Nearly 6,000 people were caught stealing from their employer in 2022, equivalent to 500 incidents every month
Employee theft jumped in 2022 as the cost of living triggered a wave of workplace crime, with almost 6,000 workers caught stealing from their employers, up from 5,000 the year before – amounting to nearly 500 incidents every month, according to research by Zurich Insurance Group.
Northamptonshire recorded the highest rate of employee theft, with 43 incidents per 100,000 people, while the lowest was found in Dorset.
Companies across the UK faced average losses of £140,000 as claims for commercial crime rose throughout the year.
Although overall numbers remain low, there was an increase in commercial crime claims in 2022, including employee theft, which ranges from petty pilfering of office supplies to the theft of data and embezzlement of company funds.
Recent claims included a £150,000 theft by a gang of employees at a food manufacturer and a £50,000 claim from a double-glazing firm defrauded by its finance manager.
Zurich also saw an increase in claims for social engineering, where fraudsters manipulate employees into making payments or handing over bank details and passwords.
This includes cases where criminals have hacked a senior employee’s email and sent urgent payment instructions with fraudulent bank details to other staff members and external parties.
Companies can reduce the risk of employee theft by implementing robust payment controls, regular audits, and a more positive work culture.
Arunava Banerjee, cyber risk consulting lead at Zurich, said: ‘Fraudsters are using ever more sophisticated techniques to trick employees into divulging sensitive information.
‘These tactics can sometimes be difficult to detect, making it crucial that employers have robust security measures in place, alongside effective cyber awareness to help staff detect and avoid these scams.’
London saw the highest number of employee thefts, with 874 incidents in 2022, while the City of London saw the fewest, at 18.
The biggest increase in thefts occurred in Lincolnshire, up from 40 to 71 incidents – a rise of 44%. This was followed by Norfolk, which jumped from 49 in 2021 to 86 in 2022, an increase of 43%.
Rose Sutton, a senior speciality line claims expert at Zurich, said: ‘As the cost-of-living pressures mount, employee theft has significantly increased, suggesting some workers could be turning to desperate measures to make ends meet.
‘The consequence is immune to theft in the workplace, which can go undetected for years, and occur at all levels. Unless firms have the right protection in place, they have little chance of recovering stolen cash and goods, and may face other expenses, such as regulatory fines.’ The analysis was based on Freedom of Information data from 43 police forces in England and Wales.
