Employee theft is a growing problem for small businesses across the United States, costing them an estimated $50 billion annually, according to Statistic Brain. This crime often goes unnoticed until it suddenly affects a company’s finances. As highlighted in the article, Matt Ham of Computer Repair Doctor has had two personal experiences with
theft. Despite having safeguards in place, such as better inventory controls and a strict cash-counting process, his employees still found ways to steal from the company.
Laws and Cases Regarding Employee Theft
The study by Hiscox, a global specialist insurer, found that U.S. businesses affected by employee theft lost an average of $1.13 million in 2016, with small and midsize businesses representing 68 percent of the cases, and a median loss of $289,864. The employees who embezzle are often trusted members of a company’s team, making it all the more devastating for the business owner.
This is where ReZolveX comes in as a solution. ReZolveX is an anonymous whistleblower hotline that provides a secure and confidential platform for employees to report any unethical or illegal behavior within their workplace, including employee theft. By creating an anonymous hotline, employees are encouraged to report any suspicious behavior without fear of retaliation.
ReZolveX also provides an easy to use platform for companies to manage and investigate reports of employee theft. Companies can set up the hotline, customize it to meet their specific needs, and monitor the reports received in real-time. With ReZolveX, companies can act quickly to stop theft and minimize damage to their finances.
The anonymity of the hotline also protects the company’s reputation by allowing employees to report theft discreetly. This can prevent damage to the company’s image and help maintain employee morale. Companies can also use ReZolveX to educate their employees on the importance of ethical behavior and the consequences of theft. This can act as a deterrent and help prevent employee theft in the future.
ReZolveX can also help companies comply with laws and regulations regarding employee theft. For example, the Sarbanes-Oxley Act requires companies to establish internal controls to prevent and detect fraud. ReZolveX can assist companies in meeting these requirements by providing an anonymous reporting system and real-time monitoring capabilities.
Conclusion
Employee theft is a growing problem for small businesses, with devastating consequences. Companies can protect themselves from theft by implementing an anonymous reporting system such as ReZolveX. This provides a secure and confidential platform for employees to report theft, allows companies to act quickly to stop theft, protects the company’s reputation, and can also assist companies in meeting legal requirements. With ReZolveX, small businesses can safeguard their finances and protect their employees from unethical behavior.
Please visit Theft of Inventory