Friday, December 12. 2008 Employee Theft Is on the Rise (General)

According to a recent article in the Wall Street Journal, approximately 20 percent of employers polled in a new survey said workplace theft has become a moderate to significant problem recently. The survey was conducted by the Institute for Corporate Productivity and HR.com, and involved supervisors and executives at 392 U.S. firms. Eighteen percent of respondents said they have noticed a recent increase in monetary theft among workers, such as missing cash or bogus transactions. In addition, 24 percent of respondents said they had seen a rise in stolen, non-monetary goods like office supplies and retail products. Data from PricewaterhouseCoopers (PwC) reveals that in 2007, companies lost an average of $2.4 million to fraud, most of which was committed by workers, up from $1.7 million in 2005. Brian J. Mich, head of anticorruption compliance and investigations at BDO Consulting, says during tough financial times, "people have a tendency to give in to temptation to commit criminal behavior," and that employers tend to become more vigilant. Mich also observes that people viewed as the most trustworthy--those who have "access to systems and information"--often commit the biggest thefts. A 2007 PwC survey found that in general, 85 percent of people who commit workplace fraud are male, 44 percent are between the ages of 31 and 40, and 38 percent hold at least a bachelor's degree.