The Crazy Costs of Workplace Fraud

Thu, March 15th, 2012 - 5:55 am - By Gordon Basichis

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Once upon a time a dear friend told me about the issues he was having in his apparel manufacturing plant where certain employees were in business for themselves.  This meant their raking off inventory, dresses, blouses, and such, and selling the stolen merchandise to anyone who would pay cash.   Upon doing researcher, my friend found is otherwise unaccounted merchandise in the flea markets in downtown Los Angeles and with different off price venues.   The stealing or shrinkage, as it was politely called,  was costing his company a fair amount of money.

My friend said that one of the key factors involving in-house employee theft were the morale issues.  Other employees, honest employees, are most often aware of the employee thievery going on.  They find it disheartening.   Morale drops and with the decline of morale worker production drops accordingly.   According to my friend, once a private security agency is called in, there is often no need to subject the suspected thieves to the lie detector tests.  The mere act of  turning on the lie detector apparatus, compels most of the suspects to confess all, singing like canaries.   The reasoning, my friend guessed, is that they would not have to admit to previous or ancillary indiscretions that may be asked during the briefing session.

According to an article in the Montreal Gazette, workplace fraud is costing Canada’s small and medium enterprise a hefty $3.2 Billion a year.    And that is with the understanding that 75% of the crimes go unreported, so there is a potential addition of close to another Billion Dollars to that figure.   Extrapolate that into a much larger and, consequentially, worse behaved American economy and the numbers start to mount into some really serious money.  In Canada, some 290 thousand small and medium sized businesses were victimized by workplace fraud, last year.  Figure what that translates to in American companies subjected to the same types of crimes.   In the article, it was predicted that the incidences of workplace fraud would rise as the economy slowed.

In Canada, workplace fraud costs somewhere between five and ten percent of the nation’s gross domestic product (GDP).  Ten percent of the bankrupt businesses cite workplace fraud as one of the reasons that caused them to fail.   In Canada, workplace fraud costs somewhere between five and ten percent of the nation’s gross domestic product (GDP).  Ten percent of the bankrupt businesses cite workplace fraud as one of the reasons that caused them to fail.  Ironically, most of the companies interviewed believed their risk of being subjected to workplace fraud were low.  Statistics proved otherwise.  Most, however, did not have a response strategy or program in effect.

The article also indicated that companies should review their policies carefully and tailor security to fit the needs of each individual business.  The article also suggested that companies conduct pre-employment background checks on all employees and issue a zero tolerance policy that all employees are mandated to sign.  Detection and prevention measures against workplace fraud should be viewed as an investment and not a cost.  In all, you will save more than you spend.


Corra Group Expands Employment Screening Packages for American Manufacturers

Thu, March 8th, 2012 - 3:02 pm - By Gordon Basichis

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Corra Group has created various employment screening packages to assist employers who are experiencing substantial increases in domestic manufacturing. Due to the weaker dollar, and outsorucing concerns about quality control, production has become cost effective for American factories and manufacturing has improved by close to eight percent.

“Increased manufacturing has had a major impact for the United States,” said Gordon Basichis, Corra Group Co-Founder. “It improves the economy in general and generates added revenue in everything from the nation’s shipping ports to the local and regional factories. The more we produce in the United States, the more we can sell domestically or export to other countries.


For the full article go to this link.

Court Updates for Background Checks

Tue, March 6th, 2012 - 5:30 am - By Gordon Basichis

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For those ordering background checks as part of their employment screening program, here are some  updates to take note of…

Washoe County Civil Records…Court fee has been increased from $14.00 to $28.00.  Effective March 5th, 2012

Wisconsin…the statewide criminal and Portage County court fees are now $5.00 per search.

Palm Beach, Florida….

We would like to take this opportunity to notify you of delays in Palm Beach, FL.  During a recent update to their operating system access was lost to their closed/archived case history, and the current system does not have full access to all case history, including recent cases.   As a result, an accurate search cannot be completed at the predominately used index at this time.  The court is working to restore access to the closed/archived case history as expeditiously as possible.




Corra Group Goes Full Service for DOT Employment Screening

Fri, March 2nd, 2012 - 5:12 am - By Gordon Basichis

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Los Angeles, CA (PRWEB) February 08, 2012

Corra Group is now a full service provider for the Trucking and Transportation Industry. The background checking agency has increased its services so that companies throughout the country can realize their DOT requirement standards.

“We can now be considered a full service provider for the trucking and transportation industry, said Nick Gustavson, Co-Founder of Corra Group. In addition to the Motor Vehicle Driving Records, we now offer DOT compliant employment screening as well as DOT drug tests and the mandatory DOT management system.”

“The DOT management system assures that drivers can be selected for random drug tests in accordance to that agency’s standards,” explained Gustavson. “Thanks to our drug screening partners, truckers can go for their drug tests in every part of the country. Results are typically returned in a couple of days. Other DOT compliant reports will return anywhere from instantly to a couple of days.”


For the complete release go to this link.

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