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Read the Kessler Notebook

Press Journal (Vero Beach, FL)

April 24, 2000

BUSINESSES COMBAT THEFT BY SHOPLIFTERS AND EMPLOYEES

   The ticket for a bicycle tire was found, but the money was not in the cash register. When the manager asked the employee about it, the worst was discovered: He had put the money in his pocket.   "We've had to deal with that from time to time," said Alan Stadnick, owner of Alan's Bicycle Center in Vero Beach. "You have to be careful who you hire."  

     Tales of pilfering from the company cash register, supply shelves and even the communal refrigerator are common. It is a sad, but true, fact that in many American workplaces, even a roll of toilet paper in the bathroom or a bologna sandwich in the company refrigerator is not safe from theft.  Stealing is a valid concern for all types of business, according to calls made to a half-dozen or so security firms in Vero Beach, most of which offer a wide range of services to help businesses protect themselves from shoplifting and employee theft.   

   Business owners are vulnerable to all sorts of crimes, says Rusty Corby, 41, sales manager for Alert Security Professionals at 624 S.W. Old Dixie Highway, Vero Beach.   The company was founded by John and Lisa Hagin and Danny Grimes of Vero Beach to fill a void in the community.   "We saw a need and we knew we could fill it," he said, adding that the range of services they offer are what small and medium-sized businesses need but can't often afford.   

   Shoplifting and burglary cost businesses billions of dollars every year. Unfortunately, no business can be completely crime-proof, but steps can be taken to make the crime more difficult to conceal.   Corby said large companies have security and loss-prevention departments staffed by full-time managers and employees.  Alert provides a package of contracts and as-needed services that include customer service.   "You can get hold of one of us 24 hours a day," Corby said. "Customer service is very important."  Stadnick sets burglar alarms for when he's away from the bike shop, but during open hours his staff has to be on the lookout for employees who steal, as well as shoplifters.   The best defense against shoplifting is well-trained employees, he said. Since shoplifters prefer to avoid store staff, employees should be sure to assist each customer.   

   In Sebastian, Terry Sloan, co-owner at Regis Cards and Gifts, said he hasn't had a problem with theft.  But security cameras tape what's going on 24 hours a day, something more and more companies are installing to cut losses from employees, as well as shoplifters.   Hayward Waltz, manager at Sunflower Thrift Store in Wabasso, said no one gets away with a "five-finger discount" at his place of work.  "I keep my eyes peeled, I watch them," he said. "Luckily, we've never had a problem."   Waltz spoke with deep disgust about people who steal from hard-working business owners. These crimes are not soon forgotten, he said.  Waltz learned to guard against people who switch the price tags on expensive items with those of cheaper items.   Small, expensive items are kept in a glass-enclosed display case at the front of the store  right in front of Waltz and the cash register. Strategically placed mirrors also offer protection.    Burglary is another major threat to small-business owners, costing about $6 billion annually, and more than half go unsolved.   One or more burglars recently struck two Winn-Dixie supermarkets in Indian River County.   Sebastian Police Chief Randy White said robbers broke into the County Road 512 store sometime after hours, entering through an air-conditioning duct on the roof. The thieves took prescription drugs.  When store employees came to work at the Vero Beach store, they discovered thieves entered the store the same way, again taking prescription drugs.   Three grocery store chains  Winn-Dixie, Publix and Kash-N-Karry  refused to discuss their security measures with the Press Journal for fear of tipping off criminals.   "We don't even want our employees to know," said a Winn-Dixie spokesman at the store's headquarters in Orlando.  Proper locks, safes, alarm systems and lighting help guard against the threat of burglary, Corby said. "But no business is immune."  Several Indian River County companies have made their stores more secure against theft by installing alarm systems. Others have trained their employees to detect and prevent theft.   

   Companies often know they have problems with theft but are unable to prove it.    That's where security and surveillance specialists come in handy, says Kathy Nies, manager of Be Safe Security in Vero Beach.   "A lot of businesses are putting in surveillance cameras," she said. "We install the type that records 24 hours. You can use it to prosecute because it takes very, very clear pictures."   A closed-circuit system can be purchased for about $700. Other detection devices can make the system more complete.  Perhaps, the best and least expensive component of a security system is lots of light, Nies said.  "It's important to remember, however, that no program can reduce the chance to zero when dealing with people who have their minds set on stealing goods."  

 A 1999 survey from Michael G. Kessler & Associates, an international investigative and forensic accounting firm in New York, turned up some pretty astounding facts on office theft of all kinds.  About 79 percent of company employees steal from their employers to the tune of more than $120 billion a year. In fact, the study concluded that "not only do employees steal, they out-steal shoplifters."