| Be honest. Have you ever stolen from work? | | | | so many people stealing and are there other |
| Took a little "petty cash" here and there? Fudged | | | | ways to deter and treat theft? Other factors to |
| your time card? Padded an expense report? Ran | | | | consider include: the costs of losing an employee |
| personal errands on company time? Made Xerox | | | | who may not be easily replaced; losing the |
| copies while looking over your shoulder? What | | | | opportunity to rehabilitate him and engage his |
| about those extra envelopes, staples, and paper | | | | assistance in bolstering loss prevention; and |
| clips you brought home for the kids? If so, you're | | | | passing on the problem to a future employer. |
| not alone. The United States Chamber of | | | | Most companies have some sensitivity toward |
| Commerce estimates nearly 75% of employees | | | | employees with drug, alcohol and gambling |
| steal from their workplace and most do so | | | | problems. You can miss work, lie, do a poor job, |
| repeatedly. I was one of them. | | | | even harass a co-worker-but "steal, and you're |
| Last year, Janice Fernworn, 45, was the treasurer | | | | gone!" Why is theft a sacred cow when so much |
| of her suburban Detroit church. Over several | | | | of it occurs anyhow? "Thou Shalt Not Steal" runs |
| years, she embezzled in excess of $700,000. She | | | | deep. |
| had no history of other addictions. She was | | | | We need progressive education, prevention, and |
| married and had five kids. Fernworn said her | | | | treatment for employee theft. I encourage better |
| embezzlement began when she and her husband | | | | management skills and employee morale |
| fell three months behind in their mortgage | | | | strategies. I recommend companies hold periodic |
| payment. "I still remember the first time I wrote | | | | meetings-facilitated, ideally, by a neutral, outside |
| a check to myself that wasn't legitimate," she | | | | consultant-to air grievances, offer apologies, and |
| said. "My hands shook so badly, I was almost | | | | to express appreciation and gratitude to "keep |
| unable to manage the writing. I felt I had | | | | the tank clean." I suggest confidential counseling |
| exhausted all other possibilities. I don't know when | | | | be openly offered to any who might have a theft |
| the embezzlement switched from easing the true | | | | problem. Most employers I've talked to cared less |
| need to needing the ease but it didn't take long | | | | about finding out who's stealing than having it |
| before the hole was so big I couldn't face making | | | | stopped. |
| it better." She was sentenced to 10 years in | | | | I spoke a few years ago with both the Human |
| prison. | | | | Resources Director and a head of loss prevention |
| Why should loss prevention professionals care? | | | | for a National Restaurant chain. They told me |
| Most have heard about the recent Wal-Mart leak | | | | their company looks at "the totality of the |
| which merely revealed the trend of cutting back | | | | circumstances" when an employee is found to |
| on loss prevention budgets and focusing less on | | | | have stolen from the company. They were ahead |
| petty shoplifting and more on professional | | | | of the pack in recognizing many employees likely |
| shoplifting and employee theft. | | | | become addicted to stealing. Often, these |
| In 2005 I published my second book-"Biting The | | | | employees were put on "internal probation" and |
| Hand That Feeds: The Employee Theft | | | | placed in counseling. Is the counseling or this novel |
| Epidemic...New Perspectives, New Solutions" | | | | approach effective? The long-term results of this |
| (Infinity Publishing). I also organized and presented | | | | are not yet in but at least it's a sign of |
| at The First International Conference on Theft | | | | progressive-minded thinking. This company |
| Addictions and Disorders in Detroit. For nearly a | | | | seemed happy to boast one of the lowest |
| decade I have counseled clients addicted to | | | | employee turnover rates in its industry. |
| shoplifting. While "shoplifting addiction" has gradually | | | | A recent client of mine was an assistant manager |
| found wider acceptance and understanding, the | | | | at a national home furnishings store. He is married, |
| F.B.I. recently called employee theft "the fastest | | | | has two young twin daughters, has an MBA, and |
| growing crime in America." Increasingly, I have | | | | lives in a nice suburb. He's had a long history of |
| treated those struggling with chronic employee | | | | shoplifting, employee theft, and came to see me |
| theft and have consulted with employers seeking | | | | after having been arrested for breaking into |
| to understand and reduce this phenomenon. | | | | people's cars. If ever there was a person crying |
| The American Society of Employers reports that | | | | for help, he was. I theorized that he stole primarily |
| 20% of every dollar earned by an American | | | | in reaction to his having been molested as a child |
| company is lost to employee theft--$53.6 Billion | | | | and, later, having been traumatized in his early |
| per year. 55% of perpetrators are in the highest | | | | twenties by a hold-up at gunpoint. His boundaries |
| level positions and the average length of time it | | | | and safety had been violated and he was reliving |
| takes for one to be caught was 18 months. The | | | | this experience from the perpetrator's point of |
| U.S. Chamber of Commerce estimates one third | | | | view by violating the boundaries of others. His |
| of all corporate bankruptcies are a direct result of | | | | stealing was, in essence, a cry for help. |
| employee theft. And the Boston Globe published | | | | During our work together he also attended |
| an article in September 2005 stating U.S. | | | | C.A.S.A. (Cleptomaniacs And Shoplifters |
| companies lose $759 Billion per year in "time | | | | Anonymous) meetings. I gradually got his wife |
| theft" by which employees falsify time cards, | | | | involved in treatment and as she had become |
| take long breaks, linger on the Internet or the | | | | more parent than partner, he rebelled further. He |
| phone, run personal errands on company time, | | | | reported feeling taken advantage of at work by |
| and even look for new employment while at their | | | | his boss and co-workers which triggered abuse |
| current jobs. | | | | feelings and he embezzled as a way of lashing |
| Our work is hard and we need to work in a | | | | out. His wife and his former therapist urged him |
| healthy and transparent environment. I was a | | | | to quit his job immediately. They feared he would |
| chemical dependency counselor at a clinic for | | | | get fired or, worse, prosecuted. I shared their |
| seven years and was its Director for two. Even in | | | | concerns but worried my client would have no |
| the "touchy feely" world of our profession, the | | | | money and no structure for his time--which |
| workplace can feel like a toxic fish tank. We all | | | | spelled trouble, too. |
| come to work with emotional wounds and issues. | | | | Instead, I created a contract with my him to |
| We'll play out our family dramas, dysfunctions, | | | | begin practicing assertiveness at work (and at |
| and authority issues in the workplace. Employee | | | | home) while also taking steps to finally start his |
| theft may be a cry for help, a call for attention, a | | | | own lawn and garden business which he had put |
| sign that something deeper is wrong. But we | | | | on the back burner. Remarkably, within six |
| rarely seek out, much less discover, what that is. | | | | months, he had left his job and had more |
| Many loss prevention workers have become | | | | landscaping work than he could handle. His |
| fixated on stopping the "professional shoplifter" | | | | self-esteem and confidence blossomed. His |
| and may have a tendency to oversimplify why | | | | relationship with his wife greatly improved. His |
| people steal or commit employee theft. Many | | | | journey to well-being continues but he has |
| couldn't care less why people steal. Too often we | | | | progressed with the proper treatment and |
| assume people steal to support an underlying | | | | support. |
| addiction and it will stop when one "gets sober." | | | | Another client was Director of Accounting at a |
| This is not always true. For many, the stealing is | | | | Retirement Center. She had embezzled |
| or becomes the drug. Many remain in denial or too | | | | $50,000.00 from her previous job in the same |
| ashamed to ask for help. Many still think of | | | | position but had managed to secretly pay it back |
| stealing only in moral, legal, or financial terms. "Just | | | | over time before leaving without being |
| keep working the Steps" is what many have | | | | confronted. She recently embezzled $40,000.00 |
| heard and tried. Specialized treatment may be | | | | from her current job, realized she was out of |
| needed but there are few books, few support | | | | control and sought help. Her husband knew about |
| groups, and few therapists who specialize in | | | | both thefts and admitted he enabled her the first |
| treating theft behaviors, including employee theft. | | | | time by bailing her out with his own money. This |
| Is it hard to imagine the many complex factors | | | | time, on the verge of divorce, they knew they |
| and motivations which prompt people to steal | | | | needed a different approach. Through our work |
| from work? Job security continues to decline while | | | | together, we discovered she spent almost all the |
| pressures to work harder, faster, for less | | | | money she stole on things for her husband. She |
| compensation increase. We've created a climate | | | | didn't feel worthy of his love and feared he would |
| of resentment, mistrust, disloyalty, even | | | | leave her just as her mother had when she was |
| harassment. Surveys reveal the top concern of | | | | 3 years old. While significant issues remain, she |
| most employees is a lack of appreciation and | | | | secretly repaid the money on her own this time |
| recognition. "They owe me," is how many feel. | | | | and has been learning to value herself without |
| Sometimes, as with Janet Fernworn, outside | | | | overcompensating at work or in her marriage. |
| events or issues are the catalyst. Employee theft | | | | I spoke on employee theft in 2006 at the |
| usually begins a little at a time. Most don't even | | | | Michigan Annual Financial Managers conference and |
| think of it as stealing. The next thing you know, a | | | | also about theft addictions and disorders at the |
| star employee is led out in handcuffs. | | | | San Fernando Valley, California Employee |
| A larger social issue? | | | | Assistance Personnel monthly meeting and in |
| Millions of employees with employee theft issues | | | | 2007 at The Kentucky CPA's Annual Conference. |
| go undetected or untreated who might otherwise | | | | Increasingly, people from various industries are |
| be helped. If a client loses his job due to | | | | recognizing we need to think outside the box |
| workplace theft, therapy usually comes to a | | | | about theft. |
| screeching halt. The shame and judgment people | | | | I hope I have helped shed some light on this issue |
| face is unimaginable. Persons with criminal | | | | of employee theft. There is more to it than |
| records-especially theft offenses-will face great | | | | meets the eye. This is a new frontier of theory |
| obstacles in finding decent employment. Those | | | | and treatment. We need to be prepared to look |
| without jobs are without hope: addictions, crime, | | | | at our own dishonest behaviors and explore these |
| and self-harm often follow. | | | | issues with our clients. My hope is that we stand |
| Traditionally, most companies simply fire any | | | | together on the cutting edge to help create |
| employee who steals. While this is a one option, it | | | | healthier individuals, families, business organizations, |
| does not address the following questions: why are | | | | and societies. |