Huh apparently things shifted some that it managed to drop to number 2 despite it being the status quo for years.

https://www.thebalancesmb.com/top-sources-of-retail-shrinkag...

Thank you for still posting.

Shoplifters take individual items out the front door. Employees can take cases out the back door.

Anecdotally I'd say that customer theft is the bigger culprit.

A lot of shops require that a manager checks the employees' bags before they leave at the end of their shift to ensure that they haven't pilfered anything.

Employee shrink consists of all sorts of stuff... theft, pilferage, spoilage, fraudulent transactions, etc.

It can be as minor as giving an employee two cups for hot coffee or as serious as fraudulent receiving or running two cash tills.

I understand that. I wasn't asking for an explanation of what it was, just asking for data since I found it surprising.