Employee theft may involve a range of offenses from embezzlement and misappropriation of funds to theft of company property or confidential information. Some of the criminal offenses that an employee may perpetrate in their workplace are as follows:
- Embezzlement: Diverting an employer’s funds or assets for an employee’s personal use
- Fraud: Misrepresenting facts for financial gain, e.g., manipulating financial records, submitting false expense reports, or forging checks
- Misuse of Company Resources: Making unauthorized use of company credit cards, vehicles, or equipment
- Theft of Intellectual Property: Employee stealing trade secrets, customer lists, or proprietary information
- Inventory Theft: Pilfering goods or supplies from the workplace
- “An employee’s right to notice and a chance to respond usually comes from the employer’s own policies and handbook, an employment contract, or a union agreement.: Sharing sensitive company data with unauthorized individuals.
Other conduct that may amount to a criminal offense may also be perpetrated in the workplace by employees. A legal consultation in California with a California lawyer would help an employer and employee both understand the law involved in the issue of employee theft.
Can an Employee Theft Lawyer Help an Employer in California?
An employee theft lawyer would help an employer know how to respond when they suspect employee theft. Before an employer tries to address the problem, they would be well advised to consult a theft lawyer for guidance on employee theft laws. Generally, they should start to prepare by following these steps:
- Review Financial Records: Conduct a thorough review of financial records, including bank statements, invoices, and transaction logs, to gather any available evidence of a theft offense.
- Conduct a Thorough Investigation: Start an internal investigation to gather evidence, interview potential witnesses, and document the findings. A lawyer may advise an employer to consider involving forensic accountants or other legal experts to ensure a complete assessment of what happened.
- An employer who is a party to a union collective bargaining agreement may want to take steps to find out if a union representative should be present when investigatory steps are taken to ensure that the rights of the employee are respected and the employee has access to the same evidence to which the employer has access.
- Consult with an Employment Lawyer: An employer should seek legal guidance from an experienced employment lawyer who specifically handles employee theft cases. They can provide valuable guidance on how to handle the situation with respect to the employee and what the best course of action would be.
- File a Police Report: If an employer suspects that an employee has engaged in criminal activity and has clear evidence of that, they may want to contact local law enforcement and file a police report. This would initiate a formal investigation. However, again, an employer may not want to take this step until they have consulted with their attorney and are sure this is the appropriate step to take.
- Assist Law Enforcement: If an employer has determined that reporting the offense to law enforcement is the right step to take, they would then provide law enforcement authorities with all the evidence they have gathered and cooperate fully with any official investigation.
- Press Charges: Depending on the severity of the theft, any criminal evidence gathered, and the advice of an attorney, an employer may choose to press criminal charges against the employee. Once charges are filed, the local district attorney would handle the criminal prosecution of the employee.
- Protect Confidential Information: If the exploitation of confidential information was an issue in the employee theft, an employer may want to consider taking measures to guard against employee theft in the future.
An employer wants to proceed carefully when it comes to dealing with an employee who is suspected of a theft offense. An employer must comply with California law when they take disciplinary action against employees suspected of theft.
An employer must give notice and conduct an investigation that is fair. They want to avoid any possible claim of wrongful discharge or employment-related defamation of character by the suspected employee if their employer fires them for a theft they did not commit. This is an issue that an employer would want to review carefully with an employment attorney.
Costs/Fees: The cost of handling employee theft changes from case to case. A lawyer may charge by the hour or set a flat fee. The price often depends on how hard the case is and how many records must be reviewed. A forensic accountant may also charge fees to trace missing money. Those fees depend on the size of the company and the amount of records involved. Ask each professional for an estimate up front so you know what to expect.
As an Employee, What if I Am Accused of Theft But I Am Not Guilty?
A person who has been accused of any type of criminal offense, including a theft offense, needs to contact a California criminal defense attorney. Their attorney can review the facts of their case and build a defense for them. They may be able to contact the employer and negotiate a resolution of the issue.
Eligibility: Any employer or employee facing a theft issue can talk to a lawyer. It does not matter how large the company is. It does not matter how much money was taken. A small business owner has the same right to legal help as a large company. The facts of your case will shape what kind of help you need. A lawyer can review your situation and explain your options.
Can an Employee Theft Lawyer Help an Employee in California?
Again, as noted, an employee who has been accused of theft by their employer would want to consult a California criminal defense attorney or a California employment attorney for guidance as to how to counter the accusation and protect the reputation and their employment position.
Their lawyer is going to be able to advise them of the rights they have with respect to any investigation that is performed by the employer and what steps an employer must take to ensure that the employee receives fair treatment.
Timelines: California puts time limits on filing theft charges. These limits are called statutes of limitations. A misdemeanor case, like petty theft, must usually be charged within one year. A felony case, like grand theft or large embezzlement, has a longer window of three to four years.
For many theft and fraud cases, the clock starts when the theft is discovered, not when it happened. So, a hidden theft can still be charged years later. A lawyer can confirm the exact deadline that applies to your case.
In California, What Steps Do I Take if I Have Been Accused of Employee Theft?
It is important for an employee to keep in mind that they must be informed of any allegation of theft by the employer. The employer must give the employee the opportunity to defend themselves.
An employee’s right to notice and a chance to respond usually comes from the employer’s own policies and handbook, an employment contract, or a union agreement. They grant employees such rights as the right to be informed in writing of allegations of wrongdoing and the identification for the employee of the evidence against them. An employer should follow its own policies and procedures.
Employees who are in unions should consult their workplace union representative, as their collective bargaining agreement may offer them protection. Their union representative may assist the employee in working with the employer to resolve the issue. A union representative may have the right to be present during investigatory meetings to ensure that the employee’s rights are respected.
State Variations: Theft laws are not the same in every state. Each state sets its own rules for what counts as theft and how it is punished. California also has strong privacy protections.
Employers here must be careful about how they collect and use an employee’s private data during an investigation. What is allowed in one state may break the rules in another. A California attorney can explain the laws that apply where you do business.
As an Employer in California, How Can I Avoid Employee Theft?
An employer’s own IT department may be able to recommend measures such as changing passwords, restricting access to confidential information and data, and implementing additional security measures as needed. Or an external security consultant should be able to offer advice on improving internal security in a business.
An employer’s accounting department or an independent accountant may also be able to recommend procedures that would provide additional protections against employee theft.
The Importance of Hiring a Lawyer: Some employers feel they can handle a small theft on their own. A minor case with clear proof may seem simple. However, going without a lawyer carries real risk.
If you accuse or fire the wrong person, you could face a wrongful termination or defamation claim. You might also break a state labor law by mistake. A lawyer helps you act in a way that protects both your business and your rights. For anything beyond a minor matter, getting legal advice is the safer choice.
Do I Need a Wrongful Termination Lawyer?
If you have been disciplined or possibly fired because of an alleged theft offense, you want to talk to a California wrongful termination lawyer. Your attorney will be able to review your situation and advise you as to whether you have grounds for claiming wrongful termination on the part of your employer.
If you are an employer who suspects an employee of a theft offense, then you want to consult a California employment lawyer. They can advise you on how you should go about investigating and responding to the suspected employee so as to respect their rights, protect your interests, and provide a fair result to all involved.
