Employee time theft is, for the most part, a preventable cost for businesses. There are many ways employees can ‘steal’ company time, things such as falsifying hours, handling personal business, having their friends punch them in, and so on. Some employees may not even quite realize they are misusing company time by doing things such as taking frequent breaks or checking their personal emails. A staggering forty-three percent of hourly workers have admitted to exaggerating their hours worked during their shift. With nearly half of the hourly workforce admitting to this, employers need to know how to combat it, and the most common methods of committing time theft.
Forms of Time Theft
While there are the obvious forms of time theft such as punching in early, staying late, or simply exaggerating your hours worked, there are other ways employees steal time that might not be as apparent as first. According to Software Advice, the average employee steals anywhere from fifty minutes to 4.5 hours per week by showing up late, leaving early, and taking extended breaks and lunches. While some of this may not seem like a big deal, it definitely adds up. Twenty-five percent of employees who admit to committing time theft say they do so for about seventy-five to one hundred percent of their shifts.
Ways Theft Takes Place
The largest method used to steal company time is punching in through an online web portal, with nearly forty percent of employees using this tactic. The runner up to online web portals are none other than mounted wall clocks, which come in at eighteen percent. Paper forms account for seventeen percent of those who are exaggerating their hours. Coming in last are mobile devices at ten percent, paper punch cards 5 percent, and biometric clocks at 3 percent. With those numbers you can clearly see that biometric clocks are a smart option when looking to decrease employee time theft.
The Value of Biometric Clocks
Employers who utilize time and attendance software with biometric clocks are best protected against employee time theft. Only three percent of employees who punch in with biometric clocks report that they were able to steal time through this method. The reason biometric clocks are so effective in preventing employee time theft is because they eliminate the ability to “buddy punch”. What is buddy punching exactly? It’s when your employees punch in for their friends when the friend is not at work yet. This can be done through sharing an employee code used to clock in, or by giving another employee your badge to scan. Biometric clocks are those that require a punch using methods such as reading your finger or face. As you can imagine it is near impossible to punch someone else in if they are not present.
If you're interested about learning more on time and attendance software, visit our time and attendance page for more information on Dominion Systems's product.