The average number of shoplifting incidents in 2023 increased by 93% compared to pre-pandemic levels, and financial losses for retailers increased by 90%, according to the nation's largest retail trade association.
The National Retail Federation (NRF) highlights the seriousness of this problem in its 2024 Retail Theft and Violence Impact study. For example, despite retailers' continued efforts to combat such crimes and a growing number of states that have changed their laws to prosecute organized retail crime as a felony, The number of cases continues to increase.
Incidents increased by 26% in 2023 compared to the previous year, according to data from a report conducted in partnership with the Loss Prevention Research Council.
“This is not what we were used to. This is not the shoplifting I was arresting 30 years ago,” David Johnston, NRF's vice president of asset protection and retail operations, told FOX Business. . “These people are shoplifting because they know when there's going to be a store that can sell this item.”
Johnston is referring to organized retail crime groups that resell stolen goods.
“Not all shoplifters go out and sell their stolen goods online or at flea markets. They give them to local, regional or multinational organizations that help feed the system. We sell a lot of it,” Johnston said.
According to the data, there were an average of 177 shoplifting incidents a day last year, but in some retail sectors the number reached more than 1,000.
“Retailers are not crying wolf,” he said.
Retailers said not only are the number of incidents increasing, but so too are acts of violence. About 73% of those surveyed reported that shoplifters were more violent and aggressive than they were a year ago. Approximately 91% reported that these offenders have become more violent and aggressive compared to 2019.
At the request of our parent company, our stores have consistently worked to strengthen protections for our employees and customers. Johnston said some measures, such as locking up merchandise, have been successful in deterring crime, but are frustrating for both stores and customers.
“In some parts of the country, we've seen some of these locations become vending machines,” Johnston added.
Apart from measures such as locking up products, around 71% of retailers increased their budget to support employee training on workplace violence compared to the previous year.
Other stores like TJ Maxx and Walmart are testing the use of body-worn cameras to keep employees safe.
States are tightening their laws to crack down on such crimes, but federal legislation is needed to really make a difference, Johnston said.
Johnston said 48 states currently have “organized retail crime associations that regularly bring law enforcement agencies and retailers together to share information and assist with investigations.”
“Investigating these organized retail crime groups requires collaboration between state, local, and federal law enforcement agencies, because dismantling one of these organizations will destroy the root of its supply. “That's what shoplifting is all about in the world,” he said.
NRF is advocating for passage of the Organized Retail Crime Elimination Act, a bill that would strengthen collaboration between the federal government and state and local law enforcement to combat retail crime.
Johnston said the bill, among other things, would create a coordination center within the Department of Homeland Security under the Department of Homeland Security's scrutiny.
He said he will bring together all federal agencies and state and local resources that can tackle and assist these types of crimes, while also involving the private sector.
