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How Time & Attendance Software Can Eliminate Buddy Punching

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It is common to worry about theft as a business owner, and because of that, we put many processes in place to prevent thievery from external sources. However, have you stopped to consider that there’s a very real possibility that theft is happening right under your nose? Across the country, hourly employees are costing businesses nearly $400 billion annually in lost productivity and time theft. Examples of this include punching in early, staying late, exaggerating hours worked, and, of course, “buddy punching.” For many employers, this can become a very real issue, especially if your company is made up of largely non-exempt, hourly employees. If this is the case, now is a great time for you to look at your current processes and see where you can make some improvements.

How Software Can Help

If you have a timekeeping software, your risk of time theft is automatically going to be lower. However, various methods of tracking time will leave you more at risk than others. Here are some statistics that break down the percentage of employees “stealing” time with each method of employee punching:

  • Online Web Portal: 40%

  • Mounted Wall Clocks: 18%

  • Paper Forms: 17%

  • Mobile Device: 10%

  • Paper Punch Cards: 5%

  • Biometric Clocks: 3%

Why Biometric Clocks Are the Right Choice

Based on the statistics listed above, it’s pretty clear that biometric time clocks help you avoid some significant time theft. One of the biggest reasons for this is because it virtually eliminates “buddy punching,” which occurs when an employee has a colleague punch in for them using a PIN number or paper time card. A biometric clock requires the employee to physically be in front of the time clock in order to punch in by using facial recognition or a fingerprint scanner. Naturally, one way or another, some employees will find a way around this, hence the 3% statistic. However, the difference between that and using an online web portal is incredibly vast.  

Where Do I Get Biometric Clocks?

If you’re ready to take the first step toward eliminating buddy punching, your best bet is to go through your payroll provider (if that’s who you run your timekeeping through). Typically your payroll provider will offer you a variety of clocks that range in price. The biometric time clocks might come at a higher price, but the money you’ll save in the long run will more than make up for it. If your timekeeping and payroll are separate, it might take a little more work to track down a biometric time clock that works with your system. If this is the case, have you considered the benefits of having your time & attendance and payroll synced together on one platform? If not, you can learn more about what Dominion has to offer as a single-source solution here.

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