Causes of employee theft and strategies that HR managers can use for prevention

Abstract

Business losses due to employee theft are estimated to approach $200 billion annually. Why do employees steal? Experts propose many reasons for employee theft, but provide few prevention strategies for human resource managers. In this article, the authors explore the various causes of employee theft, from employee personality characteristics, to the social environment, to flaws in the organization's control system. From this analysis, guidelines for theft prevention strategies are offered. Since strategies may involve top-down control or trust-building experiences for employees and managers, HR managers are encouraged to implement those strategies that fit their organization. © 2000 John Wiley & Sons, Inc.