When you think of employee theft, you likely think of employees stealing cash, inventory, and other tangible property. But that isn’t the only form of theft. Employees can also steal from your business through time theft.

Just recently, a manager resigned from his position to avoid an investigation into time theft, which would have required him to pay back a substantial amount of wages for time that was misused.

What is time theft?

Time theft is the unauthorized use of an employer's time. It can take the form of employees taking longer breaks or lunch periods, or using company time or resources to shop or complete personal errands. It can also include reporting false hours or falsifying time cards.

This may seem like a minor issue, but it can cause significant losses to a business. Time theft can also be contagious, with more workers taking advantage of an employer’s time as they see others doing it successfully.

How to prevent employee time theft

To combat time theft, there are a number of steps employers can take:

1. Implement stricter policies

In order to combat time theft, employers should develop policies that clearly define the rules and expectations around employee work hours and the use of company resources.

2. Train employees

Employees should be trained to understand the expectations and any violations should be addressed quickly and consistently. Be clear when explaining what time theft is and how it affects the bottom line, wage increases, and more.

3. Monitor and penalize

Regularly reviewing employee work hours and taking action when necessary is key to preventing time theft. Follow up with employees who are seen breaking the rules and take the necessary disciplinary action.

4. Invest in recruiting and retention

It’s also important to hire and retain quality staff who will respect the company’s time and resources. Spend time sourcing, selecting and onboarding the right team members who will be dedicated and hardworking.

5. Track time

Employers should track time accurately and monitor employee hours closely to ensure they comply with the policy. You can use software to track time electronically and eliminate falsified time cards or manual punch cards that can easily be abused.

Video surveillance can also be an effective way to monitor your employee’s use of time. While used primarily for security purposes to protect your business, your customers and your staff, video surveillance can also provide you better oversight over your employees so that you can be sure they are working when they are being paid to do so.

As an added bonus, keycards will track when employees check-in/out and enter/leave the premises so that you don’t have to depend on them to provide the correct time card information. 

Want to learn more? Get in touch with Sonitrol Western Canada today.