Sonitrol Security

Sonitrol Commercial Security Blog ... by Joe Wilson



Employee Theft is Costly: Here’s How to Mitigate it

Posted by Joe Wilson

Jan 25, 2023 10:18:00 AM

theftEmployee theft is a serious problem for businesses of all sizes and across a range of industries. It can lead to significant financial losses and can damage the reputation of a business, but thankfully, there are security solutions that can help mitigate that risk. 

Just this year, a Richmond BC business found evidence that an employee had stolen just under $220,000 over the course of four years. The employee stole the money by refunding sales to her own card. To help hide the refunds, the employee would complete the transactions during peak season when the business had increased sales coming in and the refunds would get buried.

While the Richmond business did resolve the case in civil court with the employee admitting she owes the company back the money she stole, all businesses aren’t as lucky. Some never even realize that their employees are stealing from them.

And it isn’t just small sums here and there. This case shows that employee theft can cost businesses hundreds of thousands of dollars, depending on the amount and duration of the theft. Not to mention, the business likely had to invest time and resources into the investigation and recovery of their losses.

The good news is, there are a few ways businesses can reduce the risk of employee theft.

How you can reduce the risk of employee theft

First, businesses should have systems in place to detect and monitor unusual financial activity. Regularly going over store records and financial documents, as well as verifying sales against returns, helps to determine whether or not theft is occurring.

Second, businesses should use technology like video surveillance and point-of-sale systems to monitor employee activity.

Security surveillance systems can be used to monitor employees in key areas, such as cash registers and stock rooms, where theft is most likely to occur. If there is a theft, video recordings of employee activity can provide evidence of fraudulent activity, making it easier to take the appropriate disciplinary action.

In addition, verified security surveillance systems can be used to provide real-time alerts of after-hours theft. This allows quick response times to minimize losses.

25 Misconceptions about commercial security systems eBook

Security surveillance systems also offer additional benefits beyond just preventing theft. They can provide an additional layer of security to protect employees, customers, and the business by deterring vandalism and other criminal activity.

Finally, security surveillance can be used to monitor employee productivity and attendance. This can help detect patterns of poor performance and identify employees who are not adhering to the company's standards.

In addition to security, you also want to take the time to properly interview and screen new employees. Checking references and verifying previous employers provides insight into the applicant’s reliability and helps businesses make better hiring decisions.

Once you have hired a strong team, you want to ensure they are properly trained and are aware that there are processes in place to help identify theft and fraud. This will help deter theft and may help weed out staff members that have ulterior motives.

Ultimately, no business wants to be the victim of employee theft, so it’s important to be proactive in preventing it. Taking the time to put the right procedures and safeguards in place can help businesses reduce the risk of having their losses stolen another way.

Interested in learning more about how a verified security solution could work for your business? Get a free Sonitrol Western Canada security plan, where we assess your company’s unique security needs and give you a free, no charge, no obligation security plan.

Free Security Audit


Topics: Office Workplace Security

Free Security Plan


Joe Wilson, Owner of Sonitrol Western Canada

We provide our customers with the best commercial security solutions and quality service backed by our unique Guarantee and Commitment to Service. It's something unverified conventional alarm companies simply cannot guarantee!

Subscribe to Sonitrol Blog Updates

Posts by Topic

see all

Recent Posts

Why Sonitrol?

 Sonitrol Catches Criminals




Here's Why ...

Download this Free Guide -

25 Misconceptions About Conventional Alarm Systems

Download Free Guide!