“One can only speculate how much more profitable this industry could be if these many sources of inventory shrinkage and other forms of financial loss could be significantly reduced.” Wise words from Dr. Richard Hollinger, a professor at the University of Florida, Gainsville.
His summary of the 2010 National Retail Security Survey (NRSS) really drives home the point of how severe the losses really are for the retail industry. The NRSS states that 45% of retail inventory losses come from employee theft.
How does the retail industry respond? Pre employment screening.
The NRSS says the “hottest” trend is a Criminal – History Background Check.
Criminal Background checks will show any convictions for any crime. The background check will often uncover the real reason why this person left their last job (prosecuted for employee theft). Lengthy gap in employment history? It could be due to jail time. Maybe that “attendance issue” was actually being in a holding cell all weekend.
The NRSS states that this year actual criminal prosecutions (of dishonest employees) nearly doubled. Employee background checks are catching these prosecutions. They make it easier for hiring managers to side step these hidden land mines.
Employee background checks are becoming increasingly integral to the war on shrink. Catching these dishonest employees before they step foot in the door is a front line defense.
While pre employment screening will deter bad applicants from the beginning, employee background checks should continue after someone has been hired. How else will you know if your long time associates are now a high risk associate?
For more information on background check experts, background checks, criminal background checks, employee background checks or pre employment screening contact us at the background check company or call 1.866.914.2567