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HRM CA | 30 Jun 2014, 10:28 AM Agree 0
Employees are behind one third of shrinkage, costing Canadian businesses more than $10 billion a year, and employee theft plays a role in 10% of failed businesses. How can you prevent it?
  • Justin B. | 30 Jun 2014, 12:00 PM Agree 0
    I think it is also important to consider the culture and environment employers are in. The "Looking Glass Self" theory states that the way others perceive us will shape the way we see ourselves, and then I would argue, the our resulting behaviour. So if an employer builds a culture of distrust and the assumption that every employee will steal from them, it is far more likely to cause employees to steal form them. So a self-fulfilling prophecy. Also, if an employer is perceived by employees as stealing from them (not paying out vacation properly, expected to be at work unreasonably early to start ones shift, buy all their own uniform etc.) then employees will be more likely to treat their employers the same way.

    So as HR professionals, we have to be aware of the perceptions among workers and the culture in the work environment. The change management in betting these two may be challenging, but the long-term benefit both hard (cost of surveillance equipment) and soft (empowered employees who feel trusted) are well worth it.
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