Spending On Clothing Security Pays Off With Lower Shrinkage

 

Clothing Security – 4                                                                                                                       WC blog 52
Clothing security tags – 3
Spending On Clothing Security Pays Off With Lower Shrinkage
     Choosing the right solution to protect the clothing you sell can be a difficult decision to make.  How much of what you carry should you protect?  Do you protect certain price ranges?  Do you protect only certain brands?  I believe having clothing security measures in place can increase the profits of a store if properly administered by store owners or managers.  Why do I say this? According to the 2014-2015 Global Retail Theft Barometer, in the section regarding retail shrinkage in North America, apparel specialty retailers experienced the second highest amount of theft as a division, following only pharmacies/drugstores.  Shrink in the apparel market was measured at 1.98%!  The report also states that apparel retailers spent less on loss prevention measures than they had in the previous year, from .39% as a percent of total sales to .24% in 2014-2015. The correlation between reduced spending on loss prevention and the increase in theft is clear.  Spending on loss prevention, in this case clothing security, will improve profits lost due to theft.
     Deciding on the type of clothing security to use will be up to you.  There are a number of options on the market from which to choose.  Possessing nearly 20 years of retail loss prevention experience, I will tell you that the first thing you need to do before worrying about types of clothing alarms is to ensure you have an electronic article surveillance (EAS) system in place.  Without an alarm, most of your clothing security options will be of minimal usefulness mostly as visual deterrents.  There are various clothing security tags to choose from, starting with the soft tag which has an adhesive back then the hard tags that attach to clothes with clips or lanyards.  All of these clothing security tags will set off an EAS alarm antenna when someone attempts to exit a store with unpaid merchandise. As the store owner or manager you decide which would be the best option for a specific item.  A lower priced t-shirt might be protected with a soft tag on a manufacturer tag.  A pair of jeans however, may require a more substantial hard tag or apparel clip.  The difference being, the soft tag could be potentially pulled off while with the other tags while the hard tag it is attached directly on the merchandise.  The hard tag is very difficult to tamper with or remove without damaging the product.  My recommendation is that the higher priced the item, the more difficult you want to make it for a thief and try to deter the theft in the first place.
     
     At this point you may be wondering what your continual investments will be if you decide to tag clothing.  Soft tags are attached to an item and they remain on the product, they are deactivated at the register with a deactivation pad.  These tags would require continual replenishment at the store since they are not reusable.  The hard clothing security tags are reusable. They are detached from merchandise at the register before the item is taken from the store after purchase.  These clips and tags are then reused to tag new merchandise.  If you take advantage of source tagging, the merchandise is tagged before it is shipped to you and you only send the tags and clips back to the vendor.  Two benefits of source tagging are, there is no need to tag the merchandise in the store which costs payroll and all the merchandise from the vendor is tagged in a consistent manner.  Too often merchandise tagged by store employees is inconsistent where the tags are placed.  This creates problems at the register when cashiers try to find tags to be removed.
     Clothing security should be on the top of your list in reducing shortage and increasing profits.  Clothing theft and fraud is a significant problem and if 1.98% shortage in North America is the average what is it really costing your business by not investing in loss prevention measures?
For more information on clothing security, contact us or call 1.770.426.0547
      

Choosing the right solution to protect the clothing you sell can be a difficult decision to make. How much of what you carry should you protect? Do you protect certain price ranges? Do you protect only certain brands? I believe having clothing security measures in place can increase the profits of a store if properly administered by store owners or managers. Why do I say this? According to the 2014-2015 Global Retail Theft Barometer, in the section regarding retail shrinkage in North America, apparel specialty retailers experienced the second highest amount of theft as a division, following only pharmacies/drugstores. Shrink in the apparel market was measured at 1.98%! The report also states that apparel retailers spent less on loss prevention measures than they had in the previous year, from .39% as a percent of total sales to .24% in 2014-2015. The correlation between reduced spending on loss prevention and the increase in theft is clear. Spending on loss prevention, in this case clothing security, will improve profits lost due to theft.

Deciding on the type of clothing security to use will be up to you. There are a number of options on the market from which to choose. Possessing nearly 20 years of retail loss prevention experience, I will tell you that the first thing you need to do before worrying about types of clothing alarms is to ensure you have an electronic article surveillance (EAS) system in place. Without an alarm, most of your clothing security options will be of minimal usefulness mostly as visual deterrents. There are various clothing security tags to choose from, starting with the soft tag which has an adhesive back then the hard tags that attach to clothes with clips or lanyards. All of these clothing security tags will set off an EAS alarm antenna when someone attempts to exit a store with unpaid merchandise. As the store owner or manager you decide which would be the best option for a specific item. A lower priced t-shirt might be protected with a soft tag on a manufacturer tag. A pair of jeans however, may require a more substantial hard tag or apparel clip. The difference being, the soft tag could be potentially pulled off while with the other tags while the hard tag it is attached directly on the merchandise. The hard tag is very difficult to tamper with or remove without damaging the product. My recommendation is that the higher priced the item, the more difficult you want to make it for a thief and try to deter the theft in the first place.          

At this point you may be wondering what your continual investments will be if you decide to tag clothing. Soft tags are attached to an item and they remain on the product, they are deactivated at the register with a deactivation pad. These tags would require continual replenishment at the store since they are not reusable. The hard clothing security tags are reusable. They are detached from merchandise at the register before the item is taken from the store after purchase. These clips and tags are then reused to tag new merchandise. If you take advantage of source tagging, the merchandise is tagged before it is shipped to you and you only send the tags and clips back to the vendor. Two benefits of source tagging are, there is no need to tag the merchandise in the store which costs payroll and all the merchandise from the vendor is tagged in a consistent manner. Too often merchandise tagged by store employees is inconsistent where the tags are placed. This creates problems at the register when cashiers try to find tags to be removed.

Clothing security should be on the top of your list in reducing shortage and increasing profits. Clothing theft and fraud is a significant problem and if 1.98% shortage in North America is the average what is it really costing your business by not investing in loss prevention measures?

 

For more information on clothing security, contact us or call 1.770.426.0547      

 

 

GETTING BACK TO THE BASICS –CLOTHING SECURITY

 

GETTING BACK TO THE BASICS –CLOTHING SECURITY
It seems to me that more and more retailers are investing heavily in state of the art security measures. The world’s largest retailer is going through a major shift in the way they combat theft and they are investing millions to aid in that effort. Just look at one of those stores. The most noticeable difference to the average consumer is the new cameras and different placements in and around the buildings. They aren’t the only retailer to do this, either. Across the country, even small retailers are investing significant capital in high tech solutions to stop the proverbial bleeding in the shops. What if I told you that you didn’t need to spend thousands to accomplish the same goal? What if your solution is as simple as Checkpoint Tags? 
Let’s go back to the basics for a minute with a story. A colleague that I previously worked with left our company to run the LP department of a very small clothing retailer (5 stores). We had a chance to catch up a few weeks back and he was explaining how he was bringing his current company into the 21st century with security tech. He went on about the new HD camera systems, an updated POS, the addition of exception based reporting software and new training programs for the managers to be more familiar with LP procedures. He told me that his stores were still having shrink issues even with all those new pieces of tech in place. I had a simple question for him. How’s the clothing security program?
He stared at me, blankly for a minute. What do you mean, clothing security program? He quipped back after realizing he was staring out in space for a minute. I asked what EAS system the stores using, and what type of Checkpoint Tags were being used on the store’s product. He looked at me very pointedly and said that he had not realized until this very moment that his company and the department he was hired to lead was not using one of the most basic practices in retail to combat theft and shrink. 
So we circle back around to getting back to the basics. EAS should not be a good thing to have. It shouldn’t be on your wish-list of nice things to have, nor should it be seen as un-necessary. If you operate a retail store, especially a clothing store, it is in your business’s best interest to install a descent system, even if it is one of the entry level models. Next, identify what product is being stolen and use the heck out of those Checkpoint Tags to secure them. I will bet that you will see a dramatic decrease in theft incidents and an overall increase in profitability. 
Operating a clothing boutique will always present a unique challenge to the retailer. Not only do you have to contend with small margins and an every changing fashion scene, you will always have to deal with theft, both internal and external. Clothing security should be just as important to you as anything else in your store. By taking a small measure to secure your inventory, you are ensuring that it remains in stock for your customer to purchase. If that legitimate customer purchases it, your sales increase, as does your profitability, payroll…etc. Being in stock is one of the most vital parts of running a business. To think, you can accomplish all of this with a simple Checkpoint Tag. 
 
For more information Clothing Security, contact us or call 1.770.426.0547

It seems to me that more and more retailers are investing heavily in state of the art security measures. The world’s largest retailer is going through a major shift in the way they combat theft and they are investing millions to aid in that effort. Just look at one of those stores. The most noticeable difference to the average consumer is the new cameras and different placements in and around the buildings. They aren’t the only retailer to do this, either. Across the country, even small retailers are investing significant capital in high tech solutions to stop the proverbial bleeding in the shops. What if I told you that you didn’t need to spend thousands to accomplish the same goal? What if your solution is as simple as Checkpoint Tags

 

Let’s go back to the basics for a minute with a story. A colleague that I previously worked with left our company to run the LP department of a very small clothing retailer (5 stores). We had a chance to catch up a few weeks back and he was explaining how he was bringing his current company into the 21st century with security tech. He went on about the new HD camera systems, an updated POS, the addition of exception based reporting software and new training programs for the managers to be more familiar with LP procedures. He told me that his stores were still having shrink issues even with all those new pieces of tech in place. I had a simple question for him. How’s the clothing security program?

 

He stared at me, blankly for a minute. What do you mean, clothing security program? He quipped back after realizing he was staring out in space for a minute. I asked what EAS system the stores using, and what type of Checkpoint Tags were being used on the store’s product. He looked at me very pointedly and said that he had not realized until this very moment that his company and the department he was hired to lead was not using one of the most basic practices in retail to combat theft and shrink. 

 

So we circle back around to getting back to the basics. EAS should not be a good thing to have. It shouldn’t be on your wish-list of nice things to have, nor should it be seen as un-necessary. If you operate a retail store, especially a clothing store, it is in your business’s best interest to install a descent system, even if it is one of the entry level models. Next, identify what product is being stolen and use the heck out of those Checkpoint Tags to secure them. I will bet that you will see a dramatic decrease in theft incidents and an overall increase in profitability. 

 

Operating a clothing boutique will always present a unique challenge to the retailer. Not only do you have to contend with small margins and an every changing fashion scene, you will always have to deal with theft, both internal and external. Clothing security should be just as important to you as anything else in your store. By taking a small measure to secure your inventory, you are ensuring that it remains in stock for your customer to purchase. If that legitimate customer purchases it, your sales increase, as does your profitability, payroll…etc. Being in stock is one of the most vital parts of running a business. To think, you can accomplish all of this with a simple Checkpoint Tag.   

 

For more information Clothing Security, contact us or call 1.770.426.0547

 

 

THE 10 MOST EFFECTIVE METHODS OF CLOTHING SECURITY

In my opinion, you should look at loss prevention initiates as a way to help you succeed. If your programs work, your sales increase, losses decrease, you’re more profitable and customers will shop your store because you are in stock. I think there are plenty of small business owners and managers out there who are having problems with theft, who may have the solutions already in place, but maybe lack the eye that put the puzzle pieces together. Well, I’d like to be that last puzzle piece and highlight 10 ways you can maximize the effectiveness of your Checkpoint tags.


  1. Denim Jeans –These are a popular item for shoplifters. Whether a teenage girl, or a coast to coast booster who walks out with 25 pairs, jeans attract thieves. Having a good clothing security device, such as an ink tag through the front of the jeans in a visible area will deter any and all criminal activity.
  2. Footwear – This is one area that a lot of smaller stores often overlook. Shoes are easy to conceal in a purse, or if you have even bolder thieves, they can simple trade out their old shoes for a new pair. One very effective way to protect this merchandise is using a checkpoint tag right through the tongue of the shoe.
  3. Accessories- Winter is here and that means you’ll see an increase in winter gloves, scarves, beanies and knit caps in store. These are a shoplifter’s favorite items, as most stores lack any clothing security devices here. By simply using a Checkpoint tag in a prominent location of the item, you can help keep more of those items available to your legitimate customers.
  4. Hats – This is especially true for licensed hats. I find myself in stores pretty regularly and see that they have a huge assortment of these hats, which aren’t cheap, completely void of any type of clothing security device. A hard tag through one of the eye holes at the top of the cap prevents damage to the item and provides a great visible deterrent to a would-be thief.
  5. Belts – These are a bit tricky. It’s difficult to use a hard tag without damaging the product. I’ve used some soft tags in the past with some success. The more experienced shoplifter will just remove the sensor; however, depending on the size of the belt and the buckle, there are several varieties of soft tags that will work quite well.
  6. Socks – Every single day, my agents catch someone stealing socks. It’s a bit ridiculous really… Again, with a simple hard tag through the top of the packaging, you can really make a dent in hosiery losses.
  7. Outerwear – Winter is here. That means your store has the seasons newest jackets, coats and sweaters. What I’ve find most beneficial is a checkpoint tag on the back of the collar. This placement lets the tag stay hidden on those high end pieces that need to be prominently merchandised, all while giving you the full protection of a solid clothing security device.
  8. Swimwear –To prevent swimwear theft, I’ve always used a hard tag in the arm seam of the garment. This prevents any damage and again, gives you that strong visible deterrent to any thief.
  9. Undergarments – High dollar and little fabric. Makes concealing incredibly easy. A simple hard tag on the rear can cut down your losses in an instant.
  10. Purses – If you carry designer handbags, then you know that these are a huge target for thieves. What I find works best and is the most effective is a simple ink tag through the seam on the strap. Thieves are not willing to tamper with the ink tag as it will completely ruin their haul.

 

For more information Clothing Security, contact us or call 1.770.426.0547

 

Winter Solstice And Shortage: Spring Into Action With Clothing Security Tags

 

Clothing security tags-5                                                                                                           WC blog 44                                                                                                                              
clothing security-4
Checkpoint tags-4
Winter Solstice And Shortage: Spring Into Action With Clothing Security Tags
     Winter Solstice begins on December 21st and Spring Equinox begins on March 20th.  No, don’t worry this is not a scientific article on seasonal change or the Earth’s rotation around the sun or anything of the sort.  This is important to you if you own a retail business and especially if you sell clothing. If clothing security has not been a priority for your business in the past, I encourage you to continue reading this article.  You may not be aware of it but according to the 2014-2015 Global Retail Theft Barometer report, “A majority of shrinkage occurs during winters due to high customer traffic/ football (due to festive season) which makes it difficult to track and prevent theft” (pg. 52 GRTB 2015).    A few other facts from the report that all retail managers and store owners should take note of:
Total shrinkage in North America stood at $36.79 billion
Top Shrinkage retailers – Pharmacy/drug stores (2.25%), apparel specialists (1.98%), electronics/appliances/media retailers (1.90%).  The majority of shrink caused by shoplifting and dishonest employees
Dishonest employee theft caused approximately $16.56 billion in shrinkage
Shoplifting  caused approximately $13.24 billion in shrinkage
     For this article I have one additional fact from the report that I want to focus on and this is specific to clothing retailers.  According to the report, Apparel Specialist Retailers spent .30% on loss prevention as a percent to total sales.  This should be a cause for concern if your store(s) sell apparel, have you been focused on clothing security?  Is this an area where you have cut spending in order to save money?  Perhaps it would be in your interest to ask yourself if cutting spending on security has caused an increase in shortage for your stores.
     Clothing security can be in the form of Checkpoint tags and clothing alarms attached to merchandise.  You may not be sure of the type of security device that best suits your need and Checkpoint can assist you with the best solution to fit your needs.  It is important to remember that clothing security tags should be part of an electronic article surveillance system (EAS).  Investing in tags alone without the EAS antennas at the entrance/exits to your stores will only deter a fraction of the theft that is taking place in your store.  Checkpoint tags on clothes will set off the antenna alarm if someone attempts to exit the store with items in which tags are attached.  Depending on the type of clothing security tags, there are some that will not only sound the antenna alarm but also have a built in alarm.  These devices activate in the event someone attempts to walk out with a tagged item providing a double alarm protection.
     For retail owners who don’t invest in clothing security tags because they are concerned about it detracting from the appearance of their products, there are solutions available to address this problem.  Checkpoint tags can be designed to be a part of a label and sewn into clothing at the source.  These tags may incorporate a scannable UPC code that is undetectable to the shopper or the potential shoplifter.  There are also teams that can assist in designing clothing security tags using a variety of materials and brand them with your business logo.  These tags still incorporate EAS technology giving you the same protection as traditional clothing security tags.
     So now you may be wondering, why is winter such a contributing factor to the increase in theft, especially clothing theft?  Several things are pointed out in the Global Retail Theft Barometer Report, one factor being that people wear heavier clothing including jackets.  It is much easier to conceal merchandise in and under these items.  Even wearing clothing out of a store is easier.  Other factors included, “shoppers’ pressure to buy, seasonal hiring and crowded and chaotic stores” (pg. 52 GRTB 2015).  I will address some of these factors in future articles.
    Inventory time will be approaching soon and as store shortage results post reflect on how much you spent on clothing security.  Did you cut spending this year to save money?  Did you spend on security at all?  I recommend you take time to review the 2015 Global Retail Theft Barometer Report and then consider if investing in Checkpoint tags and other clothing alarms could save you money in the long run.
For more information on clothing security tags, contact us or call 1.770.426.0547
     

Winter Solstice begins on December 21st and Spring Equinox begins on March 20th. No, don’t worry this is not a scientific article on seasonal change or the Earth’s rotation around the sun or anything of the sort. This is important to you if you own a retail business and especially if you sell clothing. If clothing security has not been a priority for your business in the past, I encourage you to continue reading this article. You may not be aware of it but according to the 2014-2015 Global Retail Theft Barometer report, “A majority of shrinkage occurs during winters due to high customer traffic/ football (due to festive season) which makes it difficult to track and prevent theft” (pg. 52 GRTB 2015).   A few other facts from the report that all retail managers and store owners should take note of:

Total shrinkage in North America stood at $36.79 billion

Top Shrinkage retailers – Pharmacy/drug stores (2.25%), apparel specialists (1.98%), electronics/appliances/media retailers (1.90%). The majority of shrink caused by shoplifting and dishonest employees

Dishonest employee theft caused approximately $16.56 billion in shrinkage

Shoplifting  caused approximately $13.24 billion in shrinkage   

 

For this article I have one additional fact from the report that I want to focus on and this is specific to clothing retailers. According to the report, Apparel Specialist Retailers spent .30% on loss prevention as a percent to total sales. This should be a cause for concern if your store(s) sell apparel, have you been focused on clothing security? Is this an area where you have cut spending in order to save money? Perhaps it would be in your interest to ask yourself if cutting spending on security has caused an increase in shortage for your stores.

 

Clothing security can be in the form of Checkpoint tags and clothing alarms attached to merchandise. You may not be sure of the type of security device that best suits your need and Checkpoint can assist you with the best solution to fit your needs. It is important to remember that clothing security tags should be part of an electronic article surveillance system (EAS). Investing in tags alone without the EAS antennas at the entrance/exits to your stores will only deter a fraction of the theft that is taking place in your store.  Checkpoint tags on clothes will set off the antenna alarm if someone attempts to exit the store with items in which tags are attached. Depending on the type of clothing security tags, there are some that will not only sound the antenna alarm but also have a built in alarm. These devices activate in the event someone attempts to walk out with a tagged item providing a double alarm protection.

For retail owners who don’t invest in clothing security tags because they are concerned about it detracting from the appearance of their products, there are solutions available to address this problem. Checkpoint tags can be designed to be a part of a label and sewn into clothing at the source. These tags may incorporate a scannable UPC code that is undetectable to the shopper or the potential shoplifter. There are also teams that can assist in designing clothing security tags using a variety of materials and brand them with your business logo. These tags still incorporate EAS technology giving you the same protection as traditional clothing security tags.

So now you may be wondering, why is winter such a contributing factor to the increase in theft, especially clothing theft?  Several things are pointed out in the Global Retail Theft Barometer Report, one factor being that people wear heavier clothing including jackets. It is much easier to conceal merchandise in and under these items. Even wearing clothing out of a store is easier. Other factors included, “shoppers’ pressure to buy, seasonal hiring and crowded and chaotic stores” (pg. 52 GRTB 2015).  I will address some of these factors in future articles.

Inventory time will be approaching soon and as store shortage results post reflect on how much you spent on clothing security. Did you cut spending this year to save money? Did you spend on security at all? I recommend you take time to review the 2015 Global Retail Theft Barometer Report and then consider if investing in Checkpoint tags and other clothing alarms could save you money in the long run.

 

For more information on clothing security tags, contact us or call 1.770.426.0547

     

 

 

Pre-Employment Screening Provides Profit Protection

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