the extra cash. Furthermore, time theft occurs when a worker is paid for work that they did not actually do or were not actually at work.

Employee theft of supplies accounts for a significant portion of the loss, which can be identified. Papers, pens, and computers from the office are common examples, as are foods, condiments, and silverware from restaurant supplies. Employee theft is defined as stealing products from shelves or warehouses that are to be sold. Furthermore, as technology advances, there is an increase in the theft of proprietary information and secrets, which are then sold to others or directly used to achieve personal goals.

Employee theft can be classified into four types: Embezzlement, Skimming, Fraudulent Disbursements, and Stealing Business Opportunities (Employee Theft, 2012). Furthermore, a bad culture, a lack of supervision, and angry employees fuel employee theft. As a result, employers must consider alternative methods of asset protection because not all assets are tangible and each is unique. To prevent employee theft, it is critical to identify who is responsible for fraudulent acts in the workplace. Employers can prevent theft by hiring honest people, establishing a zero-tolerance policy, communicating policy clearly, reducing temptation, monitoring employee activities for each type of theft, training supervisors, and enforcing policy (Handrick, 2018).

Refrences

BONNER, M. (2019) Theft of Cash by Employees, the balance small business. Available at: https://www.thebalancesmb.com/theft-of-cash-by-employees-462633.

Employee Theft (2012) Business practical Knowledge. Available at: https://businesspracticalknowledge.wordpress.com/legal-security/employee-theft/ (Accessed: 30 January 2020).

Handrick, L. (2018) Employee Theft — Types, Why It Occurs & 7 Steps to Prevent It, Fit small business. Available at: https://fitsmallbusiness.com/employee-theft/ (Accessed: 30 January 2020).