A Professional PI's View on Employee Theft

By Lindsey Novak

April 3, 2014 5 min read

Q: I think you should have told the employee who discovered employees stealing food from a chain restaurant to bring in a video camera and record it all on tape. He could capture the bad behavior and turn it into the corporate office rather than quitting.

A: When advising a person about how to handle employee theft, I must always consider the person's safety first and the corporate duty second. The common question witnesses ask, as shown on television police shows that mimic real life, is who is going to protect them when they turn in the guilty parties, who will likely be reprimanded and fined, and will probably be out to get even with the people that reported them. When people know they are dealing with vindictive types who make retaliation their business, that ethical, whistleblower state of mind can slowly take back seat to self-preservation. While reporting wrongdoing seems the only right thing to do, it is understandable if people place their own safety before company profits.

As a professional Oklahoma private investigator and performing building, computer, restaurant and systems engineering consulting, Rick Hansen of Dallas carefully considers the importance of the whistleblower's safety and anonymity. He agrees it would be unethical of the employee to allow theft to continue, especially since this employee had been a trainer at another location, but once he reports it to the corporate office, upper management should take over and guide him as to how to handle the problem.

Hansen says when an employee has a good relationship with a previous boss and management, and with the manager at the new location being involved in the theft with the employees, he should report his findings to his previous manager. That manager should then connect him to the proper person at the corporate level. He can describe the situation in detail and the reason for needing anonymity. While the parties guilty of theft may see the theft as minor, they certainly won't think losing their jobs over it is minor as well.

Hansen says the whistleblower also must explain to upper management how important his job is and that he would like to keep it, but that it must be handled secretly so the anonymity remains intact. Knowing the employees would retaliate against the whistleblower for orchestrating a sting operation to stop the theft must be accepted and respected.

If corporate doesn't already have a video and audio surveillance system on the premises, Hansen says corporate may consider installing such systems in all locations for the future. In the meantime, it needs evidence, and installing such a system would be a red flag to employees and would blow the anonymity. This leaves corporate asking the whistleblower to help in securing evidence. He is already on the scene and aware of the behavior, so he may need to engage in a bit of undercover work through the use of a body camera provided by a security professional.

Hansen says nearly all restaurant chains have some variation of a checkpoint system for discovering theft, though many sites don't conduct daily inventory, unless shortages start appearing.

When theft was suspected by one of Hansen's clients, he developed the cash register/POS system with software that tracked every ingredient used to make the products. When this showed the inventory disappearing slowly, his client set up surveillance at the back door. As he expected, an employee was caught removing small quantities of food out the back door into a car in the parking lot. The employee was fired immediately.

Hansen suggests this whistleblower connect with someone from the corporate office. His commitment to the company may lead him to a managerial position; then future employees will have to listen and take him seriously.

Email your questions to workplace expert Lindsey Novak at LindseyNovak@yahoo.com and follow her on Twitter @I_truly_care. To find out more about Lindsey Novak and to read features by other Creators Syndicate writers and cartoonists, visit the Creators Syndicate Website at www.creators.com.

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