Employee Background Checks – 3 WC blog 46
Pre-employment screening-4
Pre-Employment Screening Provides Profit Protection
In a recent blog I wrote about clothing security and referenced the 2015 Global Retail Theft Barometer. In the report they discussed the causes for increased shrink in garment specialty stores. Part of the increase was attributed to a decrease in spending on retail anti-theft devices within this segment of the retail industry. Another factor the researchers found was employee theft being a major cause for shortage. This applied to all retailers, including clothing stores, the focus of my earlier article. According to the report, employee theft accounted for 45% of all shrink in North America amounting to $16.56 billion dollars. It was noted that, “The primary reasons for employee theft were weak pre-employment screening procedures, reduced associate supervision, increasing part-time work force (especially during peak winter season) and easy sale of stolen merchandise.” (GRTB page 52). In this article I want to focus on employee background checks. Do you complete pre-employment screening before you hire a new member to your staff? If you aren’t, what is it costing you in terms of shortage and theft by not learning more about the person you are allowing to join your team?
Without doing employee background checks you have no idea who the person is that you are suddenly empowering with access to cash registers, merchandise or more importantly, other employees and customers. A solid pre-employment screening will let you know if a prospective employee has a criminal history they are attempting to hide from you. You can also learn if the candidate has declared bankruptcy or what their payment history has been. A good background check company will also run a sex offender registry check on a person. Whatever your business is, you are serving others and, like it or not, their safety and security is your responsibility.
I worked closely with our Human Resources Manager during my years as a Loss Prevention Manager. I know our company did background checks, I saw applicants turned down after a background check came back with a discrepancy. I also know that during the fourth quarter we started our seasonal hiring process and the number of temporary employees we brought on board could not have had the same level of scrutiny as those hired during the remainder of the year. Often these were the employees we ended up apprehending for theft during the holiday season. In many instances, after I would catch someone stealing and interview them I would learn about financial situations that should have been caught in a more detailed pre-employment screening. Especially during the holiday season I remember a number of different employees I caught stealing and how often I would find out an employee had creditors they were trying to pay off. Bills looming over them along with the desire to provide gifts for the holidays often contributed to people justifying why they committed their crimes.
It was not uncommon for me to catch employees during the holidays stealing merchandise by passing items to a relative or friend. I caught my fair share of employees stealing over the years, but I remember the cases that were most troubling to me were those involving young mothers. I recall one employee I apprehended who was stealing children’s clothing and toys and passing them to a relative by not ringing them in the register. During my interview of the employee, she admitted she had been out of work for some time prior to getting the job with our store and was behind on bills. She was stealing in order to provide gifts for her baby for Christmas. I don’t know whether a more thorough employee background check would have caught something in this young woman’s history that might have prevented her being hired in the first place. I do know that she was hired in our fourth quarter hiring rush and went to jail. I will never know if we accounted for every loss she caused the store, certainly we accounted for most, but how much loss is “okay” for a business? That is a question you need to ask yourself.
I tell this story because it fits exactly into the research results of the Global Retail Theft Barometer. My case was probably more than 10 years ago, but employee theft continues to grow and businesses are hurt as a result. Don’t take a chance on hiring the wrong people. Let a background check company help you preserve your reputation and profits.
For more information on pre-employment screening contact us or call 1.770.426.0547
In a recent blog I wrote about clothing security and referenced the 2015 Global Retail Theft Barometer. In the report they discussed the causes for increased shrink in garment specialty stores. Part of the increase was attributed to a decrease in spending on retail anti-theft devices within this segment of the retail industry. Another factor the researchers found was employee theft being a major cause for shortage. This applied to all retailers, including clothing stores, the focus of my earlier article. According to the report, employee theft accounted for 45% of all shrink in North America amounting to $16.56 billion dollars. It was noted that, “The primary reasons for employee theft were weak pre-employment screening procedures, reduced associate supervision, increasing part-time work force (especially during peak winter season) and easy sale of stolen merchandise.” (GRTB page 52). In this article I want to focus on employee background checks. Do you complete pre-employment screening before you hire a new member to your staff? If you aren’t, what is it costing you in terms of shortage and theft by not learning more about the person you are allowing to join your team?
Without doing employee background checks you have no idea who the person is that you are suddenly empowering with access to cash registers, merchandise or more importantly, other employees and customers. A solid pre-employment screening will let you know if a prospective employee has a criminal history they are attempting to hide from you. You can also learn if the candidate has declared bankruptcy or what their payment history has been. A good background check company will also run a sex offender registry check on a person. Whatever your business is, you are serving others and, like it or not, their safety and security is your responsibility.
I worked closely with our Human Resources Manager during my years as a Loss Prevention Manager. I know our company did background checks, I saw applicants turned down after a background check came back with a discrepancy. I also know that during the fourth quarter we started our seasonal hiring process and the number of temporary employees we brought on board could not have had the same level of scrutiny as those hired during the remainder of the year. Often these were the employees we ended up apprehending for theft during the holiday season. In many instances, after I would catch someone stealing and interview them I would learn about financial situations that should have been caught in a more detailed pre-employment screening. Especially during the holiday season I remember a number of different employees I caught stealing and how often I would find out an employee had creditors they were trying to pay off. Bills looming over them along with the desire to provide gifts for the holidays often contributed to people justifying why they committed their crimes.
It was not uncommon for me to catch employees during the holidays stealing merchandise by passing items to a relative or friend. I caught my fair share of employees stealing over the years, but I remember the cases that were most troubling to me were those involving young mothers. I recall one employee I apprehended who was stealing children’s clothing and toys and passing them to a relative by not ringing them in the register.During my interview of the employee, she admitted she had been out of work for some time prior to getting the job with our store and was behind on bills. She was stealing in order to provide gifts for her baby for Christmas. I don’t know whether a more thorough employee background check would have caught something in this young woman’s history that might have prevented her being hired in the first place. I do know that she was hired in our fourth quarter hiring rush and went to jail. I will never know if we accounted for every loss she caused the store, certainly we accounted for most, but how much loss is “okay” for a business? That is a question you need to ask yourself.
I tell this story because it fits exactly into the research results of the Global Retail Theft Barometer. My case was probably more than 10 years ago, but employee theft continues to grow and businesses are hurt as a result. Don’t take a chance on hiring the wrong people. Let a background check company help you preserve your reputation and profits.
For more information on pre-employment screening, contact us or call 1.770.426.0547
Pre-employment Screening- 4 WC blog 59
Background Checks-4
Who Are The People In Your Office Space? Background Checks Can Ease Employee Concerns
I remember a certain children’s show when I was little that I loved. It had puppets and people interacting and having fun. It had educational lessons, I learned about counting from a friendly vampire and episodes were “brought to you by the letter (you fill in the blank)…” . There was catchy music that caught my attention too, one song was about “rubber ducky” and the other was about “Who are the people in your neighborhood?” As I have grown over the years, I still recall these memories, but I have changed the words to the “Who are the people in your neighborhood song” to fit my time as a Loss Prevention Manager. My version goes something like, “A criminal is a person in your company, in your company, in your c-o-m-p-a-n-y, oh a criminal is a person in your company, a person that you meet each day!” I changed the words to fit my day so sometimes it was a criminal employee and other times a shoplifter. However I re-worded the song, it always made me laugh. I kind of do that to myself, much to the chagrin of my wife (she does not think I am as funny as I think I am). While this is funny to me, there is an element of truth to it. Who ARE the people in your company? Who is that person sharing an office space with their co-workers? Did you conduct a pre-employment screening of your staff members before bringing them on board? If so, how thorough was that screening or background check? If not, you need to ask yourself what you really know about that person.
I know what you are thinking, “I don’t need to have anyone do background checks on my employees, I called their references before I hired them”. I have a couple of concerns I would like to point out about this strategy. First, if the reference was a former employer most employers today can only confirm if an employee worked for them and what dates they worked there. They may tell you if the employee is rehireable or not. In order to avoid legal issues most employers will not discuss the quality of the employees work or workplace issues they may have had while employed. All you are left with is a very innocuous report that tells you little about your prospective new hire. Are the references you called personal references? OK, let’s be serious for a moment, are the personal references you have on your resume people that may not like you or have worked with you and would not have good things to say? How are you sure you aren’t calling the prospective employee’s mom (not too many mom’s out there are going to bad-mouth their kid)? An employee background check done professionally will uncover criminal history, verify school or education information, and validate employment history and addresses. A pre-employment screening may also be used to get driving record information if the employee would be in the position to have to drive a company vehicle or even use their own car in the execution of their job responsibilities.
If you still aren’t convinced of the need for pre-employment screening, let me share one case in which an employer is involved in a lawsuit, in part, for failing to conduct a background check that resulted in one employee injuring another. From an article in Littler.com, by Jennifer Mora, September 16, 2015, “State Appellate Court Considers Employer’s Duty to Conduct Criminal Background Checks”, the writer reports on a case in which a temporary staffing agency placed a plaintiff in a supervisory position at a rice mill and he was assaulted one night by another worker who had been hired by the staffing agency who had become insubordinate and assaulted the plaintiff. The plaintiff suffered damage to his teeth and shoulder. The article goes on to say that the allegation against the staffing agency is that they failed to conduct a background check on the assaulting employee. The assaulting employee stated in pre-employment paperwork he had never been convicted of a felony, but his criminal record reflected prior misdemeanor convictions which included assault.
By conducting employee background checks you don’t have to wonder, “Who is the person in your neighborhood?” Sing another tune like, “Happy days are here again”. Keep your workplace safe and avoid possible legal problems. Look into the benefits of background checks.
For more information on background checks, contact us or call 1.770.426.0547
I remember a certain children’s show when I was little that I loved. It had puppets and people interacting and having fun. It had educational lessons, I learned about counting from a friendly vampire and episodes were “brought to you by the letter (you fill in the blank)…” . There was catchy music that caught my attention too, one song was about “rubber ducky” and the other was about “Who are the people in your neighborhood?” As I have grown over the years, I still recall these memories, but I have changed the words to the “Who are the people in your neighborhood song” to fit my time as a Loss Prevention Manager. My version goes something like, “A criminal is a person in your company, in your company, in your c-o-m-p-a-n-y, oh a criminal is a person in your company, a person that you meet each day!” I changed the words to fit my day so sometimes it was a criminal employee and other times a shoplifter. However I re-worded the song, it always made me laugh. I kind of do that to myself, much to the chagrin of my wife (she does not think I am as funny as I think I am). While this is funny to me, there is an element of truth to it. Who ARE the people in your company? Who is that person sharing an office space with their co-workers? Did you conduct a pre-employment screening of your staff members before bringing them on board? If so, how thorough was that screening or background check? If not, you need to ask yourself what you really know about that person.
I know what you are thinking, “I don’t need to have anyone do background checks on my employees, I called their references before I hired them”. I have a couple of concerns I would like to point out about this strategy. First, if the reference was a former employer most employers today can only confirm if an employee worked for them and what dates they worked there. They may tell you if the employee is rehireable or not. In order to avoid legal issues most employers will not discuss the quality of the employees work or workplace issues they may have had while employed. All you are left with is a very innocuous report that tells you little about your prospective new hire. Are the references you called personal references? OK, let’s be serious for a moment, are the personal references you have on your resume people that may not like you or have worked with you and would not have good things to say? How are you sure you aren’t calling the prospective employee’s mom (not too many mom’s out there are going to bad-mouth their kid)? An employee background check done professionally will uncover criminal history, verify school or education information, and validate employment history and addresses. A pre-employment screening may also be used to get driving record information if the employee would be in the position to have to drive a company vehicle or even use their own car in the execution of their job responsibilities.
If you still aren’t convinced of the need for pre-employment screening, let me share one case in which an employer is involved in a lawsuit, in part, for failing to conduct a background check that resulted in one employee injuring another. From an article in Littler.com, by Jennifer Mora, September 16, 2015, “State Appellate Court Considers Employer’s Duty to Conduct Criminal Background Checks”, the writer reports on a case in which a temporary staffing agency placed a plaintiff in a supervisory position at a rice mill and he was assaulted one night by another worker who had been hired by the staffing agency who had become insubordinate and assaulted the plaintiff. The plaintiff suffered damage to his teeth and shoulder. The article goes on to say that the allegation against the staffing agency is that they failed to conduct a background check on the assaulting employee. The assaulting employee stated in pre-employment paperwork he had never been convicted of a felony, but his criminal record reflected prior misdemeanor convictions which included assault.
By conducting employee background checks you don’t have to wonder, “Who is the person in your neighborhood?” Sing another tune like, “Happy days are here again”. Keep your workplace safe and avoid possible legal problems. Look into the benefits of background checks.
For more information on background checks, contact us or call 1.770.426.0547
CP Labels-3 , EAS-1 , Stop Shoplifting-1
The Moose Is Loose
We dealt with a booster a couple months ago that was using an accomplice nicknamed Moose. After we talked to him and got some information and names from him, the rampant thefts stopped. Now he’s back. We made some gains with what he gave us though. He said their group was aware of our electronic article surveillance methods, and they generally chose to avoid our stores because of them. He said when they came in the front door they always looked for the telltale Checkpoint pedestals, and would even go so far as checking to see if the power lights were on. The lady that boosts with him has even stopped carrying a foil-lined purse since many versions of Checkpoint Systems can detect those and sound an alarm as the suspects enter. They know what they can defeat and what they don’t stand a chance against. If retailers want to stop shoplifting, they have to use the tools that are available and know which ones really work to deter thieves.
When Moose and his friend entered my store Monday night, they were greeted and offered help. After that, they used the next six minutes to explore the aisles and steal $75 worth of merchandise. I type that with a smile on my face because it could have been so much more. They walked down the side and went to the hair regrowth formulas. That was what they stole from us on their first visit a few months ago. Now, however, they are wrapped up tight with Alpha Spider Wraps and they know they can’t get them off. Then they went to the oral hygiene section and checked the teeth whitening kits. Since those are encased in Alpha Keepers, they paused only for a moment there too. Then they ventured over to the denture creams. That is where they stopped and stuffed her bag full. All ten boxes are gone. When I get those items back next week in our delivery, we will have to do something different. Otherwise, I know they will just keep taking them every week. First of all, they will definitely have Checkpoint Labels adhered to them before they go on the shelves. We have our store name and city printed on our stock of Checkpoint Labels, so in addition to the obvious protection they also offer a source of identification for the police if they are stolen. After they left that aisle, they went over to the cough and cold section. They stopped in front of the nose strips that help people breathe, but those are all in Alpha Keepers too.
My store was not her first victim of the week though. I had just had an alert sent to my store from one of our stores that is in a town about half an hour away. The same woman had been there but with a different guy the day before. She swiped all their hair regrowth boxes and stuffed them down in the same purse she brought to my store. I asked that store manager what she had been using on the packages, and she said nothing. I asked her if she planned to continue that plan or if maybe she was considering adding Checkpoint Labels or some other tool to prevent the couple from wiping her out again. The thing is this woman will keep coming back every week, usually with that same huge bag, but many times with a different guy. We can’t count on her to change her ways, but we can make changes and take the necessary steps to stop her. We have too many tools at our disposal to let her get away with this.
For more information on Checkpoint Labels, contact us or call 1.770.426.0547
We dealt with a booster a couple months ago that was using an accomplice nicknamed Moose. After we talked to him and got some information and names from him, the rampant thefts stopped. Now he’s back. We made some gains with what he gave us though. He said their group was aware of our electronic article surveillance methods, and they generally chose to avoid our stores because of them. He said when they came in the front door they always looked for the telltale Checkpoint pedestals, and would even go so far as checking to see if the power lights were on. The lady that boosts with him has even stopped carrying a foil-lined purse since many versions of Checkpoint Systems can detect those and sound an alarm as the suspects enter. They know what they can defeat and what they don’t stand a chance against. If retailers want to stop shoplifting, they have to use the tools that are available and know which ones really work to deter thieves.
When Moose and his friend entered my store Monday night, they were greeted and offered help. After that, they used the next six minutes to explore the aisles and steal $75 worth of merchandise. I type that with a smile on my face because it could have been so much more. They walked down the side and went to the hair regrowth formulas. That was what they stole from us on their first visit a few months ago. Now, however, they are wrapped up tight with Alpha Spider Wraps and they know they can’t get them off. Then they went to the oral hygiene section and checked the teeth whitening kits. Since those are encased in Alpha Keepers, they paused only for a moment there too. Then they ventured over to the denture creams. That is where they stopped and stuffed her bag full. All ten boxes are gone. When I get those items back next week in our delivery, we will have to do something different. Otherwise, I know they will just keep taking them every week. First of al, they will definitely have Checkpoint Labels adhered to them before they go on the shelves. We have our store name and city printed on our stock of Checkpoint Labels, so in addition to the obvious protection they also offer a source of identification for the police if they are stolen. After they left that aisle, they went over to the cough and cold section. They stopped in front of the nose strips that help people breathe, but those are all in Alpha Keepers too.
My store was not her first victim of the week though. I had just had an alert sent to my store from one of our stores that is in a town about half an hour away. The same woman had been there but with a different guy the day before. She swiped all their hair regrowth boxes and stuffed them down in the same purse she brought to my store. I asked that store manager what she had been using on the packages, and she said nothing. I asked her if she planned to continue that plan or if maybe she was considering adding Checkpoint Labels or some other tool to prevent the couple from wiping her out again. The thing is this woman will keep coming back every week, usually with that same huge bag, but many times with a different guy. We can’t count on her to change her ways, but we can make changes and take the necessary steps to stop her. We have too many tools at our disposal to let her get away with this.
For more information on Checkpoint Labels, contact us or call 1.770.426.0547
