theft

I received a disturbing report today from Damien Vanden Bergh of West Wyalong Newsagency about an attack which left one of their employees unconscious this morning.

This morning we were the victim of a violent attack in our store. Our delivery guy got to work this morning to start his morning duties, when he was attached from behind and bashed to the ground. The robbers were able to get away with all the cash in our store and left our worker unconscious on the ground. We live in a small country town and never thought that anything like this would happen. I think it is a timely reminder that we all need to look at our security and safety of our employees within our stores. If you could spread this message to other newsagent and maybe they can learn from our unfortunate event.

The employee is in hospital and recovering.

The message here is that the attacker must have been watching the store to understand the early morning routine.  He attacked at the most vulnerable time.

It would be timely for newsagents to review early morning and closing time processes and to tighten security to better protect employees and cash.  While a security system may provide an opportunity for evidence, it will not stop people desperate for cash.

Since my blog post yesterday about employee theft I have received more than fifty emails, twenty phone calls and plenty approaches at the Melbourne GNS Market Fair from newsagents wanting to know more and or wanting to share their stories.

Almost everyone I spoke with agrees that it appears more prevalent today than a year ago. There is no discrimination on business size, geographic location or any other factor.

Here are nine suggestions for cutting employee theft in your newsagency:

1. Use your technology.  Smart Newsagency Point of Sale technology provides tools for uncovering theft.  Use these.  But ensure that employees do not have access.
2. Background check. Ask prospective employees for permission to do a background check. Those with something to hide will quickly “find” work elsewhere.
3. Zero tolerance. Lay out your policy on theft on a sign in the back room or other part of the business. Make it clear that you have a zero tolerance policy on theft and be clear on the consequences of being caught.
4. Pay above award. One reason employees say they steal is that the business does not respect them. Paying above average, even a small amount, can show that do you respect them as better than average.
5. Spot check. Do a spot check of cash during the day. Do a check of the counter for cash hidden or notes of an amount being recorded so an employee knows what is ‘theirs’ in the register.
6. Be open about the business. Let your employees know how much money the business is making. This is usually less than they think you are making. Making them more informed may help them realise that the business is not a ‘fair’ target.
7. Change: the roster; empty the bins. The regular pattern of a retail store makes it easy for employees who are stealing to get away with it. Chase the process without announcement every so often and be prepared for the change to uncover theft.
8. Vigilance: check your computer system; check the counter; balance every day. If an employee thinks they can get away with even petty theft they may. It is vitally important to be vigilant about business process and cash management. Balance the cash register every night. Query discrepancies. Make the operators responsible.
9. Don’t steal yourself. If employees see the business manager or owner taking cash for coffee or other small personal expenses they will see this as a right for them. If you need cash for these purposes do it out of employee sight.

Yes, I know, I was not following my own advice. That is a lesson in itself.

The credit card scam which I blogged about on July 9, has hit more newsagents.  A couple of days ago, a newsagency in a Melbourne bayside suburb was hit and is facing a loss of more than $2,000.

There scam is the same – they use credit card numbers to buy mobile phone recharge and to load prepaid debit cards.  They say they have forgotten their card but have the number in their mobile phone.  They usually purchase multiple mobile recharge coupons.  In the most recent case they said it was for employee rewards.

If someone is buying many, more than three, mobile recharge vouchers at once, be suspicious.

Here is a repeat of the advice I blogged two weeks ago:

1. Only allow credit and debit card transactions where the customer has the physical card.
2. If you are unsure of a cardholder, ask for photo ID, say it is store policy.  This is common in the US now.
3. Never allow a customer to enter any numbers or touch any buttons on your eftpos terminal except for entering their pin number.
4. Do not permit the loading of credit to a prepaid debit card from a credit card.
5. Get all your employees together and warn them, run them through the proper handling of eftpos transactions.

You could also:

1. Place a height guide by the door so you get this right when you call the police.
2. Use a security system and have a monitor in store, behind the counter so that all customers can see that they are being recorded.
3. Bring in an expert to provide security training for your employees.

The incident last week involved a male.  Another, a couple of months ago involved a female.

These people are exceptionally good.

Robberies in two newsagencies in Adelaide yesterday (one newsagent had $12,000 stolen) are a reminder of the need for tight security around cash at the counter and in the office. They also reinforce the importance of good security systems to gather evidence and act as a deterrent.