Annual losses in the NZ retail sector through employee theft amount to some $600m (Davis Consulting 2009). In contrast to the much criticised management executives remuneration packages, these “excesses” form no part of any employee contract. To the contrary they involve simple theft which impacts on customers, shareholders and other employees.
This “lumpen” abuse sees rare mention. Nor is it “provoked” by the dire poverty of all hands – so shonky equity arguments fail as well. Approximately 20% only of the workforce are involved. The other 80% get by without resorting to crime.
While the media and others are braying about management compensation they might give a thought to how many Telecom Chief Executives can be purchased for $600m.