Other Books by
Terrence D. Shulman:

Bought Out and Spent

Bought Out and $pent
Recovery from Compulsive $hopping and $pending

by Terrence D. Shulman
Click here to read excerpts
Click here to order book


Something for Nothing

Something For Nothing
Shoplifting Addiction
and Recovery

by Terrence D. Shulman
Click here to read excerpts
Click here to order book


The Employee Theft Epidemic

Terrence Shulman
JD, LMSW, ACSW, CAC, CPC
Founder of
The Shulman Center

Call today for a free consultation
248-358-8508

Introduction

Consider these excerpts from the following article in The Detroit Free Press, June 24, 2005:

Janis Fernworn, 45, was the treasurer for her church. Over several years, she embezzled at least $700,000. She appeared to have no history of alcohol, drug, or gambling addictions. She is married, has five children—two of them adopted—and lives in a wealthy suburb.

"I am horrified at what I did to my church. I pray they will someday forgive me for these repugnant crimes." Mrs. Fernworn and her husband had been members of the church for 23 years and her husband had served on the church's board.

According to prosecutors, Fernworn wrote checks to herself from church funds. She tried to hide this in various ways but was eventually discovered.

Fernworn said her embezzlement began when she and her husband were three months behind in paying their home mortgage. "I still remember the first time I wrote a check to myself that wasn't legitimate," she said. "My hands shook so badly, I was almost unable to manage the writing. I felt that I had exhausted all other possibilities. I don't know when it was that the embezzlement switched from easing the true need to needing the ease, but it didn't take long before the hole was so big that I couldn't face making it better."

Fernworn swore that she kept the embezzlement from her husband, who has not been charged.

The judge found it hard to believe he didn't know. "How could anyone live under the same roof and have $700,000 of tax-free income and not have clue Number 1 that something strange was going on?"

The church pastor asked the judge to send her to prison not out of revenge but saying "it is a price she must pay."

Because she had no prior offenses, her sentencing guidelines called for no more than 9 months in jail. The judge exceeded that and sent her to prison for 5-10 years.

This kind of story happens every day across the nation…
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If you felt the judge in this case didn’t give Janis Fernworn enough prison time, this book may not be for you. If you felt: what’s the big deal?—this book also may not be for you. Or, maybe, after reading this book, you will see things differently. If you are able, or are willing, to see the tragedy for everyone—for Mrs. Fernworn, her husband, her kids, the church members, and the community—and new ways of reducing theft, then this book is talking to you.

We’ve all heard similar stories of the person fired from his or her job for embezzling some “ungodly” amount of money or stealing goods and product. Sure, there are greedy folks, plain thieves, and career criminals in our work force. But mostly, employee theft tends to happen a little at a time. Someone’s vulnerable--there’s a financial or emotional stressor, a conflict at work--and a line is crossed. Next thing you know, a star employee is hauled away in handcuffs. We scratch our heads, wondering: What were they thinking? They didn’t actually think they could get away with that? The answer usually is: They weren’t thinking. They got hooked. Employee theft can become addictive!

There are plenty of books out there which quote facts, statistics, cursory reasons why people steal from work, and what can be done to reduce or prevent it. They may certainly be of value if that is primarily what the reader is looking for. Most are written by “experts” in the security and loss prevention fields--the typical readers are store and business owners and fellow security and loss prevention folks.

This book is not about excusing employee theft. But it is a different kind of book. My intention is to make this topic relevant, provocative, and urgent for everyone!
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Now, answer this question:

Have you ever committed employee theft? Yes or No?

How would you define employee theft? Is it only the blatant embezzlement and/or stealing of valuable assets from work? Is it a matter of degrees?

Be honest, have you ever done any of the following without the expressed permission from an employer?

  • Fudged your time card?
  • Padded an expense account or report?
  • Made personal phone calls on company time?
  • Used company postage?
  • Used office supplies for personal use?
  • Took office items home?
  • Borrowed funds for personal use?
  • Made personal copies on the copier?
  • Failed to report accounting/payment errors in your favor?
  • Used the company car for personal business?
  • Ran errands on company time?

Chances are, you are in the 75% or more of all employees who have stolen from work.
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What did one loss prevention worker say to another loss prevention worker?

The following was taken from an actual e-mail conversation:

One says: “No disrespect, but when we interview people who have been caught stealing—isn’t finding out why they did it one of the most important reasons? By learning how people think, can’t that help us both with better loss prevention strategies as well as recognizing if jail or some kind of education, diversion, or treatment programs might help reduce theft?”

The other says: “Internal theft or external theft, I don’t care “WHY!” We have taken a lot of time and effort to enact loss prevention policies and procedures. When those are intentionally circumvented and it’s time for me to sit people down and interview them about their actions—why they stole is my least concern if it is a concern at all. I’m concerned with facts! I am not a cold-hearted automaton. I treat everybody with the utmost respect! But I don’t care why you stole. I’m just damn glad I caught you! (“you” meaning “bad guy.”) You provide me with job security and because you and people like you exist, I get to come back to work tomorrow. My priority is to learn more about prevention and detection techniques. I don’t wish to waste my time getting all squishy about the plights of individuals. Anyone who steals is a criminal”

It’s not “either/or”-- it’s “both/and.”
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Imagine facing a problem like cancer or war. Indeed, we do so almost every day. We certainly need to take action to confront and arrest the effects of a disease or conflict in progress, hopefully learning more advanced and effective techniques each day. Likewise, it seems to me we must also adopt a comprehensive approach if we hope to make a lasting difference. If we know more about why cancers take root and why wars begin, wouldn’t that be valuable, too? We constantly research genetics and lifestyle choices to learn more about how diseases occur. We study war history to prevent history from repeating itself. Indeed, we educate about “aftercare” treatment with diseases to best insure they don’t return; we speak much of what is needed—and, hopefully, take measured steps--to “keep the peace” long after the fighting has stopped.

Even in our “war on drugs”—to the degree it has been effective—we’ve taken at least a two-prong approach: tough enforcement and penalties along with more education and treatment. Some argue there’s not enough energy to do both. Others say doing both sends mixed messages. And others are thinking “outside the box” about causes and solutions.
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Imagine you are someone who steals from work. You come to work each day with butterflies in your stomach, on edge, looking over your shoulder, wondering if today may be the day your are discovered. Every time your name is called, or the boss asks you a question, your gut tightens. Is this any way to live? Part of you wants to come clean, spill the beans, and stop the madness—but there’s something that seems to stop you. Was this the life you chose?

Imagine you are a store or business owner and you are so busy you don’t have the time to check every thing out. You do your best—in your mind—to treat your employees well and you think you can trust the people you employ but you can’t. It’s heart-breaking.

Imagine you are a loss prevention worker and going to work each day is like coming into a war zone. You can’t let your guard down—you’ve been surprised and shocked before. You have become jaded and cynical. You long for the day when work is easier but you crave the challenge, too: you get a high from catching people who steal.

When shall we experience our “crash moment” where each of our lives intersects and we feel each others’ struggles in a new way?
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Most companies just fire any employee who steals. I’m not saying acts of theft should go unpunished. But if nearly two thirds of employees are stealing on some level, we can’t just fire everyone. Companies risk losing people who may not be easily replaced. They also risk losing a human touch. Also, an employee fired for theft will likely go to another company and steal due to the increasing reluctance of all companies to offer any prior work references, good or bad. We’re living in an age where we “pass the buck”--“it’s not my problem anymore.” But we all live in the same world.

My hope is with more open open-minded conversation and more resources available, we shall see a transformation in the awareness of how we view theft behaviors. Then, and only then, will we be able to develop true loss prevention strategies and attain a more honest society and world.

Beliefs ...

I believe we develop beliefs throughout our lives which become our truths.

Over the years of exploring my beliefs as well as those of thousands of shoplifters-in person, by e-mail, letter, and phone--I have found a string of commonly held beliefs:

  • Life is unfair
  • The world is an unsafe place
  • Nobody will be there to take care of me
  • Nobody’s really honest
  • ’m entitled to something extra for my suffering
  • Nice people finish last
  • There’s not going to be enough money to live
  • t’s a ‘dog-eat-dog world’ out there
  • No matter how hard I try, things never work out
  • t’s not worth my speaking up about anything

These beliefs fuel shoplifting and stealing. Most people are unconscious of their thoughts or they may be prone to “stinking thinking.” All behavior--whether freely chosen or stemming from an addictive-compulsive mind set-originates from our thoughts, beliefs, and values. Strong feelings bolster this foundation and, eventually, we act out habitually or with hell-bent righteousness.

I know a woman whose father shoplifted. “He used to tell us: ‘It’s there for the taking.’” What beliefs would you guess are behind that statement? Would it help to know her father was a war veteran who felt less than heroic, was discontent with his own life choices, and felt powerless, passionless, resentful?

How about the well-to-do woman who has been arrested twice for shoplifting dolls twice in the last year since her child died?

This book is a call to action-not about making excuses! We’ve lost our compass. We need to look at ourselves in a new way. We point the finger at the world, everybody else. Or we point our finger at ourselves.

“Thou shalt not steal” is more than a commandment. It is a prerequisite to a life that works: for each of us and all of us, individually and collectively.

With most addictions, we focus on dishonesty as a by-product of the addictive lifestyle. Here, we go to the core: we explore dishonesty-in the form of shoplifting and stealing- as the primary manifestation of unresolved issues and erroneous, destructive beliefs.

This book is like no other. Hopefully, there is something here for everybody: shoplifter, family or friend, therapist, judge, probation officer, attorney, police officer, store or business owner, minister, or student of human behavior. I ask you to take your new insights and apply them to make a difference in the world.


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