Businesses in the U.S. lose about $50 billion through employee theft each year. That’s a lot of money that could be used to improve productivity and increase the bottom line, but instead, it is being funneled into the pockets of dishonest employees.
The good news is that there are ways to help protect your business from employee theft. One of those ways is through fleet fuel management. By monitoring your fuel usage, you can help to identify potential theft and take steps to prevent it.
Here are five signs that your fleet is at risk for employee fuel theft:
- An Employee Starts Using Debit Cards
Have you noticed an employee using their company debit card for personal expenses? This could be a sign that they’re stealing from your fleet. You’ll want to get the facts by looking into where those transactions are taking place.
Some everyday transactions to look out for include:
- Undocumented travels
- Payment for goods that were not delivered to the company
- Payment to stores that you have not authorized
- Domestic bills
If they happen to be near another location where they stop during work hours, it might not be bad. However, if there aren’t any plausible explanations, it could be time to talk with human resources and have them do an investigation.
- Significant Changes to Credit Cards Bills
Usually, fleet fuel managers review their invoices daily. And there’s typically slight variation from month to month. But if you notice a sudden spike or drop from month to month, it could be an indication that someone’s been stealing fuel.
That’s why it’s essential to monitor your fuel and credit card bills every day. If there are any irregularities with either bill, you should check them both immediately—and follow up with employees as needed. Even though we live in a digital world, having hard copies of these reports for each employee’s vehicle on file is important.
- Embezzlement
This mainly happens when drivers use credit cards to go on extravagant shopping sprees.
While it may seem like something out of a crime novel, embezzlement is widespread and can happen when drivers access new credit cards.
How do you protect yourself? Be on alert. If your drivers fill up their tanks multiple times throughout a shift every day, they may not be going on any runs.
- Employee Information Is Used by Fraudulent Parties
An easy way to tell if your information has been stolen is to get a bill for something that you did not purchase. Sometimes fraudulent companies will take or copy all of your data and then start making credit applications with your information. The most common way these criminals operate is by applying for online store accounts, such as Macy’s, Amazon, Home Depot, and others.
In addition to stealing credit card numbers from your accounts, they will also use your identity to apply for new lines of credit.
- Unusual Discounts Applied at Fuel Stations
When you have multiple drivers and vehicles, it can be challenging to know if someone is getting shortchanged at fuel pumps. Look out for discounts or credit card adjustments that don’t make sense, given your standing with your fuel supplier and other conditions that would normally warrant it.
Another red flag is when drivers or employees take too long to fill their tank at a self-serve pump.
In addition, look for driver inconsistencies such as frequent delays when leaving work or home, making unnecessary stops before refueling, and taking longer than expected during route planning. All these things can indicate off-the-books fuel purchases.
Other Signs of Employee Fuel Theft
A lot of fuel theft is committed by station cashiers. This means you need to pay special attention when hiring and training your employees, especially those who handle cash. The majority of fuel thefts are at pump level, and that is why you have to screen your employees to know how they can handle it.
Here are some essential questions to ask during an interview:
- Did they ever work as a pump jockey?
- Do they have any experience working with fuel cards?
- Are they familiar with pumps or other equipment used for dispensing fuel?
- Any references from former employers?
You should review your driver applications for past employment history and check their references carefully. If anything seems suspicious, it’s probably worth further investigation.
When a Driver Doesn’t Remember Filling the Truck
It may seem trivial, but your drivers should be able to report details about their stops—they should know how much fuel they bought and how long they were at each stop.
You can do so by asking him about his stops before investigating further. If he can’t answer these questions, proceed with further investigation; you may have a fuel thief on your hands.
Tank Gauges Are Faulty or Readings Jum
Always check your gauge after you fuel up. Has it changed since last time? Is there any potential damage to any part of your vehicle?
If you notice that your gauge is faulty or looks like it’s been tampered with, immediately report it to management. If fuel readings are consistently higher than they should be, it should be a red flag too. The quickest way to identify possible employee theft is by monitoring fuel usage, and not just on one vehicle but across all vehicles and personnel.
Consistently high readings mean something could be wrong and might need further investigation. Sometimes, fuel theft involves more than one person, which is why you have to carry out a thorough investigation. It could be something orchestrated by a string of employees, both internal and external.
Get Fleet Fuel Management Solutions
If you are tired of losing money through fuel theft, investing in the latest fleet fuel management solutions is the best solution. It would help if you had a way of monitoring everything and knowing how your fuel is consumed. By integrating digital solutions into your systems, you can eliminate most of the challenges you face when managing fuel.
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